Elon Musk‘s recent waving of a chainsaw at the Conservative Political Action Conference represented, he said, what he is doing to bureaucracy.
The Associated Press, based on documents it obtained, recently reported that the Trump administration could slash as many as 50% of the jobs at the Department of Housing and Urban Development, resulting in the loss of 4,000 positions. Particularly concerning to HUD workers — many of whom have been tasked with tackling the housing crisis — is that their job losses could worsen affordability issues.
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$260 Million in Cuts
HUD spokesperson Kasey Lovett told the AP that the leaked documents “should not be taken as final.” However, the dramatic employee culling aligns with what HUD Secretary Scott Turner, recently said in a video: that the White House’s Department of Government Efficiency had identified $260 million in cuts and counting.
“I’m happy to announce the DOGE task force here at HUD. We will be very detailed and deliberate about every dollar spent in serving tribal, rural, and urban communities across America,” said Turner. “We will identify and eliminate all waste, fraud, and abuse.”
Disaster Relief
The government proposes cutting 84% of the staff from the Office of Community Planning and Development. The department is responsible for repairing homes and infrastructure after natural disasters. It recently administered $1.65 billion sent to North Carolina after Hurricane Helene.
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It is also responsible for Community Development Block Grants, which help local governments develop libraries and affordable housing. The cuts proposed in the documents would reduce the office from 936 to 150 employees.
“That would lead to significant delays in funding getting out to communities nationwide,” Ann Oliva, former HUD official and now CEO of the National Alliance to End Homelessness, told the AP.
Rental Assistance
The Office of Public and Indian Housing, which facilitates rental assistance subsidies for more than 3.5 million households and supports public housing for roughly 1 million people, could half its employees halved from 1,529 to 765.
This department plays a pivotal role in the Section 8 vouchers program that assists low-income people afford their rent.
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First Time Home Buyers
The Office of Housing, which oversees the Federal Housing Administration, could see a 44% staff loss of 1,000 employees. The department allows lower-income earners to get on the property ladder by providing mortgage insurance when buying homes with a low downpayment.
Losing such a large percentage of its workforce could slow down the homeownership process, Antonio Gaines, a longtime department staffer and president of AFGE National Council 222, which represents HUD workers, told the AP.
“There are going to be consequences all the way across the board,” Gaines said.
The department said on X that it would prioritize “the critical role FHA plays in the mortgage market.”
Housing Discrimination
The Office of Fair Housing and Equal Opportunity enforces the nation’s fair housing laws. Under the new proposal, their workforce would be cut more than any other department — by 77% — from 572 employees down to 134. According to the AP, many people view this as indicative of the Trump administration’s determination to do away with DEI initiatives. Turner said in a statement that HUD had already canceled $4 million in DEI contracts.
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