CLPHA Hosting Member Briefing on Freeze on January 30
A federal judge has halted OMB’s freeze on federal financial aid until 5:00 p.m. on Monday, February 3, to allow for time for further legal review. CLPHA has been in constant communication with HUD, members of Congress, and member PHAs, and we have several updates to share.
CLPHA is hosting a member briefing on the federal funding freeze on January 30 at 4:00 p.m. ET/1:00 p.m. PT via Zoom: Click here to add the member briefing and Zoom link to your calendar. We will provide the latest updates we have from Washington and encourage members to come prepared to share with us how this freeze impacts your operations and the residents you serve.
HUD is currently reviewing each grant program in accordance with the OMB guidance provided to agencies. Meanwhile, CLPHA is preparing a joint industry letter to OMB asking that key housing programs be exempt from any freeze in funding. CLPHA continues to recommend that PHAs draw down any funding in eLOCCS and TRACS as soon as it is possible to do so.
Update on PIH and Multifamily Housing Programs
According to PIH leadership, the Tenant-Based Rental Assistance Program is no longer subject to the pause. PHAs will receive February tenant-based rental assistance payments as scheduled. All other grants to PHAs are paused until further notice. At time of writing, users do not have access to eLOCCS, even for TBRA payments that are not on pause. For the Public Housing program, PHAs have already received their February and March Operating Fund payments. If PHAs had not already drawn them down, then they are subject to the pause, according to our communications with PIH.
Rental assistance payments for all Multifamily project-based rental assistance programs remain operational and are not currently subject to the pause in federal grants and loans outlined in OMB’s memo. HUD’s Office of Multifamily Housing Programs said it will continue to meet its project-based rental assistance financial obligations to owners and tenants participating in these programs.
If you continue to be locked out of eLOCCS, contact CLPHA, and contact your member of Congress and Senators to make sure they are aware of the problem. Congress needs to hear how this pause is disrupting the daily operations of public housing authorities. See CLPHA’s Action Alert for more info and talking points. CLPHA also needs to know whether you are locked out of eLOCCS.
More details on the OMB Memo
Under the (temporarily paused) OMB Memo 25-13 and subsequent Q&A document, federal agencies must by February 7 report to OMB detailed information on whether their programs align with several executive orders issued by the Trump administration. OMB released a list of programs under review, which includes most major HUD programs, the Housing Credit, Private Activity Bonds, nearly all other tax credits, and nearly all other federal programs.
CLPHA will keep its members informed of the latest updates. Please reach out to Malcolm Guy at [email protected] or Cynthia Cuestas at [email protected] with any questions and/or status updates.
- Add CLPHA’s member briefing to your calendar (January 30, 4:00 p.m. ET/1:00 p.m. PT)
- View CLPHA’s Action Alert for Congressional outreach info
- View our January 28 member alert about the funding freeze
Yesterday, the Office of Management and Budget (OMB) published a memorandum, which directs all federal agencies to pause all “federal financial assistance” (FFA) "to the extent permissible under applicable law." The temporary pause in funding will become effective on January 28, 2025 at 5:00 p.m. ET.
According to news reports, OMB distributed a questionnaire to federal agencies this morning asking them to provide information about whether their programs are in compliance with the Trump administration’s policy goals and executive orders. OMB’s questions for agencies concern undocumented immigration, environmental and climate justice programs, and diversity, equity, and inclusion policies and initiatives.
Capitol Hill staff, HUD staff, advocacy organizations, and other stakeholders appear uncertain about how the memo will be enforced, which programs are affected, and how long this pause will last.
Housing authorities are reporting that they are locked out of eLOCCS before the 5:00 p.m. deadline. We are investigating if this is a systemwide issue or if it is deliberate. We anticipate that PHAs will be locked out of eLOCCS after 5:00 p.m. ET today.
If you are locked out of eLOCCS, contact your member of Congress and Senators to make sure they are aware of the problem. Congress needs to hear how this pause is disrupting daily operations of public housing authorities.
When speaking with Members of Congress highlight the following points:
- Highlight how the pause is affecting your daily operations, especially if you are locked out of eLOCCS. Your Member of Congress/Senator may not understand what exactly what eLOCCS is. Explain that it is the system that allows public housing authorities to access federal funds for key housing programs such as vouchers and public housing.
- Highlight the breakdown of residents you serve who will be impacted by the pause: the number of seniors, children, veterans who could lose access to federal housing assistance at your PHA.
- Highlight the economic impact that your public housing authority has in your community, such as jobs created, number of private landlords affected, and if the pause would halt any development deals.
Please share the outcome of your conversations with Members of Congress with CLPHA Legislative Manager Cynthia Cuestas at [email protected].
eLOCCS is Reported to be Closed January 28
Late on January 27, the Office of Management and Budget (OMB) published a memorandum, which directs all federal agencies to pause all “federal financial assistance” (FFA) "to the extent permissible under applicable law." The temporary pause in funding will become effective on January 28, 2025 at 5:00 p.m. ET. It is reported eLOCCS is closed on January 28. We are investigating if this is a system wide issue or if it is deliberate, although at this time we understand that at least some PHAs are still locked out.
There is much uncertainty at this time on whether this pause includes Section 8, Public Housing Operating and Capital Funds, HOME, CDBG, Continuum of Care, MTW Demonstration, Choice Neighborhoods, Jobs Plus, Family Self-Sufficiency, Lead Hazard Reduction grants, Project-Based Rental Assistance Demonstration, and other HUD programs. It appears that the Supplemental Nutrition Assistance Program and the Medicaid portal are impacted. We will update you when we have more solid information.
The memorandum also requires federal agencies to review programs for consistency with the new Administration’s priorities and report to OMB no later than February 10, 2025 on which programs have been paused. OMB may grant exemptions on a case-by-case basis.
Democratic leaders on the House and Senate Committees on Appropriations have called on OMB Acting Director Matthew Vaeth to “reverse course to ensure requirements enacted into law are faithfully met and the nation’s spending laws are implemented as intended.” Advocacy groups have filed a Motion for Temporary Restraining Order in the U.S. District Court for the District of Columbia to block the White House Office of Management and Budget from pausing all agency grants and loans.
CLPHA will be engaged in meetings with other advocacy organizations, legal counsel, Congressional staff, and HUD leadership today and throughout this process to understand what this memo will mean for PHAs. We will keep our members updated as soon as we learn more.