HUD to make final LGBT non-discrimination housing rule on Monday

The Department of Housing & Urban Development is set to make final on Monday its proposed non-discrimination rule for LGBT people in federally funded and federally regulated housing programs, according to two informed sources.

The sources said HUD Secretary Shaun Donovan is planning to announce the development during his speech at 1:30 p.m. today at the 24th annual Creating Change conference, which is sponsored by the National Gay & Lesbian Task Force and is taking place at the Hilton Baltimore. According to sources, HUD will publish the rule in the Federal Register on Monday.

UPDATE: Brian Sullivan, a HUD spokesperson, confirmed Donovan would make the announcement during his speech and the final rule will be published Monday.

The rule, first proposed by HUD in January 2011, will cover programs serving millions of Americans, including low-income subsidized housing and Federal Housing Administration mortgage insurance programs.

The proposed rule has three main elements:

• It prohibits lenders from using LGBT status as a basis to determine a borrower’s eligibility for FHA-insured mortgage financing.

• It clarifies that “families” otherwise eligible for HUD programs can’t be excluded because one or more members of the family is LGBT, in a same-sex relationship, or is perceived to be such an individual or in such a relationship.

• It prohibits owners and operators of HUD-assisted housing or housing whose financing is insured by HUD from inquiring about the sexual orientation or gender identity of an applicant or occupant of a dwelling, whether renter or owner-occupied.

During a news conference in January 2011, Donovan said the rule also requires applicants seeking federal housing grants to comply with state and local anti-discrimination laws that protect LGBT people in 21 states. He said the protections under this provision would cover 43 percent of the U.S. population.