'Reject Trump HUD cuts,' city, state leaders tell Congress

A coalition of elected officials across the country is calling on Congress to continue funding of affordable housing programs targeted for elimination by the Trump administration. 

Trump's proposed fiscal year 2026 budget calls for the cancellation of the Community Development Block Grant and Home Investment Partnerships programs, both offered through the Department of Housing and Urban Development. The two HUD programs provide grants to local and state jurisdictions that create affordable housing and economic development opportunities to promote community investment. 

Axing CDBG and Home would save HUD over $4.5 billion, according to the Trump administration. Both are among a long list of cuts to government-sponsored programs and agencies that have been a trademark of President Trump's second term.  

"Eliminating CDBG and Home would devastate local economies and erase hard-won progress, especially in rural and underserved areas," said Vicki Watson, executive director of the National Community Development Association, a nonpartisan nonprofit that helps administer HUD funding to local communities. 

In a letter to the Senate and House Appropriations Subcommittee on Transportation, Housing and Urban Development, close to 400 local and state leaders underscored the need for such programs to meet housing needs in communities of all sizes. Signees included leaders from the National Association of Counties, National League of Cities and U.S. Conference of Mayors, who called on Congress to continue government support. 

"Hundreds of U.S., state and local elected leaders across the nation agree that these programs work. The idea that cities, counties and municipalities should shoulder the burden of funding them ignores both the scale of the need and the federal government's responsibility to invest in equitable growth," Watson added.  

The groups asked Congress to reject Trump's proposals and maintain funding at a minimum of fiscal-year 2025 levels. The federal fiscal calendar begins on Oct. 1.  

The letter noted the Home program's success in building and rehabilitating housing to add much needed inventory. CDBG also provides funding tailored to each individual community's needs, with benefits going to every state, it said. 

Trump Administration's broader cuts to expenses

Since taking office in January, President Trump has focused on slashing federal spending often with the complete elimination of programs and initiatives offered through government agencies. The Trump administration frequently relied on analysis from the Elon Musk-led Department of Government Efficiency, but DOGE also faced allegations of exceeding its authority and overstating the amount of cost savings to be achieved. 

HUD Director Scott Turner similarly embarked on cost-cutting measures since being appointed to head the department, launching his own DOGE task force in February. Among other proposed HUD cuts in Trump's budget are a large reduction in state rental-assistance block grants and the elimination of other programs that create housing opportunities in Native American communities. 

Earlier this month, Turner also celebrated rollbacks he made to the Affirmatively Furthering Fair Housing rule, effectively removing regulations on developers to show compliance with measures focused on anti-discrimination and accessibility. At a conference in May, Turner said his move would give more power to state officials to create their own laws.

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HUD Politics and policy Trump administration Housing markets
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