NY Taxpayers to Pay $325 Million for Migrant Security

Photo byIgal NessonUnsplash

To provide round-the-clock security at migrant humanitarian aid centers, New York City is moving forward with security contracts that will cost taxpayers $325 million. That is nearly twice as much as NYC Health + Hospitals, which is in charge of processing newcomers, was permitted to spend on security costs at the facilities a few months ago.

After reviewing public data, Gothamist discovered that there are already over a dozen Humanitarian Emergency Response and Relief Centers, or HERRCs, located throughout the city. Their purpose is to provide medical and health care to thousands of newly arriving migrants.

Although NYC H+H officials claim that the agreements only permit spending when necessary and are being given through a competitive bidding process, the increasing number of humanitarian facilities will most likely result in a rise in total security costs.

The agreements come when the city is trying to deal with a wave of immigration that has brought in over 140,000 people since the spring of last year. The cost of caring for these newcomers is also rising, reaching billions of dollars, and there will soon be significant budget cuts from the city due to the lack of federal assistance thus far.

However, as H+H is not a municipal organization, price and contract information is scarce. The hospital system is not subject to the same oversight by the city as municipal agencies because it is set up as a public benefit company with its own governance and board structure. In addition to patient-based income, H+H is supported by grants and funds from the federal, state, and local governments

“The lack of transparency is a problem,” said Councilmember Gale Brewer of Manhattan, who chairs the Council’s oversight and investigations committee. Since September she’s held two hearings on the city’s migrant contracts.

“It’s very, very frustrating,” Brewer added. “It’s just wrong to have an agency that should have complete oversight, like everyone else, and they’re far from review. I think it’s sort of on purpose.”

Under an October 2022 agreement between the city and H+H meant to protect the latter's cash flow and capacity to provide healthcare, taxpayers bear the HERRC's expense.

According to an H+H representative who talked with Gothamist on Tuesday, the hospital system has already gotten roughly $1 billion from the deal.

In testimony given on September 21 at a Council meeting, City Comptroller Brad Lander stated that H+H has approved almost $2.1 billion in spending throughout 38 migrant contracts or 42% of the total amount of money approved for migrant services so far this fiscal year.

He claimed that this constituted a "further barrier to transparency and oversight" because the hospital system was not obliged to submit contracts to his office or to obtain prior permission for them.