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HUD launches investigation into race-based Washington housing program

HUD probes Washington's program offering $60.2 million in zero-interest loans to select racial groups, citing potential Fair Housing Act violations and unequal treatment.

  • On Tuesday, the U.S. Department of Housing and Urban Development launched a fair-housing investigation into the Washington State Housing Finance Commission regarding its race-based Covenant Homeownership Program.
  • HUD official Craig Trainor argued the program violates the Fair Housing Act, citing Chief Justice John Roberts' 2007 ruling that "the way to stop discrimination on the basis of race is to stop discriminating on the basis of race."
  • Funded by a $100 document recording fee, the commission distributed $60.2 million in loans to 547 homebuyers in its first year, with 2025 expansions allowing eligibility for specific racial groups meeting income thresholds.
  • While commission Executive Director Steve Walker declined to comment pending further HUD information, HUD Secretary Scott Turner stated, "I will not stand for illegal racial and ethnic preferences that deny Americans their right to equal protection under the law."
  • Originally framed to address historical housing discrimination, the program now faces federal scrutiny as investigators determine whether it violates laws prohibiting discriminatory lending practices that predate the commission's 2023 creation.
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Your Alaska Link broke the news in on Tuesday, March 24, 2026.
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