The Section 8 Housing Voucher Program: Reform Proposals

Publication Date: February 2006

Publisher: Library of Congress. Congressional Research Service

Author(s):

Research Area: Social conditions

Type:

Abstract:

The Bush Administration has proposed eliminating the Section 8 Housing Choice Voucher program and replacing it with a new program in each of the past several years. While the specifics have changed, each proposal would significantly alter key features of the current program, including its administration, funding distribution, tenant contributions toward rent, initial and ongoing eligibility of families, and the eligible uses of program funds.

The first proposal was referenced in the President's FY2004 budget request and was later introduced in the 108th Congress (H.R. 1841/S. 947). Called the Housing Assistance for Needy Families Act of 2003, it would have created a new block grant administered by states -- rather than the local public housing authorities (PHAs) that administer the current program -- and eliminated many of the current rules governing the program. Hearings were held on the legislation, although no further action was taken.

Language to enact the second proposal, called the Flexible Voucher Program (FVP), was included in the Administrative Provisions section of the President's FY2005 budget request. Under the FVP, PHAs would have retained administration of the new grant program, although most of the federal Section 8 voucher rules and regulations would have been eliminated. The Appropriations Committees did not include the language in their versions, nor the final version, of the FY2005 HUD budget. Authorizing legislation was not introduced in the second session of the 108th Congress.

The President's FY2006 budget request again called for enactment of a Flexible Voucher Program. During the first session of the 109th Congress, a modified version of the FVP was included as Title I of the State and Local Housing Flexibility Act of 2005 (H.R. 1999/S. 771). The House Financial Services Committee held hearings on the bill, although no further action has been taken. The President's FY2007 budget request reiterates the Administration's support for the State and Local Housing Flexibility Act.

This report includes a table comparing the key features of the recent proposals, and will be updated to track relevant legislative activity.