Executive Order Confusion Causes NYC Housing Officials To Delay Section 8 Landlord Payments

The rescinded government order to pause federal funding caused the New York City Housing Authority to delay payments this month.

President Donald Trump’s recent proposed federal funding freeze has caused the New York City Housing Authority to delay rent payments on Feb 3. The payments have not gone out to landlords who lease apartments to Section 8 housing tenants, causing issues across the city.

The New York City Housing Authority oversees the federal Section 8 program for nearly 100,000 households across the five boroughs, usually receiving around $2 billion a year from the Department of Housing and Urban Development to distribute to private landlords at the start of every month as compensation for tenants.

However, while New York landlords expected to receive their usual monthly rent checks on Monday morning, many did not.

According to Jay Martin, senior vice president of the landlord trade group New York Apartment Association, over a dozen property owners who own hundreds of apartments contacted him on Monday after they did not receive their checks.

“My phone is like a hotline right now,” one landlord described to Gothamist. “All my small landlords are freaking out.”

Michael Horgan, a New York City Housing Authority spokesperson, said the delay was caused by a directive last week from the Trump administration ordering all federal agencies to pause payments. The White House rolled back the order, but widespread confusion and breakdowns in the government payment system persisted.

Relief was in sight. “As of this morning, NYCHA has received funding for the Section 8 program and has immediately begun processing,” Horgan said. “Property owners will receive the electronic funds transfer within one business day.”

But not everyone was happy about waiting.

“Landlords’ confidence in the programs is what makes them successful,” said Rachel Fee, executive director of the nonprofit New York Housing Conference. “Payment delays and funding uncertainty can shock the affordable housing community, affecting building owners and tenants.”

“One day is significant,” added the New York Apartment Association. “We really need to make sure the government and NYCHA make sure this doesn’t happen again.”