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Rep. Juan Vargas Leads San Diego Congressional Delegation in Calling on Trump Admin to Reverse Course on Proposal to Slash Rental Assistance

July 8, 2025

Trump’s recently released 2026 budget proposal includes devastating cuts to HUD and rental assistance program funding

WASHINGTON – Today, U.S. Representatives Juan Vargas (D-CA-52), Mike Levin (D-CA-49), Sara Jacobs (D-CA-51), and Scott Peters (D-CA-50) called on the Trump Administration to reverse course on the draconian rental assistance cuts outlined in the President’s fiscal year 2026 budget request. 

This recently released budget proposal slashes funding for Department of Housing and Urban Development (HUD) rental assistance programs by 42%. Over 10 million people nationwide rely on federal rental assistance, the majority of whom are seniors, people with disabilities, and children. In San Diego County, over 80,000 people rely on federal rental assistance.

“We write to voice concern regarding the President’s fiscal year 2026 budget request, which includes devastating cuts to rental assistance programs,” wrote the lawmakers. “The requested amounts represent a 44% cut to HUD, reducing its overall funding by a total of $33 billion. In particular, the proposal would cut more than $26 billion in housing assistance programs, including the Section 8 Housing Choice Voucher Program and would combine five existing HUD rental assistance programs into a singular block grant program that would receive 42% less than what the five programs received combined in FY2025. Cuts to these programs would harm over 80,000 individuals in San Diego County who rely on federal rental assistance programs.”

“Because these rental assistance programs assist millions of families, reducing or eliminating funding for these vital programs would be ill-advised—especially at a time of increased fragility within the housing market and wider economy,” the lawmakers continued.

Read the full letter HERE and below.

Dear Secretary Turner: 

We write to voice concern regarding the President’s fiscal year 2026 budget request, which includes devastating cuts to rental assistance programs specifically and the Department of Housing and Urban Development (HUD) generally. The requested amounts represent a 44% cut to HUD, reducing its overall funding by a total of $33 billion. In particular, the proposal would cut more than $26 billion in housing assistance programs, including the Section 8 Housing Choice Voucher (HCV) Program and would combine five existing HUD rental assistance programs into a singular block grant program that would receive 42% less than what the five programs received combined in FY2025. Cuts to these programs would harm over 80,000 individuals in San Diego County who rely on federal rental assistance programs. Along with these cuts, the budget also proposes a two-year cap on rental assistance for able-bodied adults —even though the average time a typical household stays in assisted housing is 6 years.  

These cuts will have consequences for housing affordability nationwide. According to the government’s estimates, the Housing Choice Voucher program currently helps over 2.3 million families across the country. During the FY2025 budget negotiations, an analysis done by the Center on Budget and Policy Priorities showed that even a flat funding level would mean that 283,000 fewer people would receive a housing voucher—a move that would put thousands of families at risk of not being able to afford housing. Additionally, the loss of housing has consequences not only for people’s quality of life, but also their overall health.  

Converting rental assistance programs into a State Rental Assistance Block Grant threatens access to services. In fact, research has shown that block granting programs lead to funding declines over time. The approximately 2,000 Public Housing Agencies nationwide who administer Housing Choice Vouchers from HUD are already beginning to feel the impact of these proposals. There are also reports that most San Diego Housing Agencies have stopped providing new Section 8 vouchers. In San Diego, 83% of extremely low-income households are paying more than half of their income on housing costs. And we’ve seen reporting of others in California no longer taking applications for the program because of the uncertainty around federal funding. 

These proposed cuts also work against this administration’s stated goal to pursue “appropriate actions to lower the cost of housing and expand housing supply” as explained in President Trump’s first executive order issued on inauguration day, January 20th, 2025. Coupled with the increased cost of building materials as a result of proposed tariffs, eliminating funding for these rental assistance programs will severely harm efforts to lower the cost of housing. 

In light of all this, we write to urge you to reverse course on the proposed cuts to the rental assistance programs proposed in the President’s budget. Because these rental assistance programs assist millions of families, reducing or eliminating funding for these vital programs would be ill-advised—especially at a time of increased fragility within the housing market and wider economy. 

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