Trump targets 100 HUD programs for potential funding freeze
Major
programs
with
HUD
include
Community
Development
Block
Grants
(CDBG),
the
public
housing
operating
and
capital
funds,
Section
8
housing
vouchers,
the
Choice
Neighborhoods
program
and
Project
Based
Rental
Assistance.
There
are
numerous
other
programs
related
to
youth
homelessness,
native
Americans,
fair
housing,
lead
reduction,
veterans
housing,
people
with
AIDS
and
manufactured
housing.
Politico
was
the
first
to
report
the
news.
“Even
a
short
pause
in
funding
could
cause
significant
harm
to
low-income
families
and
their
communities,”
said
Low
Income
Housing
Coalition
Interim
President
and
CEO
Renee
Willis
in
a
statement.
“The
longer
the
freeze
continues,
the
greater
the
risk
that
low-income
households
receiving
federal
rental
assistance
could
face
eviction,
and
in
the
worst
cases,
homelessness,
homeless
shelters
may
be
forced
to
close
their
doors,
and
nonprofit
organizations
may
have
to
lay
off
staff.”
Programs
related
to
mortgages
and
loans
also
made
the
list.
Those
include
mortgage
insurance
for
rehabilitation
projects,
manufactured
housing
and
disaster
victims.
Notably
missing
is
the
Low
Income
Housing
Tax
Credit
(LIHTC)
program,
which
real
estate
developers
use
to
help
fund
projects
in
exchange
for
renting
a
percentage
of
units
at
affordable
rates.
Funding
levels
for
HUD
programs
are
determined
by
the
budget
process
between
Congress
and
the
presidential
administration.
Typically
the
administration
submits
a
budget
request,
and
Congress
negotiates
on
the
basis
of
that
request
and
then
sends
their
agreement
to
the
president
for
approval.
Given
this,
it’s
unclear
whether
the
administration
has
the
legal
authority
to
freeze
funding
for
programs
it
targets
in
the
memo.
Many
of
the
programs
could
present
thorny
political
programs,
most
notably
veterans
housing
and
CDBG,
which
state
and
local
government
heavily
rely
on.
During
Trump’s
first
term,
his
budget
requests
included
defunding
and
shuttering
many
of
the
same
programs
that
are
targeted
in
Tuesday’s
memo,
including
CDBG,
public
housing,
rental
vouchers
and
veteran
housing.
The
current
review
is
part
of
a
broader
effort
by
the
Trump
administration
to
shrink
the
footprint
of
the
federal
government.
Monday
night
the
administration
ordered
a
freeze
on
all
foreign
aid,
and
personnel
at
many
federal
agencies
have
already
been
affected.
On
Friday,
the
Trump
administration
fired
more
than
a
dozen
inspectors
general,
including
Rae
Oliver
Davis,
who
served
in
that
capacity
for
HUD.
Previous
moves
by
Trump
that
affect
housing
include
a
federal
hiring
freeze
and
regulatory
freeze.