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<classification authority="sudocs">GA 1.13:RCED-99-14</classification>
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 <subject>Federal aid for housing</subject>
 <subject>Housing programs</subject>
 <subject>Public housing</subject>
 <subject>Welfare benefits</subject>
 <subject>Low income housing</subject>
 <subject>Rent subsidies</subject>
 <subject>Public assistance programs</subject>
 <subject>Workfare</subject>
 <subject>Projections</subject>
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<titleInfo>
 <title>Welfare Reform: Effect on HUD&apos;s Housing Subsidies Is Difficult to Estimate</title>
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<abstract>Pursuant to a congressional request, GAO provided information on welfare
reform&apos;s financial impact on the Department of Housing and Urban
Development&apos;s (HUD) budget, focusing on what: (1) studies have been done
on welfare reform&apos;s financial impact on public and assisted housing; and
(2) methodological and data issues, if any, arise when researchers
estimate welfare reform&apos;s financial impact on low-income housing.&lt;p/&gt;GAO noted that: (1) officials at housing agencies and researchers at
government agencies, universities, trade associations, and a consulting
firm have estimated welfare reform&apos;s financial impact on some components
of HUD&apos;s housing subsidy programs; (2) GAO identified 13 studies that
estimated this impact; (3) these studies of welfare reform&apos;s financial
impact on HUD&apos;s housing subsidy programs varied in their geographic
scope, focus and assumptions, methods, and findings; (4) some studies
also estimated welfare reform&apos;s impact under alternative scenarios and
therefore developed a range of estimates of welfare reform&apos;s cost for
HUD and housing agencies; (5) the estimates in the studies GAO reviewed
generally varied with the issues on which they focused and the
assumptions on which they were based; (6) some of the authors of the
studies GAO reviewed told it that their estimates might not hold up over
time because some federal and state welfare laws have changed since the
estimates were first developed and the economy has been more robust than
anticipated; (7) experts with whom GAO spoke generally agree that
several issues complicate efforts to forecast welfare reform&apos;s financial
impact on HUD&apos;s housing subsidy programs; (8) these issues include not
only those encountered in predicting welfare reform&apos;s impact on the
recipients and providers of public assistance, but also those specific
to estimating welfare reform&apos;s financial impact on the residents of
assisted housing, providers of subsidized housing, and HUD; (9) in
general, wide variations in state welfare plans and their implementation
complicate the estimation of welfare reform&apos;s impact; (10) the
employment and wage prospects for welfare recipients depend, in part, on
future local and national economic health and on recipients&apos; behavior;
(11) housing experts generally agree that estimating welfare reform&apos;s
impact on housing programs is more complex than estimating welfare
reform&apos;s impact overall because of possible differences in the behavior
of welfare recipients with and without housing assistance, as well as
variations in policies adopted by housing agencies and landlords; and
(12) a lack of reliable data further hampers researchers&apos; efforts to
predict welfare reform&apos;s financial impact on HUD&apos;s housing programs.</abstract>
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<identifier type="preferred citation">GAO/RCED-99-14</identifier>
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<note>Letter Report</note>
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 <searchTitle>GAO/RCED-99-14; Welfare Reform: Effect on HUD&apos;s Housing Subsidies Is Difficult to Estimate;
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<subject>
 <topic>Federal aid for housing</topic>
 <topic>Housing programs</topic>
 <topic>Public housing</topic>
 <topic>Welfare benefits</topic>
 <topic>Low income housing</topic>
 <topic>Rent subsidies</topic>
 <topic>Public assistance programs</topic>
 <topic>Workfare</topic>
 <topic>Projections</topic>
 <topic>HHS Temporary Assistance for Needy Families Program</topic>
</subject>
<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Public Law 193 (104th Congress)</title>
</titleInfo>
 <identifier type="public law citation">Public Law 104-193</identifier>
</relatedItem>
<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Public Law 276 (105th Congress)</title>
</titleInfo>
 <identifier type="public law citation">Public Law 105-276</identifier>
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