Governor Hochul Announces Capital Region Winners of Downtown Revitalization Initiative and NY Forward Program

Governor Kathy Hochul today announced that the City of Rensselaer will receive $10 million in funding as the Capital Region winner of the ninth round of the Downtown Revitalization Initiative (DRI), and the City of Watervliet and the Village of Scotia will each receive $4.5 million as the Capital Region winners of the fourth round of NY Forward. Combined Round 9 of the DRI and Round 4 of the NY Forward program provide a state-wide investment of $200 million in funding to help communities continue transforming their downtowns into vibrant centers. To date, total investments in the DRI and NY Forward have reached $1.4 billion.

"Our downtown areas are the lifeblood of communities, and it is time that communities across the state feel uplifted and supported," Governor Hochul said. "With this funding, the Capital Region can expect to further unlock its housing potential, bolster their local economies and create thriving, better-connected communities for residents."

To receive funding from either the DRI or NY Forward program, localities must be certified under Governor Hochul's Pro-Housing Communities Program, which recognizes and rewards municipalities actively working to unlock their housing potential and encourages others to follow suit. After becoming certified, localities have exclusive access to up to $750 million in discretionary State funding, including DRI and NY Forward. Since the launch of the Pro-Housing Communities Program, funds awarded to Pro-Housing Communities throughout the state have supported up to 20,000 more homes. To date, more than 400 communities across New York have been certified.

Many of the projects funded through the DRI and NY Forward support Governor Hochul's affordability agenda. The DRI has invested in the creation of more than 5,000 units of housing - more than 2,000 of which (40 percent) are affordable or workforce housing. The programs committed $9 million to 12 projects that provide affordable or free childcare and childcare worker training. The DRI and NY Forward have also invested in the creation of public parks, public art - such as murals and sculptures - and art, music and cultural venues that provide free outdoor recreation and entertainment opportunities.

$10 Million Downtown Revitalization Initiative Award for Rensselaer
Seated along the Hudson River with sweeping views of the Albany skyline, the City of Rensselaer is set to transform its downtown into a vibrant, connected destination. The compact, walkable DRI district centers on the Columbia Street corridor, the Broadway business community and the Albany-Rensselaer train station - one of the busiest rail hubs in the nation, serving between 800,000 and 900,000 passengers annually - linking residents, commuters and visitors to opportunities across the Capital Region. Building on strong housing growth and new investments, the City aims to continue constructing a downtown that blends historic character with modern development, from waterfront apartments and adaptive reuse projects to expanded public amenities and cultural spaces. Rensselaer's strategic location near major employers, State offices and regional healthcare institutions supports a diverse and growing workforce, while its relative affordability attracts new residents seeking connectivity and quality of life. A robust network of parks, trails and multimodal transit options strengthens access to recreation, employment and neighboring communities. Guided by community-driven planning - including the recently completed Rensselaer Rising Brownfield Opportunity Area Plan, funded by the Department of State - and a commitment to equity, sustainability and accessibility, the City is advancing a vision that reconnects neighborhoods to the riverfront and downtown core.

$4.5 Million NY Forward Award for Scotia
Centered along the historic Mohawk Avenue corridor and scenic waterfront, the Village of Scotia blends small-village charm with regional opportunity. The community stands at a pivotal moment, building on years of thoughtful planning, public engagement and visible reinvestment to shape a vibrant future. Strategic initiatives such as the Envision Scotia Brownfield Opportunity Area Plan and Downtown Connections Plan have laid the groundwork for revitalization that honors the Village's heritage while embracing inclusive, sustainable growth. Recent park and trail enhancements, private redevelopment, and targeted small-business support demonstrate a momentum that residents can see and feel. Scotia's walkable streets, historic architecture and cultural opportunities foster a strong sense of place, while its proximity to major employment centers positions the Village to capture regional housing demand and economic expansion. Scotia is poised to transform underutilized properties, strengthen its downtown and waterfront, and create a thriving, connected community that balances progress with preservation.

$4.5 Million NY Forward Award for Watervliet
Situated along the Hudson River in the heart of the Capital Region, the City of Watervliet is reimagining its future as a vibrant, inclusive riverfront community. Centered on the historic 19th Street corridor, the City's compact downtown serves as a walkable hub of neighborhood businesses, civic spaces and daily services that anchor community life. Strategic investments will enhance streetscapes, strengthen small business vitality and create safer, more accessible connections between homes, schools, parks and the waterfront. Watervliet's proud industrial heritage, shaped by the legacy of the Watervliet Arsenal and generations of working families, continues to inform its identity while new housing and infrastructure investments support a modern, resilient future. The City will build on the tradition of collaboration and civic pride to create a welcoming downtown where historic character, waterfront access and community-driven growth come together to elevate quality of life for residents and visitors alike.

The City of Rensselaer joins Catskill, Lake George, Troy, Cohoes, Tannersville, Schenectady, Albany, Hudson and Glens Falls as winners of the DRI for the Capital Region, while the City of Watervliet and Village of Scotia join Greenwich, Athens, Hoosick Falls, Kinderhook, Schuylerville, Cambridge and Coxsackie as NY Forward winners for the Capital Region.

New York Secretary of State Walter T. Mosley said, "These three waterfront communities are poised to experience a wave of transformational investment that will unlock their potential for years to come. Now, the residents of Rensselaer, Watervliet, and Scotia will come together to shape a shared vision for the future of their downtowns. We thank Governor Kathy Hochul for her continued leadership and commitment to investing in these programs. We look forward to seeing the projects each community selects, and our Department of State team stands ready to support them every step of the way."

Empire State Development President, CEO and Commissioner Hope Knight said, "Strategic investments and public-private partnerships that advance transformational projects are vital to New York's community development efforts. Under Governor Hochul's leadership, the State continues to utilize these strategies through programs like the DRI and NY Forward, with Rensselaer, Scotia and Watervliet as the latest Capital Region awardees poised to generate tangible economic growth."

New York State Homes and Community Renewal Commissioner RuthAnne Visnauskas said, "Today's $19 million in Downtown Revitalization and New York Forward awards for three Capital Region municipalities reflect Governor Hochul's unwavering commitment to helping communities grow in ways that are vibrant, equitable and sustainable. By pairing downtown investment with our Pro-Housing Communities framework, we're ensuring that places like Rensselaer, Watervliet and Scotia can welcome new businesses, support existing employers and create the homes New Yorkers need. Many of these projects will expand access to housing, strengthening local economies while keeping these communities inclusive for generations to come."

New York State Energy Research and Development Authority President and CEO Doreen M. Harris said, "Reimagining our downtowns as more efficient, resilient and vibrant community hubs is an important part of New York's clean energy future. These investments in the City of Rensselaer, the City of Watervliet and the Village of Scotia will enhance the quality of life for residents and help sustain economic growth across the Capital Region."

New York State Canal Corporation Director Ben Walsh said, "As the former Mayor of Syracuse, a Canal community and 2022 DRI recipient, I have experienced firsthand the transformative impact of the DRI program. In my current role as Director of the Canal Corporation, I am excited to see how these investments shape Watervliet and Scotia, two more vibrant Canal communities located in the heart of the Capital District."

State Senator Jacob Ashby said, "People have no idea how much work our municipal leaders and their dedicated staff put into crafting detailed, compelling applications for grants that can truly transform and enhance quality of life for their residents. Congratulations to the Patricelli, Stammel and DeFrancesco administrations for their years of planning and hard work. This is exactly why I've worked across the aisle to support full DRI and NY Forward funding in the budget to bring these versatile housing, infrastructure, and economic development resources back to our district where they belong!"

State Senator Patricia Fahy said, "When we invest in our local Capital Region communities, we invest in people, infrastructure, and the creation of vibrant communities that people want to call home. Delivering $4.5 million for the Village of Scotia will help our community transform its waterfront and Main Street while preserving its storied history and past. I'm excited to work with Mayor Bucciferro, the Village Board, and community members to maximize the benefits and multiplier effects of this investment, and I can't wait to see what's next for our community."

Assemblymember John T. McDonald III, RPh said, "As a former Mayor, I know how important it is to ensure that our communities receive funding that will support their economic development and vitality. That is why I previously worked with and supported the cities of Albany, Troy, and Cohoes as they pursued their successful Downtown Revitalization Initiative Awards and it is welcome news that today the City of Rensselaer is receiving a DRI award and the City of Watervliet is receiving a NY Forward award. I have worked with these two 108th District communities and their current administrations as they have pursued this funding and I am grateful to see the efforts result in these well-deserved awards for their thoughtful applications. Thank you to Governor Hochul, NYS Department of State, and Empire State Development and I look forward to continued collaboration on these proposals as they evolve."

Assemblymember Angelo Santabarbara said, "This is a major win for the Village of Scotia. It creates a real opportunity to improve underused spaces, help small businesses grow, and make their downtown an even stronger destination in the Capital Region. Supporting this funding was important because it will make a real difference in building on the momentum already underway in Scotia. I look forward to continuing to work with local leaders and community members to help turn this investment into real progress for our community."

City of Rensselaer Mayor John DeFrancesco said, "This transformative investment in the future of the City of Rensselaer will allow us to build on our momentum, strengthen our downtown and create new opportunities for residents, businesses and visitors alike. On behalf of our residents, I want to thank Governor Kathy Hochul and New York Secretary of State Walter T. Mosley for their continued commitment to communities like ours. We are proud to partner with the State as we reimagine what's possible for Rensselaer and ensure a vibrant, connected future for generations to come in this city along the Hudson."

Village of Scotia Mayor David Bucciferro said, "On behalf of the Village of Scotia, I'd like to thank Governor Kathy Hochul for her leadership and commitment to communities like ours. We are also grateful to Empire State Development for this $4.5 million NY Forward grant, and to Secretary Mosley for his continued support. We are truly honored. This funding is a tremendous opportunity for Scotia, and wouldn't be possible without the Envision Scotia Committee, LaBella Associates, Metroplex along with our Board of Trustees, Village staff, and past administrations. This was truly a team effort for such a special place. From our location along the Mohawk River to the high level of services we provide, we are proud to be a walkable, safe, and welcoming community - one that people are proud to call home. This investment is a transformational moment for our village. We look forward to working with our residents, businesses, and partners to bring the NY Forward vision to life."

City of Watervliet Mayor Charles V. Patricelli said, "On behalf of the residents and business owners who have invested in Watervliet, I want to sincerely thank Governor Hochul and her team for this tremendous opportunity. This New York Forward award will help revitalize our business corridors and expand housing opportunities - not only for our community, but for the entire Capital District region. I look forward to sharing this exciting news with the Arsenal City community, whose hard work and dedication made this achievement possible."

Contact the Governor's Press Office