Four Groups Cite Potential “Chaos” if HUD Moves Forward
PHADA and other industry organizations wrote to HUD today regarding its cash management initiative. Following a September 18 letter to which HUD has not yet responded, the groups again requested a delay in the planned implementation of the Department’s schedule.
In the latest letter to HUD, the groups noted that “a delay was warranted even before the recent 43-day government shutdown.” The letter continued that because of “challenges arising from the shutdown—especially the HCV shortfall crisis and a still unresolved FY 26 HUD budget—a delay is essential to avoid mass confusion and budgetary chaos within the Department and at thousands of local housing agencies.”
The organizations stated that HUD’s plan, which is slated to begin in just one month, will result in large administrative burdens, increased costs, and cuts to resident services. The letter cited other problems, including insufficient technical assistance and the fact it has not gone through legally required rulemaking procedures. The letter is also being sent to key members of Congress.
Cash management issues will be covered at length during PHADA’s upcoming Commissioners’ Conference in January.