The proposal by U.S. Housing and Urban Development Secretary Ben Carson would also allow property owners to require employment from renters receiving housing subsidies.
"U.S. Housing and Urban Development Secretary Ben Carson on Wednesday proposed raising the amount that low-income families are expected to pay for rent — tripling it for the poorest households — as well as making it easier for property owners to demand work requirements for those receiving federal housing subsidies," reports Tracy Jan.
The administration’s proposal sets the family monthly rent contribution at 35 percent of gross income, or 35 percent of their earnings working 15 hours a week at the federal minimum wage. Under the proposal, the cap for the poorest families would rise to about $150 a month -- three times higher than the current minimum. About 712,000 households would see their rents rise to the new monthly minimum of $150, HUD officials said.
Secretary Carson participated in a conference call with reporters saying that HUD has an imperative to reform the system, because the current system isn't working. Secretary Carson gave several justifications for this particular set of reforms, including that the current system is "too confusing" and crates "perverse consequences" that discourage people from finding new employment.
Diane Yentel, president of the National Low Income Housing Coalition, is quoted in the article saying the proposed changes couldn't come at a worst time for low-income households.
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