Activities to prevent bias and discrimination in housing have dramatically picked up speed on the Federal level and in New York. Guidance and communications reveal a multi-pronged approach to enforcing the Fair Housing Act by touching on a wide variety of activities from screenings to insurer practices and more. Following are highlights of a few national and state activities occurring since the start of 2024.
On February 23, HUD announced adjustments to civil monetary penalty amounts for 2024. These adjustments took effect on March 25. Fair Housing Act civil penalties range from $25,597 with no prior violations to $63,991 if there’s one prior violation and $127,983 if you have two or more priors. (Criminal proceedings may be pursued for complaints involving force or threat of force.)
In early April, HUD awarded over $30 million in grants to fair housing organizations working to address Fair Housing Act violations, including three in New York.
On April 29, HUD issued guidance on the Application of the Fair Housing Act to the Screening of Applicants for Rental Housing. It addresses ways to screen applicants in a nondiscriminatory manner and best practices for Fair Housing Act compliance. It also discusses the use of AI and machine learning in screenings. (Separate guidance was issued to address the use of AI in the advertising of housing opportunities.)
There’s also a proposed rule under consideration to amend existing regulations “for applicants with criminal records or a history of involvement with the criminal justice system and eviction or termination of assistance of persons on the basis of illegal drug use, drug-related criminal activity, or other criminal activity.” Stay tuned.
When it comes to New York, on April 22, an agreement was enacted as part of the 2025 budget “to address New York’s housing crisis by increasing the housing supply, promoting affordability, strengthening protections for New York renters and homeowners, and combatting bias and discrimination in housing.”
There were several changes to housing laws, including the Good Cause Eviction Notice taking effect in NYC and giving any other village, town, or city in New York the opportunity to opt in. As of the end of July, Albany, Kingston, Poughkeepsie, Rochester, and Ithaca had opted in.
On April 26, Governor Hochul shared a comprehensive assessment of fair housing in the state, with Fair Housing Matters NY and a new online mapping tool showing how fair housing issues impact New Yorkers. The report highlights key issues and defines goals and action items addressing housing disparities.
To promote Fair Housing compliance, an additional $2.2 million expanded New York’s Fair Housing Testing Program, where undercover testers act as renters and homebuyers to uncover discrimination and educate landlords, tenants, local governments, and real estate professionals on fair housing requirements. In addition, the Governor is creating a new unit dedicated to swift enforcement of housing discrimination related to Section 8 Housing Choice Vouchers.
As you focus on staying up-to-date on Fair Housing Act activities on both the Federal and state levels to promote compliance and protect your organization from penalties, you can count on RBT CPAs to be your trusted advisor for accounting, audits, taxes, and more. Learn how we can be Remarkably Better Together by contacting us today.
RBT CPAs never offshore work outside of the U.S., so you always know who is handling your financial information.
NOTE: RBT CPAs is not a law firm and the content in this article should not be construed as legal advice. Should you have questions about Fair Housing Act law or compliance, it’s in your best interest to contact your legal counsel.