Committee on Veterans (2026)

Part 15 — New York City Department of Homeless Services: Responsibility, GPD Compliance, and Contractor Oversight

Key Findings

The New York City Department of Homeless Services (DHS) is responsible for overseeing contracted shelter providers within the city's homeless services system, including the Borden Avenue Veterans' Residence (BAVR). Unlike a traditional emergency shelter, Borden Avenue operates as New York City's federally funded Veterans Affairs Grant and Per Diem (GPD) transitional housing program, which was designed to provide veterans with a structured pathway from homelessness into permanent housing.

The VA GPD model focuses on stabilization, healthcare connection, employment readiness, community integration, and long-term independence. Concerns raised regarding Borden Avenue questioned whether DHS oversight ensured the facility operated as a veteran-centered transitional program or primarily as a traditional shelter model.

DHS Responsibility and the Purpose of the GPD Program

The Department of Veterans Affairs created the Grant and Per Diem Program because veterans experiencing homelessness often require more than temporary shelter. Many veterans entering the system face PTSD, service-connected disabilities, substance-use recovery needs, medical conditions, unemployment, and difficulty reconnecting with benefits.

The purpose of the program is to provide a bridge between homelessness and independence through:

• Safe transitional housing
• Case management
• VA healthcare connections
• Benefits assistance
• Employment preparation
• Community support
• Permanent housing planning

The measure of success is not simply whether a veteran receives a bed. The measure is whether the program prepares that veteran to successfully transition into stable housing and remain there.

GPD Transitional Model Versus Shelter Operations

A central issue identified in this report is the difference between operating an emergency shelter and managing a federally funded veterans transitional housing program.

A shelter model primarily focuses on immediate crisis response: providing a bed, meals, supervision, and basic services. A GPD program requires a broader recovery mission focused on identifying barriers, building independence, connecting veterans with resources, and preparing them for life after homelessness.

Veterans reported concerns that Borden Avenue operated more like a traditional shelter than a structured VA transitional program. Concerns included limited veteran-specific programming, barriers accessing outside resources, insufficient preparation for permanent housing, and a lack of a structured recovery environment.

The oversight question presented was not whether shelter was provided. The question was whether the federally funded transitional mission of the GPD program was fully delivered.

Contractor Oversight and Accountability

DHS contracts with nonprofit providers to deliver services to vulnerable populations. With that relationship comes responsibility for ensuring that providers meet program expectations and that public funding achieves intended outcomes.

A recurring concern identified regarding Borden Avenue involved unclear accountability between agencies and contractors. Veterans reported that issues involving food quality, safety, housing delays, facility conditions, and access to services were often attributed to different parts of the system rather than addressed through a single accountability process.

For veterans receiving services, the distinction between government agencies and contractors is secondary. Veterans experience one system, and that system is responsible for delivering effective support.

Oversight of Public Funding and Services

The 2024 New York City Department of Investigation review of DHS-funded nonprofit shelter providers identified broader concerns involving oversight of publicly funded organizations, including monitoring procedures, conflicts of interest, procurement practices, and accountability controls.

These issues are especially important for veteran programs because VA GPD funding carries a specific purpose. Funding is not only intended to maintain shelter operations; it is intended to create measurable veteran outcomes.

Oversight should examine whether resources result in:

• Successful housing exits
• Reduced returns to homelessness
• Increased VA healthcare participation
• Employment progress
• Improved stability
• Reduced emergency intervention

Safety, Community Access, and Equal Services

A successful transitional program depends on providing an environment where veterans can focus on recovery.

Concerns regarding Borden Avenue included frequent emergency responses, assaults, overdoses, mental health crises, and residents reporting they felt unsafe. Emergency data reviewed identified approximately 1,365 calls between August 2024 and December 2025, raising questions about whether the environment supported stabilization for veterans recovering from trauma, homelessness, or incarceration.

Additional concerns involved access to community resources. Transitional housing depends on connections with veteran organizations, peer mentors, employment programs, and community partners. Veterans do not transition into agencies; they transition back into communities.

Conclusion

The Department of Homeless Services carries responsibility for ensuring that programs serving homeless New Yorkers provide safety, accountability, and meaningful outcomes. For veterans participating in the VA Grant and Per Diem Program, that responsibility carries additional importance because the program was created specifically to end veteran homelessness through recovery and transition.

The concerns raised regarding Borden Avenue identify a fundamental question of oversight: whether New York City operated a veterans recovery program consistent with the GPD mission or a shelter program serving veterans.

A successful system requires more than contracts, funding levels, and occupied beds. It requires accountability for outcomes, oversight of providers, connection to resources, and a commitment to ensuring that veterans leave homelessness with the stability and support necessary to remain permanently housed.

The purpose of the GPD program begins and ends with the veteran.