HUD has maintained — and reiterated Tuesday — that the proposal merely brings the agency’s interpretation of the disparate impact standard in line with a 2015 Supreme Court ruling. In its 2015 decision, the Supreme Court upheld the use of a 'disparate impact' theory to establish liability under the Fair Housing Act for business policies and local ordinances even if the policy or ordinance is neutral - in intent and application - if it disproportionately affects a protected class without a legally sufficient justification.“There is a lack of affordable housing in America today,” said HUD Secretary Ben Carson.
The HUD proposed disparate impact rule provides a framework for establishing legal liability for facially neutral practices that have unintended discriminatory effects on classes of persons protected under the Fair Housing Act. Another Ocasio-Cortez amendment to the Transportation-HUD spending bill would block HUD’s proposed changes to the disparate impact rule, an Obama-administration regulation that codified a … I did not know much about the world at the time, but one thing was self-evident: Nothing good comes from rats. A housing construction project in San Francisco, Calif., in 2015.
The proposed rule, which HUD likely will finalize in 2020, would impose on plaintiffs a new five-part pleading requirement and create several new defenses. The rule has no impact on determinations of intentional discrimination. However, history has also made clear that enforcement by itself is not enough to address the structural issues that have put homeownership and generational wealth-building beyond the reach of too many minority families and communities. As we have shown time and again, we will challenge any practice that discriminates against people that the law protects. Today, the Department of Housing and Urban Development (HUD) introduced a proposal that would overhaul the Disparate Impact rule, a 2013 regulation from the … June 29, 2020 . This rule follows a June 20, 2018, advance notice of proposed rulemaking, in which HUD solicited comments on the disparate impact standard set forth in HUD's 2013 final rule, including the disparate impact rule's burden-shifting approach, definitions, and causation standard, and whether it required amendment to align with the decision of the Supreme Court in Inclusive Communities Project, …
The Mortgage Bankers Association along with the National Association of Realtors and certain large mortgage lenders recently wrote to HUD urging it to refrain from publishing its final rule on disparate impact claims under the Fair Housing Act.At a time when we as a nation are having important and too-long-ignored conversations about racial inequality, we believe it is appropriate to withhold publication of the final disparate impact rule.
At the end of the day, this rule not only increases Americans’ access to fair and affordable housing, but also permits businesses and local governments to make valid policy choices."
. Carson defended HUD’s efforts to change the disparate impact standard. Effective fair lending enforcement is an important piece of this discussion.