The U.S. Department of Housing and Urban Development is looking into policy changes weeks after a report showed a millionaire living in public housing.
Three weeks ago, Channel 2’s Justin Gray first reported that thousands of families were living in taxpayer-subsidized HUD housing even though they make more money than allowed.
HUD initially defended that decision, calling the public housing residents with six-figure salaries “model tenants.”
Now, the agency is backtracking after all the pressure
A HUD official told Gray, “HUD is taking additional steps to encourage housing authorities to establish policies that will reduce the number of over-income families in public housing.”
More than 25,000 families are living in low-income housing even though they make more money than the program allows.
“If they are to stay there, let them pay their own way,” said U.S. Rep. David Jolly.
Families only have to meet HUD’s income requirements to get the housing.
Once they're in, they're in even if their salaries go up.
In one specific case, a Nebraska millionaire with assets of $1.6 million is only paying $300 a month for HUD housing.
The reaction to the story was immediate. Tens of thousands of people shared the story on Facebook and Congress got involved, too.
Jolly sent a letter to HUD demanding a change in policy and he's now planning on holding a congressional hearing.
“If Congress needs to change something, I’m going to lead the fight to do that, but if not we need to demand the changes out of the HUD leadership right now,” Jolly said.”
A HUD spokesman told Gray they plan on issuing new guidance for the higher-income families in the fall.
WJAX
