A New York City Housing Authority (NYCHA) plumber supervisor, Jakub Markowski, earned $465,000 between July 2024 and June 2025, a salary that includes $332,000 in overtime for nearly 2,600 hours. The Buildings Department is currently investigating Markowski, who also operated two private plumbing companies during this period.

This case has brought renewed attention to NYCHA's long-standing issues with dysfunction and corruption. Since January 2019, an independent monitor has overseen NYCHA's compliance following a federal settlement. However, federal oversight has not eradicated problems. In 2024, U.S. Attorney for the Southern District of New York Damien Williams charged 70 current and former NYCHA employees with bribery and extortion, marking the largest single-day bribery charge total in the Justice Department's history. All 70 individuals pleaded guilty or were convicted.

The federal monitor's latest quarterly report, released on July 6, indicates that despite some progress, NYCHA buildings continue to face significant hazards. The report found that 86% of mold complaints involved visible mold of 10 square feet or more, exceeding the federal agreement's limit of 15%.

NYCHA's financial challenges are compounded by a sharp decline in rent collection. In fiscal year 2025, the authority collected only 68.6% of its anticipated rent, a significant drop from 89.6% six years prior. The average rent for NYCHA households is $621 per month, capped at 30% of household gross income. With only 38.4% of NYCHA families employed and an average household income of $26,129, the system faces disincentives to work and limited funds for repairs. The average monthly cost to operate and maintain each NYCHA unit is $1,419, a figure higher than the average cost for private sector maintenance of comparable rent-stabilized units.

Furthermore, NYCHA struggles with vacant units. Despite 165,000 families on the waiting list, there are only 6,740 vacant units, and it takes an average of 371 days to prepare one for occupancy. In contrast, typical Manhattan and Brooklyn market apartments are rented in about 37 days.

With approximately 80% of NYCHA buildings being 50 years or older, the estimated $80 billion in backlogged repairs and capital needs strain the system, increasing its dependence on taxpayer-funded city subsidies. Capital expenditures for improvements have risen 48% between 2021 and 2025, reaching $1.2 billion annually, primarily from city and state funds.

Critics argue that the focus on public or nonprofit housing overlooks NYCHA's systemic failures, suggesting that market-based solutions, where private owners must operate within financial constraints and cannot rely on public subsidies or tax increases, could offer a more efficient model. The argument is that competitive markets reduce opportunities for corruption and inefficiency, leading to better outcomes for residents and a lower cost of housing provision.