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Settlement reached between New York City, Newark over controversial Special One Time Assistance program

Settlement reached between NYC, Newark over controversial SOTA program
Settlement reached between NYC, Newark over controversial SOTA program 00:51

NEW YORK -- There is a major development for a controversial city program we first reported on in 2019.

A settlement has been reached in federal court between New York City and Newark over the Special One-Time Assistance program, known as SOTA.

In 2020, Newark sued the city for relocating families experiencing homelessness to Newark with no advance word.

At one point, Newark reported more than 1,000 relocated families.

CBS New York's award-winning reporting found that often, the New Jersey units were uninhabitable.

New York City contends this is a small percentage of SOTA recipients who had issues and that the vast majority has benefited from the SOTA vouchers when they choose to move out of the city.

The settlement means New York City has agreed to confer with Newark if more than seven households are moved to Newark over a three-month period.

Additionally, the settlement says the city does not owe Newark money for the families who have already moved there.

In 2020, New York City took measures to strengthen the program, including adding a hotline for recipients experiencing issues and making monthly payments to landlords for SOTA, instead of yearly ones. The change was made so that payments could be halted if landlords failed to properly maintain the units to make necessary repairs.

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