News

HUD Secretary Turner Testifies on FY 2027 HUD Funding before House Panel

by Gabriel Smith, Legislative Affairs Manager

May 13, 2026 — HUD Secretary Scott Turner appeared before the House Transportation, Housing and Urban Development Appropriations Subcommittee on May 12 to discuss the administration’s FY 2027 budget request for the U.S. Department of Housing and Urban Development.

In written testimony submitted to the subcommittee, Secretary Turner described the request as focused on housing supply, affordability, homeownership, fiscal stewardship, program accountability, and program integrity. The testimony also outlines several proposed changes to HUD programs, including ending the Community Development Block Grant program, changing federal homelessness assistance priorities, and applying work requirements and time limits to certain HUD rental assistance recipients.

For NAHRO members, the key point is straightforward: the President’s budget request is not the final word. Congress will determine final HUD funding levels through the appropriations process. However, the request is important because it signals the administration’s priorities and sets the stage for the next phase of congressional consideration.

At a Glance

  • What happened: Secretary Turner testified before House THUD appropriators on the FY 2027 HUD budget request.
  • HUD’s stated focus: Housing supply, homeownership, fiscal stewardship, self-sufficiency, and program integrity.
  • Why it matters: The request proposes significant changes affecting public housing, rental assistance, community development, resident services, and homelessness assistance.
  • What comes next: House and Senate appropriators will write their own FY 2027 THUD spending bills.

What Members Should Know

NAHRO’s FY 2027 appropriations coverage compares FY 2025 enacted levels, FY 2026 enacted levels, NAHRO’s FY 2027 requested levels, and the President’s FY 2027 proposed funding levels across key HUD accounts. That comparison shows several major differences between NAHRO’s requested funding levels and the administration’s proposal.

Several areas are especially important for PHAs and local housing leaders:

  • Public Housing: NAHRO requested $5.871 billion for the Public Housing Operating Fund and $7 billion for the Public Housing Capital Fund. The President’s proposal includes $5.377 billion for the Operating Fund and $3.2 billion for the Capital Fund.
  • Housing Choice Vouchers: NAHRO requested $37.871 billion for Section 8 Housing Assistance Payment renewals and $3.7 billion for administrative fees. The President’s proposal includes $35.565 billion for renewals and $2.951 billion for administrative fees.
  • Resident Services and Self-Sufficiency: The President’s proposal includes $0 for Resident Opportunities and Self-Sufficiency, Jobs Plus, Family Self-Sufficiency, and Choice Neighborhoods. NAHRO requested continued funding for these accounts.
  • Community Development: NAHRO requested $4.2 billion for CDBG and $2 billion for HOME. The President’s proposal includes $0 for CDBG and HOME.
  • Homelessness Assistance: NAHRO’s appropriations chart notes that the President’s budget would provide funding for an expanded Emergency Solutions Grant program but would not fund the Continuum of Care program or Permanent Supportive Housing program.

Policy Proposals to Watch

Secretary Turner’s written testimony also highlights several policy proposals that could affect PHAs, residents, owners, and local partners if adopted by Congress.

The testimony states that the administration is proposing work requirements of at least 20 hours per week and five-year time limits for certain able-bodied recipients in HUD rental assistance programs. These proposals would have significant implementation implications for local housing agencies and assisted households.

The testimony also emphasizes program integrity, including HUD’s focus on payment accuracy, oversight, data analysis, and improper payment prevention. PHAs should continue watching whether these priorities result in new administrative, reporting, or compliance requirements.

Why It Matters Locally

HUD appropriations decisions affect local housing operations in direct and practical ways. Funding levels and policy language can shape whether PHAs can:

  • renew rental assistance;
  • administer voucher programs effectively;
  • maintain public housing properties;
  • address capital needs;
  • support resident services and self-sufficiency work;
  • partner with local governments on affordable housing and community development; and
  • respond to homelessness and supportive housing needs.

For residents, these decisions affect housing stability, property conditions, access to services, and the ability of local agencies to respond to local needs.

What NAHRO Is Watching

NAHRO will continue monitoring:

  • House and Senate THUD hearings and markups;
  • public housing operating and capital funding;
  • voucher renewal funding and administrative fees;
  • CDBG, HOME, FSS, ROSS, Jobs Plus, and Choice Neighborhoods;
  • homelessness assistance restructuring;
  • proposed work requirements, time limits, and other rental assistance policy changes; and
  • any new administrative, data, or compliance requirements for PHAs.

Bottom Line

Secretary Turner’s testimony marks an important step in the FY 2027 appropriations process, but Congress still has significant work ahead. NAHRO members must continue to ensure lawmakers understand how HUD funding decisions affect PHAs, residents, local property operations, community development, and housing stability nationwide.

Next Up:

Secretary Turner will appear before the Senate THUD Subcommittee this Thursday at 10:00 AM EST. Click Here to catch Thursday’s Livestream.

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