The Trump administration made a significant move on Wednesday by revoking a Biden-era fair housing proposed rule that aimed to address patterns of segregation in communities to receive federal funds.
Background of the Fair Housing Rule
In 2023, the Department of Housing and Urban Development (HUD) proposed the Affirmatively Furthering Fair Housing rule, which was a modified version of an Obama-era rule that President Donald Trump had eliminated in 2020. The rule was designed to combat housing discrimination.
Political Backlash and Withdrawal
The Biden White House did not finalize the rule, causing disappointment among fair housing advocates and some Democrats in Congress. Additionally, campaign concerns played a role in the rule not being implemented. During the 2020 campaign, Trump used the earlier version of the rule to criticize Democrats, alleging their intentions to "abolish the suburbs."
Had the 2021 rule been enforced, HUD would have needed to follow a formal process to revise or eliminate it. However, the Biden administration withdrew the proposal in January, leading HUD to release an interim final rule as a replacement.
Local Empowerment in Fair Housing
HUD Secretary Scott Turner emphasized the importance of empowering local and state governments to make decisions that align with their communities' needs. This shift in approach aims to build trust within local communities and protect the integrity of suburbs and neighborhoods.
Under the new guidelines, localities can self-certify their compliance with the 1968 Fair Housing Act's requirement of affirmatively furthering fair housing.
Reduction of Bureaucratic Burden
By terminating the rule, HUD aims to reduce the paperwork and financial strain on localities imposed by federal regulations. This change also grants more autonomy to local leaders in areas such as zoning, home building, and transportation.
Broader Implications
The Trump administration's decision is part of a broader effort to eliminate diversity, equity, and inclusion programs across the federal government. This move comes at a time when the homeownership gap between white and Black Americans remains significant, with historical implications.
As of now, 74% of white Americans own homes, while only 46% of Black Americans are homeowners. This 28-point disparity is wider than it was in 1960, highlighting persistent challenges in achieving housing equality.