New York City is allocating an average of $388 per day to accommodate a single migrant household in taxpayer-funded shelters, as indicated by the most recent data from City Hall.
Despite Mayor Eric Adams’ projections suggesting a decline in the overall cost of the crisis due to fewer asylum seekers under the city’s care, there has been an increase in spending on housing and services per migrant compared to last summer.
During a City Council hearing on Monday, Molly Wasow Park, Commissioner of Social Services under Adams’ administration, unveiled that the current average nightly cost for tending to a single migrant household, known as the “per diem rate,” is $388.
This amount encompasses all expenditure categories associated with migrant care, covering shelter and food expenses.
Wasow Park’s disclosed figure represents a $5 increase from the $383 per diem rate referenced by Adams last August.
Following Monday’s Council hearing, Charles Lutvak, spokesperson for Adams, highlighted that the per diem rate peaked at $394 on October 10th, indicating a slight decrease since then, although it still surpasses the August figure.
In response to the financial strain, Mayor Adams has directed efforts to slash the projected spending on migrants by 20% for the 2024 fiscal year.
A key strategy in achieving these cuts has involved imposing limits on shelter stays and shifting towards non-profit organizations for migrant housing, deemed more cost-effective than for-profit contractors.
These measures have resulted in a decrease in the migrant shelter population from 68,000 to 65,000, forming part of the broader strategy to manage the city’s financial responsibilities during the ongoing crisis.
Despite the challenges, the city has made strides in reducing its forecasted spending, with the administration announcing a successful reduction plan last month.
This adjustment has seen the projected cost of the migrant crisis lowered to $10.6 billion from over $12.2 billion through the end of the 2025 fiscal year.
The revised projection prompted Adams to rescind some budget cuts he had implemented months before to counterbalance the expenditure on the migrant crisis.
A City Hall spokesperson said, “As we continue to take action now by implementing the administration’s strategy of managing the population in our care and bringing down per-diem costs, we will continue to advocate for additional support from our state and federal partners.”
Based on the most recent data from Mayor Adams’ office, the city has allocated slightly over $4 billion towards housing and services for the tens of thousands of migrants, predominantly from Latin America, who have arrived since spring 2022.
Commissioner Wasow Park expressed optimism about further reducing costs, emphasizing ongoing efforts to adjust policies and practices in line with fiscal responsibilities.
