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Section 8 Funding Delayed For December After Government Shutdown Pix11

Leo Migdal
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section 8 funding delayed for december after government shutdown pix11

Make your contribution now and help Gothamist thrive in 2025. Donate today Gothamist is funded by sponsors and member donations The federal shutdown may be over, but it is still wreaking havoc on low-income New Yorkers. The federal Department of Housing and Urban Development told the New York City Housing Authority and others on Tuesday that funding for the Section 8 rental assistance program will be delayed this month in... The Section 8 program provides federal dollars to landlords who lease units to low-income tenants in order to subsidize the rent.

Typically, someone in the Section 8 program is required to pay about 30 percent of their income toward housing and the government picks up the rest. Following a record 43-day government shutdown, funding for Section 8 housing assistance has been delayed for December, according to a statement from the New York City Housing Authority (NYCHA). NYCHA, as well as other public housing authorities across the nation, were informed of the lapse in funding by the US Department of Housing and Urban Development (HUD) on Monday, the statement said. It comes as a result of administrative issues following the government shutdown. “NYCHA is assessing interim options and will distribute funding as soon as it becomes available from HUD,” the statement read. Thousands of landlords who participate in the federal Section 8 Housing Choice Voucher program will not receive their December payments on time due to delayed funding from HUD, as reported by Bisnow.

The issue is tied to a recent 43-day government shutdown — the longest in U.S. history — which ended in November. Public housing authorities in cities like New York, Boston, and Boca Raton are among those notifying landlords of the delay, with many warning that full payments may not be made until mid-December or later. Stay ahead of trends in commercial real estate with CRE Daily – the free newsletter delivering everything you need to start your day in just 5-minutes New York City Housing Authority (NYCHA), the nation’s largest housing agency, said it’s exploring interim solutions but has not yet received its December funding. Boston Housing Authority (BHA) expected a $40M disbursement from HUD on Dec.

1 but has received nothing. It’s now using $10M in reserves to make partial payments — about 25% of the total owed. The federal government shutdown has been over for weeks, but the ramifications are hitting Section 8 landlords hard. The government failed to deliver funds designated for Section 8 housing vouchers at the start of the month, Bisnow reported. The delay leaves more than 500 public housing authorities in the lurch and may create a shortfall between $700 million and $800 million for operators. Public housing agency association groups learned of the funding shortfall on Monday.

Housing authorities in New York City, Georgia, Boston and Boca Raton are among those affected. “Following notice from HUD that payments to Section 8 landlords would be delayed this month, NYCHA is assessing interim options and will distribute funding as soon as it becomes available from HUD,” NYCHA said... “HUD is working to make these awards to PHAs to ensure no disruption in program services,” a spokesperson for the Department of Housing and Urban Development said in a statement. The agency also took the federal government’s typical line of blaming Democrats for the historic 43-day shutdown. The recent federal shutdown continues to impact New York City, as local officials prepare for delays in rental assistance payments for low-income residents. The Section 8 program is expected to face delays in fund disbursement, with the New York City Housing Authority (NYCHA) receiving notice of this from the Department of Housing and Urban Development (HUD).

Tenants typically contribute around 30 percent of their income toward housing, with the government covering the remainder through Section 8. According to an official NYCHA statement, reported by Gothamist, “Following notice from HUD that payments to Section 8 landlords would be delayed this month, NYCHA is assessing interim options and will distribute funding as... The New York Apartment Association (NYAA) referenced NYCHA’s update, noting that it is “standard procedure to pay its Section 8 landlords as soon as is reasonably practicable following its receipt of funding from HUD.”... Recognizing the impact on tenants and landlords, NYCHA issued an apology for the delay. In a statement to Gothamist, the agency said, “NYCHA extends its sincere apologies for any inconvenience incurred as a result of the delayed distribution of Section 8 funds” and confirmed that it will “continue... As the effects of the federal shutdown continue to affect social service funding, NYAA is closely monitoring the situation to keep its members informed.

Norwood News has also contacted HUD for additional information and will share updates once they are received. New York City is facing a major challenge as federal rental assistance payments for December are expected to be delayed. This troubling development stems from the lingering effects of the recent federal government shutdown, directly impacting thousands of low-income residents and landlords who rely on the vital Section 8 housing program. Officials are working to ease the consequences of this delay, but a quick resolution for next month’s payments remains uncertain. The federal Department of Housing and Urban Development (HUD) recently notified the New York City Housing Authority (NYCHA) and other housing agencies that funding for the critical Section 8 program will face delays this... This notice comes after the longest federal shutdown in U.S.

history, which ended last month but continues to disrupt essential social services nationwide, including vital housing and food assistance. The Section 8 rental assistance program is a lifeline for many of New York’s most vulnerable residents, providing federal funds to landlords who rent their properties to low-income tenants. The program aims to make housing more affordable by covering a large portion of the rent. Usually, tenants enrolled in Section 8 pay about 30% of their income toward housing costs, while the federal government covers the rest. NYCHA plays a central role in administering this program in New York City, acting as the bridge between federal funding and local communities. In response to HUD’s announcement of delayed payments, NYCHA issued an immediate statement.

The agency confirmed that it is actively evaluating several temporary solutions to address the situation and emphasized that funds will be distributed to landlords as soon as they become available from HUD. This proactive approach aims to minimize disruption caused by the federal delay and provide some reassurance to those affected. NYCHA also issued a sincere apology for any inconvenience this delay may cause. The public housing authority acknowledged the strain this disruption may place on both tenants and landlords, many of whom depend on timely payments for financial stability. The agency reaffirmed its commitment to working closely with HUD and pledged to keep tenants and landlords updated in the coming weeks. The uncertainty surrounding the payment schedule underscores the broader fragility of essential social services when federal funding streams are disrupted.

Thousands of affordable housing operators won’t be getting paid by the government on time this month. Some funds earmarked for Section 8 vouchers haven’t been distributed by the federal government to hundreds of local housing authorities, and the Department of Housing and Urban Development has notified the agencies that the... More than 500 public housing authorities have a shortfall for December payments that total between $700M and $800M, an industry representative familiar with the details of the program told Bisnow. A HUD spokesperson said the missed payments were caused by complications associated with the government shutdown, which was the longest in U.S. history at 43 days and ended in the middle of November. “Democrats shut the government down for more than 40 days.

As HUD warned from the beginning, this careless decision resulted in real-world consequences for vulnerable Americans. HUD is working to make these awards to PHAs to ensure no disruption in program services,” the spokesperson said in a statement to Bisnow.

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