Crapo, Reed Legislation to Eliminate Barriers to Housing Assistance for Veterans to Become Law

Washington, D.C.–U.S. Senators Mike Crapo (R-Idaho) and Jack Reed (D-Rhode Island) celebrated Senate passage of their bipartisan, bicameral legislation, the Disabled Veterans Housing Support Act. The U.S. Senate unanimously passed the legislation, which exempts veteran disability benefits from being included as income when determining eligibility for Community Development Block Grant (CDBG) housing. The bill now heads to President Trump’s desk for signature.

“Disabled veterans should not have to worry about securing a safe and affordable place to call home,” said Crapo. “Veterans have sacrificed so much in service to our nation, and this legislation ensures they are not unfairly penalized when seeking access to affordable housing.”

“I was pleased to work with Senator Crapo to pass this bipartisan bill. We have a duty to assist struggling veterans and provide them with the benefits and support they earned. Passing this bipartisan law is a step in the right direction. It will help cut red tape to get more wounded and disabled veterans safely and stably housed. And that goes a long way to providing them with dignity and opportunity and building community. America must keep its promise to veterans and leave no one behind,” said Senator Reed.

Currently, the U.S. Department of Housing and Urban Development’s (HUD) income guidelines include disability compensation received by veterans as part of the calculation to determine eligibility for federal housing assistance funded through the CDBG program. This practice has disproportionately impacted those who rely on disability benefits as their primary source of income, often making it more difficult for them to access affordable housing and further contributing to veteran homelessness.

This legislation removes that barrier for CDBG-funded programs by explicitly excluding service-connected disability compensation from HUD’s income eligibility requirements for CDBG. By doing so, it will increase the ability of wounded veterans to secure housing assistance they would have otherwise not qualified for.

The legislation also directs the U.S. Government Accountability Office to report to Congress in one year on how individuals with service-connected disabilities are treated in determining their eligibility for HUD’s programs and provide recommendations for how the department could improve its service to veterans and other underserved communities.

The U.S. House of Representatives unanimously passed the Disabled Veterans Housing Support Act on February 10, 2025. Representatives Monica De La Cruz (R-Texas) and Brad Sherman (D-California) led the House version of the bill.

The full text of the bill can be found here.