HR-224-119
Became Public Law No: 119-70.
Sponsored by Monica De La Cruz (R-TX)
What it does
This law amends the Housing and Community Development Act of 1974 to require states, local governments, and Indian tribes to exclude VA service-connected disability compensation when calculating whether a person qualifies as low, moderate, or low-and-moderate income for housing assistance programs. It also requires the Government Accountability Office to submit a report within one year examining how disability compensation is treated across all HUD programs and to recommend changes to programs where treatment is inconsistent.
Who benefits
Disabled veterans receiving VA service-connected disability compensation who apply for or currently receive housing assistance, since excluding this income could newly qualify them for programs or increase the level of assistance they receive. Veterans' advocacy organizations and disability service providers who work with this population also benefit indirectly through expanded client eligibility.
Who is hurt
Local housing authorities and administering agencies that must update eligibility calculation systems and may see increased demand for limited housing assistance funds. Non-veteran low-income applicants could face more competition for the same limited pool of housing vouchers, subsidized units, or grants if veteran eligibility expands without a corresponding increase in program funding.
Supporters argue
Supporters argue that VA disability compensation is intended to offset the effects of service-connected injuries, not to function as general income, so counting it against housing eligibility effectively penalizes veterans for having been injured in service. They contend this fix aligns housing policy with how disability compensation is treated in other federal programs and removes a barrier that has kept some disabled veterans out of housing assistance they need.
Opponents argue
Opponents argue that excluding this income from eligibility calculations does not increase the overall pool of housing assistance funding, so it may simply redirect scarce resources toward veterans and away from other low-income applicants, including non-veteran disabled individuals with comparable needs. They contend that without additional appropriations, local housing authorities will face increased administrative burden and possibly longer waitlists for everyone else.