HUD and DHS Join Forces to Redirect Housing Aid to U.S. Citizens, Crack Down on Illegal Benefit Use

HUD Secretary Scott Turner, DHS Secretary Kristi NoemImage via HUD

WASHINGTON, D.C. – On Monday, March 24, U.S. Department of Housing and Urban Development (HUD) Secretary Scott Turner and U.S. Department of Homeland Security (DHS) Secretary Kristi Noem finalized a significant Memorandum of Understanding (MOU) titled “American Housing Programs for American Citizens.” The agreement aims to realign taxpayer-funded housing benefits exclusively toward United States citizens and lawful residents, ending what officials described as a history of misuse that inadvertently benefited illegal immigrants.

The new interagency collaboration represents the federal government’s commitment to prioritizing housing resources for legal residents amidst an ongoing housing crisis. Under the agreement, HUD will deploy a full-time staff member to DHS’s Incident Command Center (ICC). This role will focus on improving data-sharing and enforcement capabilities to ensure compliance with federal housing regulations.

“American tax dollars should be used for the benefit of American citizens, especially when it comes to an issue as pressing as our nation’s housing crisis,” said Secretary Turner. “This new agreement will leverage resources including technology and personnel to ensure American people are the only priority when it comes to public housing. We will continue to work closely with DHS to maximize our resources and put American citizens first.”

Addressing Resource Misallocation

The joint announcement comes in the wake of widespread concerns about the burden illegal immigration imposes on public resources. Secretary Kristi Noem highlighted the previous administration’s approach to public benefits, alleging it placed the needs of illegal immigrants over those of American citizens.

“No more,” Noem declared. “The entire government will work together to identify abuse and exploitation of public benefits and make sure those in this country illegally are not receiving federal benefits or other financial incentives to stay illegally. If you are an illegal immigrant, you should leave now. The gravy train is over.”

Her remarks coincide with data from the Center for Immigration Studies showing that 59% of undocumented immigrant households utilize one or more welfare programs, generating an estimated $42 billion annually in associated costs. One critical area highlighted in policy discussions is housing, particularly given the estimated 9 million public housing residents nationwide whose eligibility for federally subsidized benefits has been difficult to verify due to limited data-sharing mechanisms.

HUD emphasized that tackling this issue would not only free more resources for housing assistance but also help strengthen accountability in managing public funds.

Policy Enforcement and Legal Framework

The MOU formalizes efforts to enforce legal provisions, specifically Section 214 of the Housing and Community Development Act of 1980. This law prohibits the allocation of federally funded housing resources to illegal immigrants. HUD’s Office of Public and Indian Housing (PIH) has issued updated directives to Public Housing Authorities (PHAs), particularly those under the Moving to Work (MTW) banner, to ensure adherence to these legal standards.

“These updated instructions make clear that HUD-funded service providers operating under Section 214 cannot provide financial assistance to illegal immigrants,” HUD stated. Enforcement mechanisms will include improved cross-referencing of data between federal departments and updated eligibility verifications by housing providers.

The agreement also enhances monitoring tools to ensure state-level legislative measures prohibiting illegal immigrants from accessing public housing align with federal guidelines. Over the past year, several states and municipalities have already enacted laws banning undocumented individuals from receiving such benefits. This MOU builds on those measures by fostering federal oversight and cooperation.

National Housing Strategy

The timing of the agreement signals a deliberate policy shift to address both housing affordability for citizens and growing fiscal concerns over resource allocation. Federal officials assert these changes will improve the overall efficiency of taxpayer-funded programs.

HUD and DHS emphasized that the partnership marks a pivotal step toward alleviating housing pressures while maintaining fiscal responsibility. Secretary Turner reinforced that the measures are not punitive but focus on upholding the integrity of public programs. “We are simply ensuring that American citizens, who fund these programs, are the first to benefit.”

While the policy has drawn praise from advocates of immigration reform and fiscal conservatism, it is expected to face criticism from immigrant rights groups. Both agencies, however, affirmed their commitment to enforcing federal law while addressing national housing needs.

The MOU reflects the administration’s stance on aligning domestic policies with broader national priorities, ensuring both accountability for public resources and fairness in delivering government assistance.

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