This past February, CHAPA and Klein Hornig LLP pushed back against a proposal from the U.S. Department of Housing Preservation and Development (“HUD”) that would rescind rules related to disparate impact liability under the federal Fair Housing Act (“FHA”). CHAPA’s public comments outlined how the proposed changes, if adopted, would exacerbate housing discrimination by limiting accountability for housing activities that have a discriminatory effect. Those changes remain on hold pending a final decision from HUD.
In the meantime, HUD has issued a supplementary proposal seeking to extend the scope of the planned rollback. The new proposal would end rules for HUD-funded programs, which forbid practices that have a discriminatory effect on program applicants or participants. The public comment period for these changes closed on 10/9. And, last week, CHAPA joined Klein Hornig and Harborlight Homes in submitting a new set of comments opposing the changes.
This new proposal, like the initial one, would reduce accountability for activities with a discriminatory impact. And because it effects rules for HUD programs, it threatens equitable access to things like rental assistance.
Under federal law, HUD must now review and respond to timely filed public comments before it can implement any part of the new proposal.