HUD Regulatory Impact Analysis: Proposed Mixed-Status Rule Would Result in Fewer Families Served; PHAs May Resort to Leaving Units Vacant, Delaying Vouchers
Apr 13, 2026
By NLIHC Policy Team
When HUD published its proposed mixed-status rule, the agency also published an accompanying Regulatory Impact Analysis (RIA). The RIA provides important insight into the anticipated costs and harms to HUD tenants if the proposed rule is implemented. According to HUD’s RIA, for example, the proposed rule (if implemented) would result in fewer vouchers and rental assistance available for low-income families, as well as less funding available for maintenance of public housing units. In fact, HUD acknowledges that public housing agencies (PHAs) may resort to allowing some public housing units to sit vacant to address the costs imposed by HUD’s proposal.
The RIA’s discussion also undercuts the argument that this rulemaking is needed to expand housing opportunities. For example, HUD asserts that the need for the proposed rule comes from ensuring that “only U.S. citizens or nationals and eligible noncitizens . . . have access to HUD financial assistance,” where current policy “permits prorated assistance of unlimited duration” without determining the immigration status of individuals. Yet, individuals with ineligible immigration status are not permitted to receive rental assistance under Section 214 of the “Housing and Community Development Act of 1980.” Furthermore, individuals who do receive rental assistance must contend eligible immigration status, and as detailed below, implementing the proposed rule would lead to increased costs per household and fewer families served overall.
NLIHC and immigration advocates urge housing advocates to comment in opposition to the proposed mixed-status rule using resources provided by the Keep Families Together campaign by April 21 at 11:59 pm ET; organizations can also sign a comment letter from the Protecting Immigrant Families Coalition by April 20 at 5:00 pm ET.
Read more background about the proposed rule here.
Regulatory Impact Analysis Reveals Significant Costs to Housing Providers, Families
While the RIA asserts benefits, HUD’s analysis reveals the stark realities of implementation of the proposed rule by describing how:
The average replacement households—fully eligible households on waiting lists for HUD-funded housing assistance—would require a higher amount of assistance than the average outgoing mixed status family. Moreover, the replacement household would receive a full subsidy rather than a prorated amount. HUD estimates that it would take, on average, $4,900 more per person to subsidize a replacement household.
Due to increased costs per household, HUD will be able to serve fewer people in the impacted programs. Without funding beyond the amount of assistance lost from mixed status households, HUD’s analysis states, “[t]he immediate effect would be a reduction in the number of households and eligible persons assisted.”
HUD acknowledges that the proposed rule could force housing providers to reduce their services to the community and raise the possibility of PHAs leaving units vacant. The RIA notes that PHAs may need to respond by “offering fewer” Housing Choice Vouchers to tenants “or delaying issuing vouchers.” PHAs may also choose to lower payment standards or use reserves. Regarding public housing, HUD states, “A PHA cannot eliminate or downsize the number of existing Public Housing units as easily as Housing Choice Vouchers. Instead, a PHA could leave some units vacant, which would defer the costs of turnover and operation. A more likely response by affected PHAs would be to reduce overall project expenses such as housing maintenance, protective services, management and leasing services, and/or self-sufficiency programs for tenants.”
If the proposal were finalized, HUD would need over $300 million in additional funds to serve the same number of families. Additional funding of $311-$385 million would be needed to maintain the same number of assisted family members.
Notably, eligible individuals would bear costs in new verification and documentation processes that impose barriers to accessing assistance, where:
HUD acknowledges that “a significant share” of the aggregate costs to verify eligibility under the proposed rule will fall on U.S. citizens and nationals. HUD states: “The total costs for existing tenants who do not have any of the required documents for verification range from $1.5 million to $6.4 million, where a significant share falls on U.S. citizens and nationals.” The costs and associated efforts of gathering documentation “could potentially result in denial, termination, or delay of housing assistance because some tenants and applicants cannot produce the required documents.”
The RIA also identifies costs for entities such as PHAs and housing owners, spanning the administrative costs of verifying eligible immigration status to the eviction and turnover costs of processing terminations, with minimal named costs for HUD. Related to eviction, the RIA concludes by briefly exploring the proposed rule’s impact on homelessness and coming up with an ambiguous net effect.
Take Action – Keep Families Together!
NLIHC supports the Keep Families Together campaign, led by National Housing Law Project and the Protecting Immigrant Families Coalition, to oppose the mixed-status rule. The Keep Families Together website includes resources to educate housing and immigration advocates about the real harms of HUD’s proposed changes, if finalized, would cause. Advocates are encouraged to monitor the Keep Families Together website and NLIHC’s resources for updates.
Take action to oppose HUD’s Mixed-Status Rule:
- Draft and submit your comment using the Keep Families Together website by April 21!
The website includes prompts for specific communities, including children, families, Latino, Black, and Asian American and Pacific Islander communities.
- Add your organization to a comment letter led by the Protecting Immigrant Families Coalition by April 20!
The comment letter summarizes how the proposed rule punishes U.S. citizens, while doing nothing to increase the availability of affordable housing.
Submit comments via regulations.gov by 11:59 pm ET on April 21, 2026.
Read HUD’s RIA here.
Explore the National Housing Law Project’s analysis and CBPP’s research.
Learn more about mixed status families’ access to housing assistance in Chapter 6 of NLIHC’s 2026 Advocates’ Guide.