HUD’s housing choice voucher program is racially segregated in most areas of the country. Nationwide, the 2 million plus vouchers are located in census tracts that are on average 56% minority. HUD, Picture of Subsidized Housing, US Total, 2015 based on 2010 Census.¹ HUD has made available the data and the maps showing the racial segregation of vouchers into concentrated minority areas with extremely high poverty to every CDBG grantee in the country.² HUD’s current Fair Market Rent setting process has been a causal factor creating, maintaining, and perpetuating this racial segregation. The GAO has been pointing out this effect for decades.³
Do you want to know whether the HUD Fair Market Rents (FMRs) perpetuate racial segregation in your urban area compared to the available SAFMRs for your urban area? The following guide will help answer this question.
Do the HUD Fair Market Rents perpetuate racial segregation in an urban area?
The following guide shows how to determine whether the existing HUD FMR Area FMR perpetuates racial segregation by making a higher percentage of units available by gross rent in minority areas than in majority White non-Hispanic areas. In the example used, the Cleveland-Elyria, Ohio MSA, the 2017 FMR makes the following percentages of units available by race of Zip Codes.
To evaluate your area download the following documents that will guide you through the process of determining the percentages of units available by your existing HUD FMR Area Fair Market Rent:
Worksheet Guide: Calculating percent units available by ZCTA formula document.xls
One useful comparison for the voucher racial distribution is to use the percentage of renter occupied units available by gross rent in minority and in majority White non-Hispanic areas.
For questions or assistance please fill out and submit the following form and someone with DBPC will get back with you ASAP.
²Maps and data at https://egis.hud.gov/affht/; data at https://www.hudexchange.info/resource/4868/affh-raw-data/.
³Comptroller General, “Major Changes Are Needed in the New Leased Housing Program, 1977, CED-77-19, pages 3, 43; GAO, “Deconcentration of Low-Income Persons Through Section 8 Housing Assistance,” 1978, pages “document resume”,1, Enclosure I, page 2