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In November 2018, HUD’s Office of Public and Indian Housing (PIH) sent a letter to public housing agency (PHA) executive directors notifying them of their intent to reduce HUD’s public housing stock. Because Congress had failed to provide adequate funding for the public housing capital fund for many years, there was an approximate $50 billion backlog at that time in capital improvement needs. HUD cited that backlog as the need to provide PHAs with “additional flexibilities” so that they can “reposition” public housing.
