April 17, 2014
A recent press release at the FHA/HUD official site announced a settlement in a racial discrimination complaint brought by HUD against the city of Dubuque, Iowa. The FHA/HUD press release HUDNo.14-034 says HUD and the city of Dubuque have reached an agreement to end a practice which HUD alleged discriminated against people based on race.
“The U.S. Department of Housing and Urban Development (HUD) announced today an agreement with the city of Dubuque, Iowa, settling allegations that the City discriminated against African Americans in the administration of its Housing Choice Voucher Program…The agreement announced today is the result of a review HUD conducted in June 2011, which found that Dubuque imposed policies that discriminated against housing choice voucher applicants based on their race.”
What were those policies? According to the press release, “Specifically, the review found that, in response to racial tensions and concerns about crime, the City established a residency preference point system that effectively imposed a residency requirement, putting those from predominantly African American areas at a disadvantage.”
As the press release points out, Title VI of the Civil Rights Act of 1964, “prohibits discrimination on the basis of race, color, and national origin in programs and activities receiving federal financial assistance” and while this specific case doesn’t have much to do with a typical borrower’s FHA loan application process, this case is a good example of how filing complaints about discriminatory behavior can and does result in corrections being made.
“Under the terms of the agreement, Dubuque eliminated its residency preference system, and will submit any future changes to its Housing Choice Voucher distribution to HUD for review and approval. In addition, the City agreed to undertake outreach activities to underserved populations, meet increased and expanded reporting requirements, comply with additional oversight from HUD, and obtain fair housing training for core city employees.”
Sometimes the person or persons being discriminated against are the only defense against illegal practices that discriminate against people on the basis of race, religion, national origin, family status, sexual preference or gender identity or any other prohibited criteria. Federal fair housing laws can only be enforced when complaints are lodged and the problems are brought to the attention of the proper authorities.
If you believe you have experienced discrimination at any stage in the FHA loan process or in your efforts to find housing in general, report the incident to the FHA/HUD at (800) 955-2232.
Joe Wallace has been specializing in military and personal finance topics since 1995. His work has appeared on Air Force Television News, The Pentagon Channel, ABC and a variety of print and online publications. He is a 13-year Air Force veteran and a member of the Air Force Public Affairs Alumni Association. He was Managing editor for www.valoans.com for (8) years and is currently the Associate Editor for FHANewsblog.com.
Browse by Date: