Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Federal Housing And Transportation Funding topic
No spam. Unsubscribe anytime.
PSRC briefing warns of federal HUD cuts and possible impacts to housing and transportation funding
Summary
Puget Sound Regional Council staff told the Kitsap board that the federal 'skinny' budget proposes deep cuts to HUD programs and would convert some rent subsidies to state block grants and limit some Housing Choice Voucher assistance; PSRC said the region should monitor federal rescissions and legal challenges to grant certification requirements.
Puget Sound Regional Council staff briefed the Kitsap Regional Coordinating Council on May 6 about federal and state funding developments that could affect housing and transportation projects in the Puget Sound region.
Robin Koski of the Puget Sound Regional Council summarized the administration’s outline (“skinny”) federal budget and ongoing congressional actions. Koski said the proposed federal budget would reduce funding at the Department of Housing and Urban Development, eliminate some programs and shift others to state block grants. “It would change rent subsidies to a state block grant and then limit housing choice vouchers … to two years,” Koski said, noting the outline was an administration proposal and still fluid.
Nut graf: PSRC staff told the board that the federal proposals, if enacted, could reduce HUD funding for programs such as HOME and Community Development Block Grant (CDBG) and change the structure and duration of Housing Choice Vouchers (Section 8). PSRC and local leaders flagged recent rescissions and a pending lawsuit over federal grant certification requirements as immediate risks to projects that already have grant agreements.
PSRC staff described one instance where a BRIC (Building Resilient Infrastructure and Communities) award of about $1.4 million was rescinded after a signed agreement, leaving a local transportation project with a funding gap. Nancy Venana Grannon, PSRC deputy executive director, said several large jurisdictions had filed a lawsuit challenging new HUD and FTA certification requirements; she said those jurisdictions were seeking other counties to join an amended complaint.
Board members pressed for regional coordination and legal clarity. Kitsap leaders said many local projects—housing developments and transportation projects—rely on federal grants and vouchers. Mayor Erickson told the council that nearly 900 apartments in Kitsap County depend on housing vouchers, and she warned that changes to HUD funding could place tenants at risk. PSRC staff said they would continue to track federal actions, collect reports of local impacts, and coordinate with members and the region’s federal advocacy partners.
On the state side, PSRC staff summarized the recently concluded legislative session: the 2025–27 operating budget reached roughly $77.8 billion, included some new revenue measures, and made targeted investments in housing and education. Koski said the session produced a large housing package that included rent-stabilization language and that PSRC would present an in-depth housing review to its Growth Management Policy Board in June.
Ending: PSRC asked KRCC members to report local impacts and to participate in regional coordination. PSRC staff said they would share updates from federal meetings and planned trips to Washington, D.C., and encouraged local governments to monitor procurement and contracting obligations tied to federal grants.
