DOGE and Process of "Taking Inventory" Begin at HUD; Reports Suggest Agency Will Reduce Staffing by 50 Percent
(Feb. 18, 2025) LeadingAge has reported several changes underway at the U.S. Department of Housing and Urban Development (HUD) as the Department of Government Efficiency (DOGE) begins its examination of the agency and the ramifications of several executive orders (EOs) issued by President Donald Trump continue to unfold.
DOGE Begins at HUD
“Thanks to President Trump’s leadership, we are no longer in a business-as-usual posture and the DOGE task force will play a critical role in helping to identify and eliminate waste, fraud and abuse and ultimately better serve the American people. We have already identified over $260 million in savings and we have more to accomplish,” HUD Secretary Scott Turner said as he announced a new DOGE task force review of how HUD is spending its resources. DOGE was created by President Trump by EO.
In a Feb. 13th post on X, Secretary Turner said that by working with DOGE, HUD has already found $260 million in savings from contracts alone from fraud, waste, and abuse and by streamlining processes, and “we’ll soon find more.” According to a HUD email, the task force will be composed of HUD employees who will examine how best to maximize the agency’s budget and ensure that all programs, processes, and personnel are working together to advance the purpose of the Department. The task force will meet regularly and report its findings and suggestions to Secretary Turner, the email says.
“HUD will be detailed and deliberate about every dollar spent to serve rural, tribal and urban communities,” Secretary Turner is quoted in the email.
NPR reported on Feb. 11th that DOGE had asked HUD employees “to justify hundreds of contracts at the agency” by noting on a spreadsheet whether those contracts are critical; if they have a diversity, equity, and inclusion (DEI) component; and if the contractor was competent. The form was to be filled out by staff by close of business Feb. 11th.
HUD Removes LGBTQ Equal Access Protections
As another part of the approach of “taking inventory” at HUD, a press release and public statement posted by HUD on Feb. 10th indicate that Secretary Turner ordered the agency to immediately halt enforcement of the Equal Access rule. The press release references both the 2012 and 2016 Equal Access rules, which aim to ensure that HUD’s housing programs are open to all eligible individuals and families regardless of sexual orientation, gender identity, or marital status. Secretary Turner seemed to specifically focus on the Equal Access rule initiated by the agency in 2016, which protects access to homeless shelters and other housing assistance for individuals in accordance with their gender identity.
The Equal Access rules are seen as critical protections for people who identify as lesbian, gay, bisexual, transgender, or queer/questioning (LGBTQ), specifically transgender people who were previously denied access to some shelters.
“There will be more where this came from,” said Secretary Turner, again referencing the “taking inventory” approach.
While the Secretary has ordered a halt to all Equal Access enforcement actions, the Equal Access rules are still technically in effect until the agency establishes a new official policy via the federal rulemaking process.
LeadingAge fully supports Equal Access and similar protections for older adults who are members of the LGBTQ community.
HUD-Sponsored Mental Health Trainings for Service Coordinators Cancelled
A mental health training provider contracted by HUD has cancelled all upcoming mental health first aid (MHFA) trainings for Service Coordinators in HUD-assisted properties.
In a message to Service Coordinators sent on Feb. 12th, the National Council for Mental Wellbeing stated that “all MHFA HUD-sponsored courses have been canceled at this time.” No reason was given, and no clarity was provided on whether the classes will be resumed at a later date.
MHFA is an evidence-based, early-intervention course that teaches participants about mental health and substance abuse challenges, equipping Service Coordinators in affordable housing communities to identify and de-escalate mental health-related situations and refer individuals to resources for support. The cancellation comes on the heels of movement by the White House to review and cancel contracts and grant funds that are not aligned with presidential priorities, including efforts related to DEI.
LeadingAge strongly supports the availability of MHFA training for affordable housing staff and had worked with HUD in 2023 and 2024 to develop and launch a two-year training initiative for Service Coordinators. A LeadingAge member who had been registered for the critical training expressed their dismay and disappointment over the cancellation, which will negatively impact both staff and residents at housing communities serving older adults with very low incomes.
According to LeadingAge’s 2024 year-end affordable housing survey respondents, Service Coordinators at roughly half of responding organizations had taken the training or planned to take it soon. For the second year in a row, survey respondents ranked resident mental health as their top concern for the first quarter of 2025.
LeadingAge urges HUD to restore the trainings as soon as possible and to expand the trainings to additional housing professionals, including property managers.
HUD to Cut 50 Percent of Staff, Union Says
Another media report quoting a federal employee union leader says that HUD, which has 9,600 employees, will fire 50 percent of its workforce. The report, circulated on Feb. 13th, comes just days after President Trump issued an EO directing federal agencies to “significantly reduce the size of government” and to “undertake plans for large-scale reductions in force and determine which agency components (or agencies themselves) may be eliminated or combined because their functions aren’t required by law.”
A 50 percent reduction in HUD staff, even if imposed differently for different program offices, would stop HUD from administering congressionally approved funding for programs, almost all of which serve older adults in some way. Such a staff depletion would effectuate “impoundment,” defined as when the Executive Branch does not spend funds as directed by Congress.
Judge: White House Not Complying with Federal Funds Order
The report on staffing comes on top of lingering funding pause concerns of whether the actual flow of $137 million will occur to the Section 202 Supportive Housing for the Elderly and Service Coordinator grant awardees announced on Jan. 15th and the fate of funds for HUD’s Green and Resilient Retrofit Program (GRRP) awardees, as the federal judge in the case brought by state attorneys general against the White House’s effort to pause a wide swath of federal funding found on Feb. 10th that the White House “continued to improperly freeze federal funds and refused to resume disbursement of appropriated federal funds,” ordering the flow of frozen funds and particularly noting the freezing of Inflation Reduction Act (IRA) funding. The GRRP was authorized by the 2022 IRA, but a different EO by President Trump directed agencies to immediately pause any noncommitted funds.
Many expect that the issue of control of federal funds, power of the federal purse, and the legality of impoundment will be settled by the Supreme Court. LeadingAge is closely following whether, when, and how continuing efforts by the White House to assess programs against goals expressed in its EOs may impact the money flows that senior housing and other aging services providers rely on. Keep up with all related developments on LeadingAge's website.
Contact: Annalyse Komoroske Denio, akomoroskedenio@leadingageny.org, 518-867-8866