Gov. Kathy Hochul has launched a competitive Request for Proposals for a 6.13-acre parcel of the Mohawk Valley Psychiatric Center campus in Utica, inviting developers to propose a mix of supportive and affordable housing that the state says could receive capital funding from the Office of Mental Health.
What the RFP requires
The announcement asks respondents to present a development plan that includes:
- at least 50 units of supportive housing for people with serious mental illness;
- approximately 100 additional units of affordable housing;
- space for supportive services if feasible;
- a plan for demolition of existing buildings and necessary infrastructure improvements.
The governor’s office said capital funding to build the supportive units is expected to come from the Office of Mental Health, but it noted operating funding is not available through this procurement.
Funding and state housing initiative
The RFP is part of NY‑RUSH — Governor Hochul’s $500 million Redevelopment of Underused Sites for Housing initiative — funding that was first secured in the FY25 Enacted Budget to accelerate development on underutilized state properties. The governor’s office said NY‑RUSH funding can be used to offset costs related to redevelopment of the site.
Local response and campus history
Oneida County Executive Anthony J. Picente endorsed the move, saying redevelopment of the underused property would expand housing options in Utica.
“Expanding access to affordable and supportive housing is essential to meeting the needs of our residents and strengthening our communities. Redeveloping underutilized property on the Mohawk Valley Psychiatric Center campus presents an opportunity to put this land to productive use while creating housing options for individuals and families in Utica,” Picente said.
The parcel sits on the larger 119-acre campus that includes land and buildings from the historic Utica State Hospital, which first opened in 1843, and the Marcy State Hospital, added in 1911. The two facilities were merged in 1985 to form the Mohawk Valley Psychiatric Center, which remains operated by the Office of Mental Health.
Next steps and timeline
Proposals in response to the RFP are due Feb. 1, 2027. The governor’s office said respondents should include both the housing program and the site work needed to enable construction, including demolition and infrastructure upgrades.
Officials framed the procurement as an effort to reuse state land to add affordable and supportive housing units in Utica while providing space for services that serve people with serious mental illness. The Office of Mental Health will be a capital funder for the supportive units, though operating subsidies will need to be secured separately if a project is selected.
