VA disability pay excluded from income rules for veteran housing aid

What does this do?

HR 224 removes VA disability compensation from income calculations used to determine eligibility for housing assistance programs funded under the Housing and Community Development Act of 1974. These programs include community development block grants administered by states, cities, and tribal governments to support affordable housing. The law also directs the Government Accountability Office to report to Congress within one year on how VA disability compensation is treated across all HUD programs.

Who does it affect?

Veterans who receive VA disability compensation and are seeking affordable housing assistance through federally supported local programs are directly affected. States, local governments, and tribal governments that administer these housing programs must follow the new income calculation rules.

Why does it matter?

Previously, VA disability compensation could raise a veteran's counted income high enough to disqualify them from low- or moderate-income housing help. The GAO report will identify any HUD programs that still count this compensation as income and suggest corrective measures.

Where does it stand?