Funding Bill Fails to Address Housing Crisis, Increase Accessibility and Affordability

Strategic Insights -

The proposed funding bill for the 2026 Transportation and Housing and Urban Development and Related Agencies faces criticism from Rep. James E. Clyburn, ranking member of the House Appropriations Subcommittee. Clyburn expressed deep concern over the bill's lack of investment in affordable housing, particularly in light of the growing housing shortage and homelessness crisis. With over 771,000 people experiencing homelessness, the bill's proposal to shortchange HUD's rental assistance programs by more than $5 billion and eliminate investments for eviction-prevention is seen as unacceptable.

Key Takeaways:

  • The bill proposes to shortchange HUD's rental assistance programs by more than $5 billion and eliminate investments for eviction-prevention, affecting hundreds of thousands of households.
  • The bill cuts housing construction and preservation programs by 46 percent, nearly half, including eliminating the PRO Housing and HOME programs, which help mayors and governors cut red tape and expand housing by 45,000 new units.
  • The bill also gives HUD broad authority to increase rent costs, while cutting programs that help put residents on a path to self-sufficiency and wealth building by 31 percent.
  • The bill ends grants to 10 HUD-certified housing counseling agencies in South Carolina, who educate and lead hundreds of homebuyers to successful homeownership each year.
  • The bill cuts Fair Housing activities by 67 percent, harming people with disabilities, who account for 53 percent of individuals filing discrimination claims.
  • The bill ignores the costly realities of climate change and takes $4.4 billion from the Bipartisan Infrastructure Law to make up for a woefully inadequate allocation.
  • The Republican-led bill prioritizes tax cuts for billionaires and big business, increasing the deficit by trillions of dollars over the next decade.

Statistics:

  • 771,000 people are experiencing homelessness in the United States.
  • 75 percent of low-income renters spend more than half of their income on rent.
  • 57,000 low-income and working households in South Carolina rely on HUD's rental assistance programs.
  • 7 million units are needed to address the housing shortage.
  • 46 percent of housing construction and preservation programs are being cut.
  • 5 billion dollars are being shortchanged from HUD's rental assistance programs.
  • 67 percent of Fair Housing activities are being cut.
  • 4.4 billion dollars are being taken from the Bipartisan Infrastructure Law to make up for a woefully inadequate allocation.

Sources:

  • "Ranking Member Clyburn Statement on Subcommittee Markup of 2026 Transportation and Housing and Urban Development and Related Agencies Funding Bill," Rep. James E. Clyburn, July 14. https://democrats-appropriations.house.gov/news/statements/ranking-member-clyburn-statement-subcommittee-markup-2026-transportation-and