HUD Publishes Notice to Amend Fair Housing Regulations

The U.S. Department of Housing and Urban Development (HUD) recently published a notice seeking public comment on amendments to its Affirmatively Furthering Fair Housing (AFFH) regulations. HUD says it wants to offer more guidance to states and local communities in promoting fair housing choice through the use of federal funds.

This rule was initially published in 2015, and designed to provide HUD program participants with a revised planning approach to assist them in meeting their legal obligation to affirmatively further fair housing. However, HUD has found that in contrast to its stated goals, the AFFH rule proved ineffective, highly prescriptive, and effectively discouraged the production of affordable housing.

Last January HUD suspended the obligation of local governments to file plans under the regulation and, in May, withdrew a Computer Assessment Tool required to be used by local governments in preparing those plans. HUD found that rather than assisting local governments in formulating acceptable fair housing assessments, the Local Government Assessment Tool was confusing, difficult to use, contained errors, and frequently produced unacceptable assessments, and required an unsustainable level of technical assistance.

HUD is asking for public comment on changes to the regulation that will: minimize regulatory burden while more effectively aiding program participants to meet their statutory obligations; create a process focused primarily on accomplishing positive results rather than on analysis; provide for greater local control and innovation; seek to encourage actions that increase housing choice including through greater housing supply; and more effectively utilize HUD resources.