White House Proposal Could Cut Section 8 Housing Vouchers
- Author: Courtney Erdman
- Posted: 2025-05-06
Under this plan, the current Section 8 system would be replaced with block grants given to states. The White House has called the current rental assistance system “dysfunctional” and believes states should create their own programs based on their specific needs and priorities.
The proposal also aims to limit rental aid for able-bodied adults, ensuring that those individuals can only receive assistance for up to two years. After that, remaining funds would primarily go toward elderly or disabled renters.
Concerns About Increased Homelessness
Housing experts and advocates are warning that these cuts could lead to a large rise in homelessness across the country. Kim Johnson from the National Low Income Housing Coalition told NPR she fears homelessness could increase in a way that’s "unprecedented."
Currently, only about one in four households that qualify for rental aid actually receives it. If the cuts go through, advocates believe it could worsen an already dire situation. “Cutting that really feels like cutting into bone,” said Ann Oliva, CEO of the National Alliance to End Homelessness.
Advocates have also expressed concerns about new rules for homelessness funding. The proposal would prioritize temporary shelters instead of long-term housing solutions and could reduce control for local governments, which many experts say are better equipped to address homelessness in their communities.
Shifting Responsibility to States
The proposal would give states more decision-making power over federal housing funds, but the total amount of funding would be reduced. Experts say this could create pressure on states to fill the gaps with their own money, though many are skeptical that this will happen.
Jessica Kubicki of The Housing Collective in Connecticut highlighted potential ripple effects of the proposed cuts. She warned that reduced housing aid could increase demand for emergency healthcare, food assistance, and overcrowded schools. These changes could especially harm children already struggling with issues like hunger and poor access to education.
Additional Budget Cuts Target Housing Programs
The federal budget proposal released by the White House also suggests eliminating funding for programs that encourage the development of affordable housing, enforce fair housing laws, and fund community improvement projects.
The administration claims that some of these funds have been misused for projects like skate parks and public plazas, which don’t directly address housing needs.
Meanwhile, COVID-era emergency rental vouchers are running out faster than expected as rents continue to rise. HUD has warned that these emergency funds could dry up by next year, leaving local agencies unprepared to address the gap.
Broader Concerns About Federal Housing Support
The Trump administration has already made significant moves to scale back federal housing efforts, such as reducing the number of HUD staff and canceling contracts aimed at helping low-income households. A report from The New York Times reinforced concerns about further plans to downsize Section 8 and other programs.
However, not everyone supports cutting rental assistance programs. Earlier this year, a bipartisan group of lawmakers introduced a bill aimed at expanding Section 8 instead of shrinking it.
Still, the uncertainty around federal housing policies is already having an impact. For example, the Housing Authority of the City of Los Angeles announced in March that it has temporarily stopped accepting applications for new Section 8 vouchers due to the unclear federal budget.
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