Section 8 Changes Would Send More Rent Subsidies to Wealthy Neighborhoods
"The Obama administration on Wednesday proposed sweeping changes to the biggest federal subsidy program for low-income renters in an effort to encourage more poor renters to move to wealthier neighborhoods," reports Laura Kusisto.
"The changes in the Section 8 voucher program would give a bigger subsidy to tenants in expensive neighborhoods, helping them make up the difference between what they can afford and the high rents in areas that often have better schools and transportation," adds Kusisto. On the other end of the spectrum, the new system would decrease subsidies headed to poorer neighborhoods—a move that creates concern among landlords and tenant groups, who warned of increased evictions and rising rents as a result.
The U.S. Department of Housing and Urban Development hopes to produce a final draft of the changes by the fall.
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