A proposed federal rule published March 2, 2026, would let local housing agencies and property owners add work requirements and time limits for millions receiving rental assistance, potentially ending aid for 3.3 million people, including 1.7 million children.
The Department of Housing and Urban Development’s proposal would allow public housing agencies and owners of Project-Based Rental Assistance properties to require work-eligible adults to take part in work activities for up to 40 hours per week. It would also permit minimum time limits of two years for families who are neither elderly nor disabled.
The broad changes would apply to Housing Choice Vouchers, Project-Based Rental Assistance, and other major federal housing programs that currently serve over 10 million people nationwide. Some programs are exempt from these requirements, including HUD-VASH, the Family Unification Program, and the Foster Youth to Independence Program.
Under the proposed rule, work-eligible people are defined as those aged 18 to 61. Housing agencies and property owners would be able to craft their own policies, including how many work hours are required and whether rules apply to individuals or entire households.
“If implemented, such policies are expected to have negative impacts on HUD-assisted households,” wrote Alayna Calabro and Renee Williams of the National Low Income Housing Coalition in an analysis of the proposal.
The Center on Budget and Policy Priorities examined how a two-year time limit might affect public housing, Housing Choice Vouchers, and Project-Based Rental Assistance programs.
Housing providers that implement these policies could end assistance for households or individual members who do not meet work requirements or who exceed time limits.
HUD estimates roughly 750 public housing agencies and 3,504 property owners will adopt work requirement or time limit policies.
Public comments on the proposed rule are due by May 1, 2026, at 11:59 p.m. Eastern Time. The National Low Income Housing Coalition has said it strongly opposes the proposal and will advise members on submitting comments.
The proposal arrives as federal rental assistance faces growing strain. More than five million people depend on Section 8 assistance to help pay rent in high-cost areas such as Los Angeles, New York City, and Seattle. In Los Angeles County alone, about 85,000 households receive these subsidies.
Even so, only about one-quarter of eligible households can take part in federal rental programs because funding is insufficient. This long-standing shortfall has hindered advocates’ efforts to expand access to these supports.
The work requirements and time limits proposal is part of broader federal housing policy changes. In July, HUD proposed separate rule changes on eligibility. Another proposal would bar families with undocumented members from receiving assistance, which could affect about 20,000 households.
Secretary of Housing and Urban Development Scott Turner has said the administration sees time limits and work requirements as tools to encourage self-sufficiency among able-bodied residents, signaling a shift in HUD’s approach to rental assistance programs.
Congress has also debated changes to housing assistance funding. A House proposal would fund Section 8 at 2025 levels without increases for rising rents, possibly leaving 400,000 fewer people with vouchers. A Senate proposal would provide more funding than the House plan but still fall short of preserving current coverage, potentially cutting assistance for 250,000 people. President Trump previously proposed a 43 percent cut to the program.
These competing plans highlight ongoing debates over the appropriate level and structure of federal housing aid.
Federal rental assistance primarily serves families with children, older adults, people with disabilities, full-time caregivers, and low-wage workers. The aid helps these households afford rent and frees income for necessities like food, medical care, transportation, and school supplies.
Studies of similar requirements in other assistance programs have shown troubling trends. Claudia Aiken of the New York University Furman Center observed that work requirements in food assistance, Medicaid, and welfare have sharply reduced participation; research indicates administrative hurdles and reporting rules often prevent even those who meet work standards from staying enrolled.
Housing advocates, including the National Housing Law Project, warn the proposed changes could increase evictions and homelessness and disproportionately affect people of color. “The administration is gutting the federal housing programs,” said Deborah Thrope of the National Housing Law Project.
Although the HUD-VASH program for veterans is explicitly excluded from both work requirements and time limits, the proposal offers narrower exemptions for time limits than for work requirements.