REPORT TO THE NEW YORK CITY COUNCIL

Committee on Veterans: Report on Conditions and Systemic Concerns at the Borden Avenue Veterans Residence (2026)

A Tale of Two Transitional Programs  (printable pdf 110 pages)



Executive Summary


The Borden Avenue Veterans Residence (BAVR) serves as New York City’s primary Veterans Affairs Grant and Per Diem (GPD) transitional housing program for veterans experiencing homelessness. Operated through the New York City Department of Homeless Services (DHS) in partnership with nonprofit contractors, the facility is intended to provide safe, housing-focused transitional support for veterans seeking stability and permanent housing placement.

This report combines documented concerns regarding living conditions, administrative practices, housing outcomes, financial oversight, and mental health impacts affecting veterans housed at BAVR. The findings suggest systemic failures that raise serious questions about whether the facility is operating consistently with the intent of the federal GPD program and the expectations of veteran-centered transitional care.

 


I. Background and Program Overview


The VA Grant and Per Diem program was established to provide transitional housing and supportive services to veterans experiencing homelessness, with the goal of helping veterans move into permanent housing as quickly as possible. The program was designed as a temporary bridge toward stability rather than long-term shelter placement.

BAVR currently functions as the only major GPD facility serving veterans in New York City. Because of its central role, veterans eligible for VA housing assistance often have limited alternatives within the city shelter system.


Reported enrollment figures demonstrate fluctuations and a gradual decline in participation:

  • FY 2023: 243 enrollees
  • FY 2024: Enrollment decline continued
  • FY 2025 (partial): 164 enrollees
  • Monthly enrollment ranged between approximately 116–159 veterans from 2022–2025


While successful housing exits reportedly improved over time, concerns remain regarding unsuccessful exits, program removals, and veterans cycling back into homelessness.

 


II. Safety and Living Conditions


Veterans residing at BAVR have described conditions inconsistent with a stable transitional housing environment. Concerns repeatedly cited include:


Reported Safety Concerns

  • Active drug use and trafficking
  • Frequent overdoses
  • Violence and assaults
  • Co-housing with individuals accused of violent offenses
  • Repeated law enforcement activity
  • Inadequate security monitoring despite high security expenditures


Reported Facility Concerns

  • Congregate-style sleeping arrangements
  • Lack of privacy
  • Open shower areas
  • Poor lighting
  • Noise disturbances
  • Bathrooms allegedly used for illicit activity
  • Roof leaks and deteriorating maintenance conditions


These conditions are particularly concerning for veterans suffering from PTSD, traumatic brain injuries (TBI), anxiety disorders, or substance abuse recovery challenges. Veterans have reported that unsafe shelter conditions worsen mental health symptoms and create barriers to stabilization.

Some veterans have reportedly chosen street homelessness over continued placement at BAVR due to fears regarding safety and instability within the shelter environment.

 


III. MICA Designation and Civil Rights Concerns


One of the most significant concerns involves the operation of a federal VA GPD program within a DHS-designated MICA (Mentally Ill/Chemical Abuse) shelter structure.


According to the report findings:

  • Veterans may feel pressured to disclose mental health diagnoses or substance abuse histories
  • Veterans without diagnoses may be viewed as “inappropriate” for placement
  • Participation in supportive services may become effectively mandatory rather than voluntary
  • Non-medical staff may have access to sensitive personal information


These concerns raise broader questions regarding:

  • Privacy protections
  • Disability discrimination
  • Equal access to services
  • Appropriate separation between shelter administration and medical confidentiality


Critics argue that the MICA structure fundamentally conflicts with the original purpose of the GPD program, which was not designed as a compulsory mental health treatment environment.

 


IV. Housing Placement Failures and Bureaucratic Obstacles


The central purpose of the GPD system is permanent housing placement. However, veterans and advocates have reported persistent barriers that slow or prevent successful exits into housing.


Reported Administrative Problems

  • Inconsistent case management
  • Lack of clear points of contact
  • Delayed HUD-VASH processing
  • Limited written housing guidance
  • Minimal follow-up support
  • Restricted internet and library access
  • Repeated paperwork requirements
  • Veterans forced to restart housing processes after program removal


Veterans have described a system where responsibility for obtaining housing is placed almost entirely on the individual resident without adequate support or navigation assistance.


Additional concerns include:

  • Lack of incentives for DHS staff to rapidly process housing applications
  • Delays involving multiple agencies including DHS, VA, and NYCHA
  • Long wait periods for voucher approvals and apartment placements


Advocates have recommended the creation of dedicated “veteran navigator” positions to guide veterans through housing applications, benefits systems, and placement processes.

 


V. Financial Oversight and Accountability Concerns


The reports raise serious questions regarding the management of federal and city funding associated with veteran housing programs.


Reported Financial Concerns

  • Millions in annual federal GPD funding
  • Discrepancies between funded capacity and actual enrollment
  • Questions regarding unaccounted expenditures
  • Security spending not reflected in improved safety outcomes
  • Food budgets inconsistent with reported meal quality
  • Duplicate or repetitive DHS budget reporting


One report estimated that enrollment discrepancies may result in nearly $1 million annually in federal funds lacking clear accounting.


Additional allegations include:

  • Restrictions on food donations
  • Limited resident access to kitchens
  • Use of shelter facilities for non-resident purposes
  • Excessive executive compensation among nonprofit contractors


The reports recommend independent forensic audits and greater transparency regarding how GPD-related funding is allocated and monitored.

 


VI. Retaliation, Oversight Failures, and Mental Health Impact

Veterans who raise concerns about shelter conditions have reportedly experienced:

  • Transfers to other shelters
  • Loss of housing opportunities
  • Fear of retaliation
  • Reduced access to services


This environment allegedly discourages complaints and undermines accountability mechanisms.

At the same time, oversight systems appear to have failed to adequately address longstanding concerns despite years of documented complaints. According to the reports:

  • DHS oversight has been ineffective
  • Federal compliance enforcement has been limited
  • Public accountability mechanisms have not produced meaningful reform

The psychological toll on veterans is significant. Homeless veterans already face elevated suicide risks, and prolonged exposure to unstable or unsafe shelter conditions may intensify feelings of hopelessness, anxiety, and social isolation.

 


VII. Recommendations

The reports recommend substantial reforms to improve veteran outcomes and restore accountability within the system.

Recommended Reforms

  • Independent forensic audits of GPD funding
  • Oversight hearings involving DHS, VA, and nonprofit operators
  • Improved housing voucher processing systems
  • Expansion of CityFHEPS eligibility
  • Separation of GPD veterans from general MICA shelter populations
  • Increased access to internet, libraries, and employment resources
  • Enhanced trauma-informed mental health services
  • Greater community involvement and donation access
  • Whistleblower protections for veterans and staff
  • Transparent reporting of housing outcomes and program performance

 


Conclusion

The concerns surrounding the Borden Avenue Veterans Residence reflect broader systemic challenges within New York City’s veteran homelessness response system. While the facility was intended to provide transitional support and pathways toward stability, the reports describe conditions that many veterans and advocates believe undermine those goals.

Issues involving safety, housing access, financial oversight, mental health impacts, and administrative barriers suggest a system struggling to fulfill its mission effectively. The findings presented throughout these reports call for immediate review, stronger oversight, and reforms focused on ensuring that veterans receive safe, dignified, and housing-oriented care consistent with the purpose of the federal Grant and Per Diem program.

 



Veterans deserve safe, dignified, housing-focused transitional care—not containment within a punitive shelter system.

 

Printable PDF: Report to the New York City Council / Borden Avenue