Chairman Meuser Releases Staff Report on Public Housing Agency Failures

WASHINGTON, D.C. - This week, Congressman Dan Meuser (PA-09), Chairman of the House Financial Services Subcommittee on Oversight and Investigations, and Congressman French Hill (AR-02), Chairman of the House Financial Services Committee, released a staff report examining Public Housing Agencies (PHAs) nationwide.

This report is the culmination of a year-long Subcommittee-led investigation into serious mismanagement of PHAs across the country. On February 9, 2026, Chairman Meuser, Chairman Hill, and Congressman Mike Flood (NE-01), Chairman of the Subcommittee on Housing and Insurance, sent letters to 32 PHAs designated by HUD as "troubled," seeking information on living conditions, management, and financial oversight. This was followed by an Oversight and Investigations Subcommittee hearing examining management failures at PHAs and ways to improve conditions for residents. During the hearing, witnesses outlined severe shortcomings at PHAs due to mismanagement from previous administrations and discussed best practices for reversing the trend.

On March 13, 2026, Chairman Meuser held a Subcommittee field hearing in Little Rock, Arkansas, focused on failures at the city's PHA-the Metropolitan Housing Alliance (MHA)-and its impact on residents. Committee leadership also sent a letter to the U.S. Attorney for the Eastern District of Arkansas urging an investigation into MHA.

Federal law requires PHAs to provide housing that is decent, safe, and sanitary. However, the Subcommittee's investigation found that many troubled PHAs failed to meet these requirements due to management issues and oversight problems, resulting in significant waste of taxpayer resources and poor living conditions.

The Housing Authority of Champaign County is a good example of a PHA that has implemented commonsense Trump Administration policies, such as Moving to Work (MTW) requirements and voluntary time limits, that strengthen public housing standards and promote solutions that improve financial management.

"For years, the Biden Administration allowed PHAs to fail without proper support or oversight. Mismanagement and a lack of accountability in PHAs have wasted taxpayer dollars meant to support our most vulnerable citizens and led to unacceptable living conditions," said Subcommittee Chairman Meuser. "This report shows that taxpayers and residents pay the price when leadership at PHAs falls short. Democrat administrations allowed this problem to fester for far too long. I appreciate Chairman Hill's leadership, as well as President Trump and HUD Secretary Turner for their efforts to enhance federal support for public housing and demand greater accountability. This report supports and builds on that work to ensure that taxpayer-funded resources are well managed, and that Americans in need can benefit from decent, safe, and sanitary housing. I look forward to implementing our report's recommendations and providing these crucial reforms to America's most vulnerable citizens."

"Americans living in federally supported housing deserve access to housing that is safe, clean, and livable," said Chairman Hill. "PHAs exist to deliver on that promise. Unfortunately, as we've seen firsthand in my hometown of Little Rock, too many PHAs are failing the tenants who rely on them and the taxpayers who are footing the bill. I thank Subcommittee Chairman Meuser for his work holding PHAs accountable, protecting tenants, and for advocating for responsible stewardship of taxpayer dollars."

"PHA accountability and addressing waste, fraud, and abuse are key priorities for President Trump, Secretary Turner, and myself. At HUD, we are committed to restoring compliance and operational integrity. Our residents need it, and taxpayers expect it. HUD will continue working with Chairman Hill and Congress to ensure America's public housing authorities are providing quality housing to America's most vulnerable," said HUD Assistant Secretary for Public and Indian Housing Ben Hobbs.

Key Findings:

• PHA Leadership: Frequently, PHA Boards lack sufficient understanding of housing programs to effectively manage the PHA.
• HUD's Assessment Systems Disincentivize Rent Collection: HUD's assessment system awards up to 16 points for occupancy but only 6 for rent collection, so a PHA that collects no rent can still pass HUD's operations assessment.
  • Between 15 and 30 percent of residents at struggling PHAs pay only the minimum rent. The COVID-era eviction moratoriums caused unpaid rent to rise sharply.
• Data and Due Diligence Issues: Troubled PHAs have insufficient data retention and due diligence standards across their operations, but particularly as it relates to their contracting and procurement standards.
• PHAs struggle to find staff: PHAs struggle to find staff with sufficient experience and understanding of their roles and responsibilities. PHAs have particularly struggled to hire and retain maintenance staff, who can often find higher pay and more flexibility as independent contractors.

What HUD is Doing:

• Proposed rule allowing work requirements and time limits: PHAs could opt in to work requirements of up to 40 hours a week and time limits of two years or more for work-capable adults. The comment period has closed, but the rule isn't final yet.
• Reformed NSPIRE Inspections: HUD retrained inspectors, issued more guidance, improved its online inspection systems, and reorganized how inspectors are assigned to cut costs. It set February 1, 2027, for full implementation of these new standards.
• More Inspections: HUD did 25 percent more inspections in 2025 than in 2024, and PHAs say inspections have become more consistent.
• Took steps on safety: HUD launched a national public housing crime hotline, required stricter background checks for applicants, and rescinded guidance that had allowed people with criminal records to live in Section 9 housing.

Key Report Recommendations:

• PHAs should develop systems and policies to enhance oversight of employees and contractors.
• PHAs should conduct self-inspections at least quarterly and require before-and-after photos of maintenance work. They should also digitize their records, strengthen oversight of staff and contractors, and better enforce rent collection.
• HUD and Congress should set baseline qualifications for PHA board members and executives and give HUD the authority to remove poor leaders.
• Congress should consider legislation that permanently allows for and encourages PHAs to implement time limits and work requirements on public housing assistance for able-bodied adult residents.

Read the report here.