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President's Proposed FY 21 Budget Calls for $8.6 Billion Reduction in Federal Housing Benefits

25 February 2020

On February 10, 2020, President Trump released his FY2021 budget request, including proposed funding levels for housing and homelessness programs. The proposed budget, if enacted, would reduce federal programs funding by $8.6 billion, or 15% below what was passed in FY2020. This cut to the U.S. Department of Housing and Urban Development (HUD) operating budget would put many low-income households at risk of housing instability and homelessness.

The proposed budget would eliminate the national Housing Trust Fund, Home Investment Partnership, Public Housing Capital Fund, Veterans Affairs Supportive Housing Vouchers, Family Unification, Mobility Demonstration and Community Development Block Grants.

Below are a few highlights from the proposed budget:

  • $2.7 billion for the Homeless Assistance Grants, a $4 million drop from FY 20.
  • Project-Based Rental Assistance is funded at $12.6 billion, a $72 million increase from FY 202. $18.8 billion in FY 21 for Tenant-Based Rental Assistance and the reallocation of $5.2 billion from this budget line item towards a separate Moving to Work account.
  • $3.5 billion in Public Housing Operating Fund, a 21% ($977 million) decrease from FY 20 levels.
  • $360 million for Healthy Homes and Lead Hazard, a $70 million increase in FY21.
  • $90 million for the Family Self-Sufficiency, a $10 million increase from FY20.
  • $100 million for the Jobs-Plus Pilot, a $85 million increase from FY20.
  • $50 million increase for the Housing for People with Disabilities and $60 million increase for the Housing for Elderly programs from FY20.

The National Low Income Housing Coalition’s (NLIHC) analysis of the President’s FY 21 budget can be accessed here.

A summary chart comparing the President’s FY 21 budget to previous years is available here.

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