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Politics
18 March 2025

Lawmakers Criticize HUD's Plan To Cut Fair Housing Funding

Senators warn drastic cuts could undermine civil rights and housing initiatives across the nation.

Senators Maxine Waters (D-CA) and Elizabeth Warren (D-MA) are raising alarm bells over the Department of Housing and Urban Development (HUD) and the Department of Government Efficiency's (DOGE) proposed cuts to fair housing initiatives, claiming these actions will severely hamper the enforcement of civil rights laws associated with housing. Their concerns center on HUD’s plan to cancel $30 million in grants aimed at supporting local fair housing groups, and also cut staff at both HUD and the Office of Fair Housing and Equal Opportunity (FHEO) by alarming percentages—50% and 77% respectively.

Along with 106 of their congressional colleagues, Waters and Warren sent a letter to HUD Secretary Scott Turner, urging him to fulfill his duty to enforce the Fair Housing Act of 1968 and related civil rights regulations. They reminded him, "Your duty to uphold fair housing isn’t discretionary" and criticized his decision to rescind regulations implemented during the Obama administration, including the Affirmatively Furthering Fair Housing (AFFH) Act and Equal Access Rules. The senators contend this stands in stark contradiction to Turner’s promises made during his confirmation hearing, where he pledged to protect fair housing.

The senators did not hold back, labeling Turner’s actions as “irresponsible” and warned they were “putting people’s lives at risk.” They voiced their concerns explicitly, stating, "Housing discrimination is illegal in the United States and violators may be subject to criminal penalties under the law," underscoring how the FHEO’s enforcement capabilities are pivotal to implementing and enforcing landmark civil rights laws.

Waters emphasized the potential repercussions of Turner’s policies, projecting, "We really are going to go backward," as she spoke with The New York Times. This sentiment resonates sharply among fair housing advocates, as they fear funding cuts could directly affect their abilities to serve communities adequately. Amy Nelson, Executive Director of the Fair Housing Center of Central Indiana, expressed frustration, saying, "There aren’t many funding options for us; we just don’t have alternatives."

While this situation creates tension, HUD maintains it is upholding the laws of civil rights. Kasey Lovett, speaking for HUD, responded to the charges from the senators, labeling their claims as “false accusations.” She asserted, "[Title VI of the 1964 Civil Rights Act] prohibits discrimination in HUD-assisted programs. That is the law on the books, and HUD will enforce it to the highest standard."

Simultaneously, the Trump administration has announced efforts to potentially utilize federal lands for affordable housing developments, marking another significant housing initiative. HUD Secretary Scott Turner and Secretary of the Department of the Interior (DOI), Doug Burgum, have promised to streamline the bureaucratic processes often associated with federal land use, citing cumbersome environmental reviews and complex regulations as hurdles. Their joint statement stressed this partnership aims to "cut through the bureaucracy" to address the estimated 7 million affordable housing shortages across the nation.

Within their strategy, the DOI plans to facilitate land transfers and leases to public housing authorities and nonprofit organizations, underscoring collaboration with local governments to align with affordability goals. Introduced alongside this was the caution from Daniel Hornung, who previously served as Deputy Director of Biden's National Economic Council. He praised the move but acknowledged its limitations, particularly when it came to the need for both suitable land and adequate infrastructure. “Where these processes really need to begin is trying to understand where there’s both land where building is possible and where infrastructure needs are met,” he stated on March 17, 2025.

While the focus will be on often overlooked rural and tribal communities, Hornung cautioned against overestimations, saying, "I think it’s important also not to overstate this as some kind of panacea for housing policy." His remarks harmonize with the general apprehension expressed by housing advocates who worry about the ramifications of funding cuts to fair housing enforcement.

Despite the backing from Trump’s administration, the pressing issue remains how local fair housing groups will cope without significant federal support. Critics argue the approach by HUD and DOGE might simply be shifting the responsibility to private entities to fill the gap left by federal funding cuts, raising doubts about the sustainability of their proposed housing solutions.

Moving forward, HUD's commitment remains shrouded as the agency navigates deep scrutiny from Congress amid budget reviews. With March 27, 2025 as the deadline for Turner to respond to the eight pointed questions posed by Waters and Warren, all eyes will be on how HUD justifies its direction for fair housing enforcement. The call for transparency and accountability echoes as the nation awaits Turner’s responses and considers the broader impact of federal decisions on local housing policies.