Whistleblowers Reveal HUD’s Undercutting of the Fair Housing and Civil Rights Laws, NLIHC Joins National Fair Housing Alliance in Denouncing HUD’s Fair Housing Failures—Take Action to Defend Fair Housing Now!
Sep 29, 2025
By NLIHC Policy Team
Under the current Trump Administration, the U.S. Department of Housing and Urban Development (HUD) leadership is attempting to dismantle civil rights and fair housing protections. Whistleblowers from HUD’s Fair Housing and Equal Opportunity (FHEO) office have recently come forward with details on HUD’s actions. A September 22 New York Times article reveals the extent of the Administration’s efforts, using internal communications, interviews, and whistleblowers’ accounts to provide evidence that HUD is directly impeding fair housing laws and allowing for housing discrimination. NLIHC joined National Fair Housing Alliance, publicly denouncing HUD’s abdication of its fair housing obligations and applauding the public servants who called attention to HUD’s alleged violation of civil rights law. Tell your members of Congress that the “Fair Housing Act” is not optional, and HUD must defend civil rights in housing!
Whistleblower Testimonial
Four civil rights attorneys at HUD submitted a whistleblower disclosure to Senator Elizabeth Warren (D-MA), ranking member of the Senate Committee on Banking, Housing, and Urban Affairs. Senator Warren then sent a letter to HUD’s Acting Inspector General, urging him to open an investigation into its Office of Fair Housing and Equal Opportunity (FHEO). The letter urges the Office of the Inspector General to investigate claims made by the whistleblowers, as mentioned in the NYT article and whistleblower reports, including:
- The Trump Administration views a well-staffed OFH as an “optics problem” and has intentionally reduced the size of the office responsible for enforcing fair housing and civil rights laws by 70%.
- HUD will no longer have the capacity to enforce VAWA, leaving domestic violence, sexual assault, and human trafficking survivors with nowhere to turn.
- HUD officials are systemically undermining OFH's civil rights enforcement and compliance obligations, including subjecting OFH attorneys to an unprecedented “gag order”—increasing the risk of waste, fraud, and abuse.
- HUD has inappropriately closed or halted at least 115 housing discrimination cases by intercepting referrals to the DOJ and withdrawing legal charges.
- Congressionally mandated Fair Housing Initiatives Program (FHIP) funds are in limbo due to Trump Administration delays.
FHEO attorneys and staff have been subject to retribution for upholding fair housing laws, with many facing reassignments to other offices within HUD, staff being restricted in their activity and access to records, and some FHEO staff have been fired. Five civil rights attorneys at HUD filed a lawsuit claiming that HUD’s FHEO was targeted for forced reassignment out of their office.
NLIHC Denounces HUD’s Abandonment of Civil Rights Law
Interfering with the office’s statutorily required work under the pretext of this Administration’s opposition to “DEI” initiatives creates profound harm through a failure to enforce fair housing protections under the law. NLIHC joined the National Fair Housing Alliance (NFHA)’s statement condemning HUD’s de-prioritization of discrimination complaints, removal of fair housing protections, and degradation of enforcement infrastructure—actions that leave considerable populations vulnerable by depriving them of access to fair and affordable housing. From veterans with disabilities seeking permanent housing to women experiencing sexual harassment by their landlords, HUD’s fair housing staffing and enforcement actions play a pivotal role in keeping families safely housed, without discrimination.
HUD has already taken dramatic actions to sidestep civil rights and fair housing by:
- Allowing shelter discrimination based on sexual orientation, gender identity, and marital status by failing to enforce the Equal Access Rule (see Memo, 2/10);
- Replacing the Affirmatively Furthering Fair Housing (AFFH) rule with an interim final rule that merely requires HUD grantees to self-attest to their commitment to fair housing (see Memo, 3/3); and
- Suddenly and unlawfully terminating Fair Housing Initiatives Program (FHIP) grants that are used to identify and counteract housing discrimination, counsel people seeking housing, educate the public about fair housing law, and to enforce fair housing protections (see Memo, 3/17 and 4/7).
Disparate Impact Rule Completes Regulatory Review
The whistleblowers’ testimony is consistent with other recent actions by HUD that enable discrimination in housing and HUD programs. The final rule on the implementation of the “Fair Housing Act” disparate impact standard (“Disparate Impact Rule”) has cleared the Office of Information and Regulatory Affairs (OIRA) at the Office of Management and Budget (OMB) and now remains at OMB. The Rule was under regulatory review at OIRA in August (see Memo, 8/11) and now advocates await its publication in the Federal Register. NLIHC joined a National Fair Housing Alliance (NFHA) letter with over 90 civil rights and housing advocates urging OMB Director Russel Vought and HUD Secretary Scott Turner to preserve the 2023 “disparate impact” rule, and NLIHC will continue to monitor its progress (see Memo, 9/15).
Fair Housing Guidance Withdrawn
On September 17, FHEO Principal Deputy Assistant Secretary John Gibbs released a memorandum withdrawing nine fair housing-related guidance materials. Recipients of HUD funds are still obligated to comply with fair housing law, and withdrawing these materials makes it harder for housing providers and funding recipients to comply with the law. HUD argues the withdrawal is in response to “a comprehensive review of its sub-regulatory guidance to reduce unnecessary compliance burdens, enhance the effectiveness of guidance documents, and promote principles underlying the rule of law.” The guidance does not carry the force of law but is intended to advise the public about an agency’s intended use of its discretionary authority. The guidance relates to: limited English proficiency, service animals and assistance animals, reasonable accommodations, special purpose credit programs, use of criminal records, source of income testing, and advertising through digital platforms.
Take Action to Defend Fair Housing and Civil Rights!
Tell your members of Congress that the “Fair Housing Act” is not optional, and HUD must defend civil rights in housing! Ask your senators and representatives to speak out against Secretary Turner’s disregard for the law and instead insist that Turner’s FHEO enforce the “Fair Housing Act,” and fund the Fair Housing Initiatives Program (FHIP) and the Fair Housing Assistance Programs (FHAP).
Members can also cosponsor the “Fair Housing Improvement Act” (S.2827, H.R.5443), introduced by Senator Tim Kaine (D-VA) and Representative Scott Peters (D-CA) to protect veterans and voucher recipients from housing discrimination. You can use NLIHC’s Take Action page to look up your member offices or call/send an email directly!
Read the NYT whistleblowers article here.
Read the NFHA press release here.
Review the Federal Regulatory Process in NLIHC’s Advocate’s Guide, Chapter 2-22 “Introduction to the Federal Regulatory Process”.
Read the full memorandum on withdrawn FHEO guidance here.