When it comes to housing, the city of Oneonta should take what it can get. Although what it can get may not be ideal.
Rehabilitation Support Services is proposing construction of a mixed-use building that will include subsidized housing at 27 Market Street.
“It will have things like parking, and housing with right-sized rents for those folks struggling to find housing that is affordable,” Christine Nealon, director of strategic partnerships, said in a radio interview. “It may also include a commercial space that we fill with something that engages families and children.”
According to RSS, the project is estimated to cost more than $25 million, with the money likely coming from several places. “We believe that balanced sources is the answer to long term sustainability,” Nealon said. “Examples of that is using 9% tax credits with the assistance of New York state, and an equity investor.”
One of the problems Oneonta faces is that fewer that half of the property owners in the city pay full property taxes. Nealon said RSS expects to get a PILOT, or payment-in-lieu-of-taxes agreement, meaning RSS will likely get a tax discount.
If the project is built it will house a mix of RSS clients and members of the general public. RSS clients receive services for mental health and substance abuse problems.
Reaction from city officials is mixed. Mayor Mark Drnek favors the proposal. “They want to build apartments,” Drnek said. “We need housing and they want to build apartments that are affordable at an income level that begins at essentially $10,000 a year to around $60,000 per year.”
But Common Councilmember Scott Harrington, R-Sixth Ward, is taking a “wait and see” approach to the RSS plan. “Everything needs to be on the table to look at,” Harrington said. “You have to get all of the facts and you have to look at it to make an educated decision whether something is going to be good for the city, or maybe not so good for the city.”
Is more government subsidized, low-income housing best for downtown? When the Common Council rules on the proposal, it should consider the 63 ,apartments in the Dietz Street Lofts and the 24 units in the soon-to-open The Ford on Main, developed by Springbrook.
What would be ideal for Oneonta?
Writing in The Daily Star, Sean Lewis, chief executive officer of the Otsego County Chamber of Commerce, said he believes private developers should be encouraged. Local government should create a housing plan and the private sector should build the homes.
“The county and city should be working together to fund and execute a comprehensive housing initiative to create housing options developed by private enterprise,” Lewis wrote in his Chamber Connections column. “Where are the townhouses and duplexes? What have we built over the past 73 years that has not centered on low-income housing?”
Lewis is also concerned about stagnation. Oneonta’s population is flat while the nation’s population has risen dramatically.
The U.S. Census Bureau reports Otsego County’s population in 1980 was 59,075 while in 2023 there were 60,636 people living in the county, a 2.6% increase. During the same period the U.S population rose from 227 million to 340 million, a 35% gain.
I believe the best way to increase population, housing and the economy is to attract high-paying jobs to the area. If workers are paid well they will have money to buy or rent homes. Housing will follow jobs. Supply will meet demand.
Market forces will do what they always do. If there are workers with money, developers will renovate existing homes and build new ones.
Welcoming private sector employers and developers could deliver what is ideal for Oneonta, while RSS may build the only thing that we can get.