Trump Plan Would Raise Rents on Working Families, Elderly, People With Disabilities
Reflecting a plan outlined in
The legislation would raise rents for seniors and people with disabilities now receiving assistance, despite Administration claims to the contrary. Though most would see their rents rise more slowly than other households, they would pay more. And equally needy seniors, people with disabilities, and other households that aren't receiving assistance now but do so in the future would pay higher rents immediately.
The plan, which closely resembles a draft bill that was leaked in February, would let state and local housing agencies and private owners of subsidized housing evict or end rental assistance to people who don't work a specified number of hours. As we've explained, that would harm families, including working families that can't get the required number of work hours from their employers, while doing little to support work.
The plan would:
* Raise, from 30 to 35 percent, the share of a household's income that it must pay in rent if it includes anyone aged 18 to 65 who doesn't qualify as disabled under the
* Raise the minimum rents for households with little or no income, most frequently by about
* Eliminate income deductions that reduce rents for certain households that likely have high out-of-pocket expenses. About half of these deductions go to elderly and disabled households, nearly all of which would see rent increases from the change. The plan would also eliminate a child care deduction that enables many working parents with rental assistance to afford to work.
In addition, the plan would give HUD unlimited authority to impose additional rent increases, allowing it to drastically cut rent subsidies for low-income Americans without congressional approval.
The Trump plan doesn't seem to advance any coherent policy goal. For example, HUD says that it aims to encourage work, but key aspects of the plan would if anything discourage work, such as raising household rents to 35 percent of income (which would hike rents more sharply as earnings rise) and eliminating the child care deduction. And there's no evidence that raising minimum rents on destitute families will lead them to earn more.
Instead, the plan's main goal seems to be to offset deep cuts in federal rental assistance funding, like those in the President's first two budgets, by forcing tenants to pay more in rent. The rent increases would come too late to offset any significant part of the proposed 2019 cuts. But, in any case, raising rents on the nation's poorest families to offset funding cuts would be harmful and inequitable -- particularly in the wake of the new tax law, which will mainly benefit the nation's wealthiest households and most profitable corporations while boosting budget deficits by an estimated
See table here (https://www.cbpp.org/blog/trump-plan-would-raise-rents-on-working-families-elderly-people-with-disabilities).


Rep. Kaptur Leads Ohio Congressional Democrats in Letter to Gov. Kasich Urging Action to Stabilize Health Markets
CLINIC Condemns Trump Decision to Terminate TPS for Nepal, Clearly Not Based on the Law
Advisor News
- I started using AI, but what now?
- How to support an entrepreneur client with multiple businesses
- Could a narrower focus help grow your practice?
- U.S. debt hits $40 trillion: how to support concerned clients
- Flourish brings private-bank-like cash solution to MassMutual’s network
More Advisor NewsAnnuity News
- MassMutual Expands Lending Options With New Secured Credit Line
- Corebridge Financial Introduces Progressive Trigger, a First-of-Its-Kind Index Annuity Strategy Designed to Turn Missed Years into Future Opportunity
- Insurer proposes $1.1M deal to resolve CA teachers’ annuity fee lawsuit
- IMOs get frustrated with slow carrier adoption of faster technology
- New class-action lawsuit targets Delaware Life over annuity disclosures
More Annuity NewsHealth/Employee Benefits News
- Hawthorne School Budget Faces New Pressure As Health Insurance Costs Jump Nearly 34%
- Half the Coverage: What the TLC's Rideshare Insurance Cut Means for Queens Riders
- Answering questions on Medicare open enrollment
Terry Savage: Your questions answered on Medicare open enrollment
- Make sure your Medicare coverage makes sense
Jill On Money: Medicare on my mind
- RESURFACED AUDIO: MIKE ROGERS SAYS HE WANTS TO KICK SICK PATIENTS OFF HEALTHCARE, SUPPORTS NEW COPAYS – MICHIGAN DEMOCRATIC PARTY
More Health/Employee Benefits NewsLife Insurance News