NYC ILLEGALLY DENIES TRANSPORTATION SERVICES TO HONORABLY-DISCHARGED VETERANS, DESPITE FEDERAL FUNDING

Timothy Pena • August 5, 2025

Lack of Transportation for VA-eligible Veterans in Violations of Federal Public Law

New York, NY — A federally funded transitional housing program for homeless veterans in Queens is in violation of federal law and failing to meet even the most basic standards of care. The Borden Avenue Veterans Residence, operated by the Institute for Community Living (ICL) through a contract with the New York City Department of Homeless Services (DHS), has denied legally required transportation to VA-eligible veterans while exposing them to unsafe, unhealthy living conditions—despite receiving millions of dollars in VA Grant and Per Diem (GPD) funds.


The VA GPD program set forth in Public Law 109-461 , codified at 38 U.S.C. § 2012 and governed by 38 CFR Part 61 , mandates that providers offer more than temporary housing. Under 38 CFR § 61.80(f), grantees must “assist each veteran in obtaining health care benefits, including providing or arranging transportation to medical appointments as needed.”  


Borden Avenue fails this requirement entirely.

The shelter provides no shuttle van, no contracted transportation, and no reimbursement system. Instead, transportation is limited to MetroCards—and only for residents with less than $100 in monthly income. Veterans receiving even small amounts from VA disability, Social Security, or part-time work are excluded. This income-based restriction is not authorized under federal law and undermines the ability of veterans to access medical and mental health services regardless of income level.


The consequences are deeply damaging. Veterans with PTSD, chronic conditions, and substance use disorders are missing appointments, failing to maintain medication schedules, and falling out of compliance with treatment plans—all due to transportation barriers.


Beyond the transportation crisis, the shelter’s overall conditions are alarming. The building has suffered from a leaking roof for over a decade, leading to mold and structural damage. The facility lacks adequate nutrition, with meals that are often high in sodium, sugar, and processed foods—unsuitable for veterans managing chronic illness, diabetes, or hypertension. There is no registered dietitian nor operating kitchen involved in menu planning on site, and residents are not permitted to cook their own meals or receive donated food.

The facility also forces residents to endure 24-hour fluorescent lighting, which disrupts sleep cycles and worsens symptoms of PTSD and anxiety. Security is minimal, and open drug use is widespread. Violent incidents frequently go unaddressed due to the shelter’s MICA (Mentally Ill, Chemically Addicted) designation, which prevents staff from discharging disruptive or dangerous individuals.


Community engagement is actively restricted. Donations from the public—such as clothing, food, or hygiene supplies—are turned away or left outside the building. 


Veterans are denied access to these basic goods unless filtered through the provider. Even volunteer outreach is limited by opaque security protocols that prioritize contractor liability over veteran needs.


Despite these failings, DHS and ICL continue to accept VA GPD funds with little accountability. There is no public record of how transportation dollars are being spent, and no meaningful response from the New York City Council. The Council’s Committee on Veterans and Committee on General Welfare have failed to launch hearings, issue subpoenas, or initiate oversight into Borden Avenue’s noncompliance with federal law.


In Fiscal Year 2024, DHS received millions in federal pass-through funding designated for veteran services, including transportation, nutrition, security, and supportive case management. Yet veterans remain exposed to hazardous conditions, denied required services, and penalized for failures created by the very institutions meant to support them.

The situation at Borden Avenue is not a singular lapse—it is a systematic failure of city, contractor, and federal oversight. Veterans are being neglected, exposed to harm, and misled about the benefits they’ve earned through service to this country.



NYC Denies Transportation _ 20250805 - printable pdf (2 pgs)


Timothy Pena is a service-connected disabled Navy veteran for PTSD and has written about his experiences with mental health, homelessness, and the judicial system. Suffering mental illness, he initially visited NYC to collaborate on a documentary for veteran suicide but decided to stay after realizing he would rather be homeless in NYC than dead in Phoenix. He has been writing stories and blogs about his journey from “homeless to homeness” in the NYC Dept of Homeless Services system and possible corruption within DHS and Veterans Affairs Grant & Per Diem Transitional Program.