With the city Housing Authority in long-term crisis, Mayor de Blasio last year finally admitted the need for radical change. Unfortunately, other city politicians still in denial are blocking vital steps to get NYCHA back on its fiscal feet.

As Nolan Hicks reported this week, Speaker Corey Johnson and other electeds wrote NYCHA chief Gregory Russ, insisting that the proposed “relocation of 72 low-income families at Fulton Houses to build luxury towers is unacceptable.”

No matter that the tenants would still be fine, nor that the move would allow for market-rate and affordable housing while raising $2 billion for NYCHA repairs.

This follows the recent Citizens Budget Commission warning that the city is falling short on the $24 billion master plan to turn NYCHA around, as several proposals like the Fulton Houses one have stalled.

“The longer they oppose these projects, the more NYCHA’s apartments deteriorate and the more expensive it becomes to fix them,” said CBC’s Sean Campion.

NYCHA’s Deborah Goddard notes that advocates are “instilling fear” among tenants to fight the changes.

Miguel Acevedo, president of the Fulton Houses Tenant Association, told Politico the city’s plan to demolish and rebuild his Chelsea public-housing complex is the residents’ best shot at better living conditions.

Campion told The Post that the pols opposing that project and similar ones aren’t “presenting any reasonable alternative to raise the [needed] cash.”

More bad news: The CBC also found that labor costs have spiked. And here, City Hall seems to be falling down: We hear it’s not moving to renegotiate NYCHA’s union contracts as they lapse — which may soon leave all the contracts open at once, giving labor maximum leverage.

Campion called the hopes for NYCHA’s survival “tenuous” without the full cooperation of all stakeholders, including labor unions and the private sector.

Even with billions in new federal, state and city cash, NYCHA is still at least $10 billion short of what it needs to reach a good state of repair. Leveraging its assets to get private money while still protecting tenants ought to be a no-brainer.