The Department of Housing and Urban Development (HUD) is investigating the city of Minneapolis’s “comprehensive racialized housing plans,” the department said in a statement on Jan. 16.
HUD’s Office for Fair Housing and Equal Opportunity (FHEO) notified the city of the investigation and stated its belief that the city’s race-based housing programs violate the Fair Housing Act and Title VI of the Civil Rights Act of 1964.
In a Jan. 15 letter to Minneapolis Mayor Jacob Frey, FHEO Assistant Secretary Craig W. Trainor said the Fair Housing Act makes it illegal to discriminate against any person on the basis of race or national origin in the sale or rental of a dwelling. Title VI bans racial or national origin discrimination in any program that receives federal funding.
The letter alleged an increase in racial and ethnic favoritism within the Minnesota government, calling it “alarming.”
Trainor cited fraud committed by Somali citizens in the state that he said cost U.S. taxpayers at least $9 billion. Trainor accused Gov. Tim Walz’s administration of allowing the fraud to flourish and of trying to politically align with the Somali community, primarily for election favoritism.
“This racial favoritism appears to extend to Minneapolis’s housing policy,“ the letter reads.
”Specifically, Minneapolis has committed to making available and allocating housing resources based on race and nationality.”
The letter cited the “Minneapolis 2040” plan issued by the city, which aims to prioritize housing resources to “cultural districts,” which are defined in the plan as areas rooted in “communities significantly populated by people of color, Indigenous people, and/or immigrants.”
The plan promises to expand programs that support existing homeowners in affording and maintaining their homes, with a “focus on people of color, indigenous people.” It vowed to use “racial equity goals” as one criterion when examining various state programs and services.
The city’s Community Planning and Economic Development department also intends to prioritize rental housing to black people, indigenous people, people of color, and immigrant groups by leveraging its rental licensing authority, the letter reads.
“As a result of Minneapolis’s racialized housing policy, I have directed the Office of Special Investigations to investigate Minneapolis,” Trainor wrote.
“If FHEO finds reasonable cause to believe Minneapolis has or intends to violate the civil rights of its citizens, we will file charges of discrimination or refer the matter to the United States Department of Justice for further enforcement.”