HUD Faces Challenges with 24% Staffing Cut Amid New Housing Law Implementation
The Department of Housing and Urban Development (HUD) is tasked with implementing a new federal housing law, the 21st Century ROAD to Housing Act, which introduces significant changes to federal housing policy. This law includes provisions such as the Innovation Fund and Build Now, aimed at increasing housing supply through various local government initiatives. However, HUD faces a 24% reduction in federal funding for staffing in fiscal year 2026, raising concerns about its capacity to manage the implementation of at least 35 new or updated programs and regulations. The Innovation Fund will provide $200 million in annual competitive grants from fiscal 2027 through 2031 to communities that increase housing supply by revising zoning laws and other measures. 
