Trump Admin Cuts Fair Housing Enforcement Funds

The administration under President Donald Trump has initiated the cancellation of grants for organizations that uphold the Fair Housing Act, which addresses housing discrimination for individuals throughout the United States. This information comes from documents reviewed recently.
The U.S. Department of Housing and Urban Development (HUD) usually distributes these grants to private nonprofits, which are crucial in enforcing the federal anti-discrimination law established in 1968. These organizations serve to educate communities, test for racial discrimination by landlords, investigate complaints, resolve disputes, and offer legal counsel when necessary.
In 2023, out of an estimated 34,000 fair housing complaints filed in the nation, private nonprofits were responsible for handling 75%. This data comes from a report by the National Fair Housing Alliance. State and local governments managed the majority of the remaining cases, while HUD and the U.S. Department of Justice handled less than 6% together. This year marked the highest number of complaints since the 1990s, with discrimination based on disability making up more than half of these cases.
Nikitra Bailey, executive vice president at the National Fair Housing Alliance, stated that nearly half of the 162 active grants provided to nonprofits are now on the chopping block. Many of these organizations depend solely on these grants, and some might be forced to close down, while others might have to reduce staff and services.
“Such actions are being taken while Americans strive to combat rising housing costs and a shortage of housing options,” Bailey expressed. “The country requires increased support from the federal government, not a retreat from essential civil rights.”
A HUD spokesperson noted, “The Department ensures our grantees and contractors comply with the President’s Executive Orders. If non-compliance is identified, we are obligated to act. The Department remains committed to serving Americans facing housing discrimination or eviction.”
Maureen St. Cyr, executive director of the Massachusetts Fair Housing Center, emphasized, “The program exists because fair housing laws require enforcement support. Legal support is essential for these rights to be upheld.” The organization, whose grant is being terminated, has helped families denied housing due to children, veterans in need of accessibility adaptations, and domestic abuse survivors facing unfair evictions.
“Our work relies heavily on limited funding,” St. Cyr mentioned.
The fair housing enforcement grants, part of HUD’s Fair Housing Initiatives Program, generally provide an annual amount of $425,000 per organization.
According to a termination letter accessed, HUD clarified that the cancellations are directed by Trump and the Department of Government Efficiency, in which billionaire Elon Musk plays a role. The sudden news late Thursday night caused widespread uncertainty as fair housing entities discussed potential impacts and sought clarity.
The Fair Housing Center of Metropolitan Detroit, which handles 200 to 300 annual complaints and addresses landlord disputes across a 4 million population area, is among those affected.
“This represents a substantial threat to our organization’s sustainability,” Steve Tomkowiak, the executive director, noted. “The move could compromise the existence of any fair housing enforcement group.”
For Kimberly Merchant, CEO of the Mississippi Center for Justice, the disempowerment or disappearance of these groups would mean unchecked discrimination, “It would essentially permit discrimination without accountability.”