New Yorkers are facing a pivotal moment as the city’s affordability crisis collides with both sweeping policy proposals and grassroots efforts aimed at easing the burden of soaring living costs. In recent weeks, two major developments have brought the city’s energy and housing challenges into sharp focus: Mayor Zohran Mamdani’s controversial plan to hike property taxes and a new community-driven initiative in Brooklyn targeting energy equity and workforce development.
On February 22, 2026, Mayor Mamdani unveiled a proposal to raise city property taxes by 9.5%, the first such increase since the early 2000s. The move, intended to shore up his ambitious $127 billion budget, has sparked intense debate across the five boroughs. While the mayor frames the hike as a last resort—one he hopes to avoid if Albany agrees to raise taxes on the city’s wealthiest residents and corporations—experts warn that the consequences could ripple far beyond property owners, landing squarely in the pockets of everyday New Yorkers.
According to the New York Post, the proposed hike would push the city’s property tax rate from 12.83% to 13.45%. Utilities like Con Edison and National Grid, which own significant real estate in the city, would be hit hard by the increase. But as John Howard, a former chairman of the state Public Service Commission (PSC), bluntly put it, "You’re not taxing Con Edison. You’re taxing the customers." Howard, a longtime critic of taxing utilities, explained, "The property tax on utilities in New York City is usury. The rate is so ridiculously high. The cost is passed along to the customers, and they don’t even know it."
These warnings are not just theoretical. The PSC, which regulates energy utilities, recently approved a three-year plan allowing Con Edison to raise electric bills by 10.4% and gas bills by 15.8% over the next three years. Even without Mamdani’s proposed tax hike, the average New York City utility customer is expected to pay an extra $600 per year by 2028, as reported by the New York Post. Taxes and fees already account for a staggering portion of monthly bills—about 30% of delivery charges for Con Edison customers and 25% for those with National Grid.
In a statement to the New York Post, a Con Edison spokesperson said, "Taxes and fees already total more than $3 billion a year, which is about 30 percent of delivery charges." National Grid, for its part, noted that it had not yet seen an official proposal regarding the property tax increase but confirmed the significant share of taxes in its billing structure.
The burden is particularly acute in New York, where utilities and their customers pay property taxes three to four times higher than the national average of 8%, according to a PSC report released last fall. The report found that these costs are routinely passed on to customers. "New York utilities, and their customers, pay an outsized amount of non-income taxes, including property taxes, compared to utilities across the country," the PSC stated. A spokesperson for the commission confirmed that these taxes are ultimately paid by utility customers, not the companies themselves.
Mayor Mamdani has positioned the property tax hike as a fallback—his "plan B"—should state lawmakers refuse to raise income and corporate taxes on the wealthy. The mayor argues that the additional revenue is necessary to fill a multi-billion dollar budget hole while advancing a platform that includes free bus fares and other progressive initiatives. However, the prospect of higher property taxes has drawn criticism from multiple quarters, including Governor Kathy Hochul, who, as of February 22, remains opposed to the proposed hikes. Some observers speculate that Hochul’s stance could soften after the upcoming November elections, but for now, the standoff continues.
Meanwhile, the affordability crisis is not just a matter of policy debates at City Hall. On the ground, New Yorkers are feeling the squeeze. Recent protests in Cambria Heights, Queens, saw residents voicing their opposition to the proposed property tax increases, fearing that higher utility bills and housing costs will make the city even less livable for working families.
Amid these uncertainties, a different approach is taking root in Brooklyn, where local nonprofits are banding together to tackle energy and housing challenges from the ground up. On February 18, 2026, Brooklyn Org and United Way of New York City, in partnership with the National Grid Foundation, launched the Brooklyn Energy Initiative—a multi-year, community-driven program designed to address energy affordability, housing stability, and workforce access.
The initiative, which spans 24 months, represents a shift away from traditional top-down solutions. As Dr. Jocelynne Rainey, president and CEO of Brooklyn Org, put it, "This initiative reflects what we know to be true—the most effective solutions are shaped by the communities closest to the challenges. We are grateful to continue our partnership with the National Grid Foundation in this new program, working together to invest in community-based nonprofits that are strengthening energy stability, workforce pathways and long-term equity across the borough."
The Brooklyn Energy Initiative operates on two main tracks: workforce development and household support. The first, dubbed the "Future of Energy," will provide eight nonprofits with $50,000 each to help prepare young adults and early-career workers for jobs in STEM and energy-related fields. Participants will receive technical training, green-skills development, and job readiness programming, as well as hands-on exposure to energy systems through site visits coordinated with National Grid. The goal is to build sustainable career pathways and foster local knowledge of clean energy practices.
The "Future of Homes" track targets residents facing the highest energy burdens and the poorest housing conditions. Six nonprofits will each receive $50,000 to support emergency heating assistance, energy efficiency upgrades, and retrofitting projects. The initiative also places a strong emphasis on community education, helping residents understand available resources, navigate assistance programs, and make informed decisions about energy use and household sustainability.
By directly involving communities in shaping solutions, the Brooklyn Energy Initiative aims to address not only the symptoms but also the root causes of energy insecurity and housing instability. The program’s focus on workforce development and household support reflects a recognition that lasting change requires both immediate relief and long-term investment in people and infrastructure.
As New York City grapples with the twin challenges of rising costs and persistent inequality, the contrast between top-down policy proposals and grassroots action has rarely been more apparent. Whether through sweeping tax reforms or targeted community initiatives, the search for solutions continues—one budget, one block, and one household at a time.