Led by Senator Angela Alsobrooks (D-MD), 25 senators wrote to the U.S. Department of Housing and Urban Development (HUD) on February 20 about reports that HUD plans to “cancel a program serving families, seniors, and people with disabilities and fire half of its workforce.”
According to leaked documents from HUD, initial reports show a plan to eliminate half of HUD’s field offices and cut HUD’s workforce by 50%, an amount LeadingAge believes will result in insufficient staff to administer its programs. “HUD engages in critical work supporting communities in expanding their housing supply, providing rental assistance, and preventing homelessness—work that is urgently important for millions of Americans looking to purchase a home to build generational wealth or find an affordable place to rent,” the letter says.
In addition to concerns expressed in the letter about closed field offices and historic staff reductions, the letter raises concerns about the future of HUD’s Green and Resilient Retrofit Program (GRRP) for multifamily housing.
Many LeadingAge members have received GRRP funds to preserve their properties. GRRP was authorized by the 2022 Inflation Reduction Act. A January 20 executive order from President Trump directed all agencies to “immediately pause the disbursement of funds appropriated through the Inflation Reduction Act of 2022.” The letter takes issue with HUD’s efforts to recall GRRP funds. “These funds have already been awarded and obligated to nonprofits and other housing providers to improve more than 30,000 homes all across the country. But now, HUD is trying to claw these funds back, cancelling signed contracts and breaking its word to residents and owners,” the letter says. “Without these funds or continued trust in HUD as a reliable partner, some properties in dire need of rehabilitation may opt out of the program and be permanently lost from our country’s already limited stock of affordable housing, in red and blue states alike.”
The letter also asks about reports that future grants are paused. LeadingAge has expressed concerns with congressional offices that the latest Section 202 Supportive Housing for the Elderly awards and new Service Coordinator grants, announced by HUD on January 15, continue to be paused.
As LeadingAge meets with Senate and House office to educate them about the impact of Section 202 and Service Coordinator funding pause and the loss of GRRP funds and half of HUD’s staff, we also urge providers to reach out to congressional offices directly as well.
Read the letter here.
Follow the latest DOGE-developments and more in our EO Compliance, Funding Freeze, and DOGE Updates serial post.