Federal Judge Orders HUD to Implement Small Area FMRs

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HUD’s decision to suspend the mandatory use of Small Area Fair Market Rents (SAFMRs) for two years starting in October 2017 was recently overturned by Chief Judge Beryl A. Howell of the DC District Court. As of January 1, 2018, HUD is required to implement SAFMRs, which are intended to allow federal housing vouchers (such as Section 8 vouchers) to be used more easily in higher-income neighborhoods with more opportunities and amenities. Chief Howell ruled on December 23 that HUD  failed to show sufficient reason for delaying implementation and that a delay would irreparably harm the plaintiffs, two mothers in Hartford, Connecticut and Chicago trying to move their families to safer suburban communities.

In North Carolina, the rule will affect the Charlotte area and the northeast corner of the state, as Charlotte-Gastonia-Rock Hill and Virginia Beach-Norfolk-Newport News are two of the 23 metro areas selected for the initial implementation demonstration.