HUD stands for Housing and Urban Development. This part of the gargantuan federal bureaucracy was created by King Johnson back in the 1960s. Despite the fact that social and economic conditions in the pre-socialist land of that time were and had been improving dramatically since the end of WWII, King Johnson decided to declare a "War on Poverty" that had the totally predictable impact of stopping economic progress for the poor, creating more poverty and putting tens of millions of people on the government dole. As is the case with all bureaucracies, HUD has grown into a monster with its tendrils penetrating into all parts of our society. And as is also the case with bureaus created to fix problems that do not exist, everywhere HUD goes it destroys. Let me give you a couple of examples.
Although you will read this truth nowhere but in this blog and with a couple of other economically astute people, HUD was significantly responsible for the Great Recession. You recall the Great Recession, don't you? The stock market dropped 60%, millions were unemployed, Nancy Pelosi passed a gigantic bill filled with horrible new laws so she could "figure out what was in it," Fed Chairman Ben Bernanke stepped to the plate and issued trillions of dollars in new credit and career politicians slapped each other on the back as they congratulated themselves for "saving the economy" and "preventing another Great Depression." The truth was quite the opposite.
The Great Recession was caused by the ridiculous application of the "mark to market" rule to investment securities backed by government created and insured mortgages. Where did the investment securities that ended up causing all of the problems come from? HUD. If HUD, and its various branches, had not been involved in the mortgage business the Great Recession never would have happened. But the Great Recession is not HUD's only legacy. Federal housing programs on Indian reservations, which former Secretary of the Interior James Watt once described as the greatest example of the failure of socialism this country has ever seen, are also creations of HUD. Anyone who has ever visited an Indian reservation can simply look around and see evidence for Watt's assertion everywhere. Furthermore, HUD dollars have been involved in creating many of the greatest slums and ghettos in the history of the Socialist Democracy of Amerika. Public housing, as it is called, is created by career politicians seeking reelection and HUD is commissioned to bring it into existence. There is no long term example of a successful public housing project in the history of the universe. Without exception all public housing projects end up becoming slums. Thanks HUD!
HUD has hundreds of different scams going at the same time. Go here to see the list of programs currently wasting enormous amounts of taxpayer dollars. It is a good thing that HUD is funded by the top 49% of the income population alone. If the bottom 51% of the income population in this envy-filled country were forced to fund it, it would not be around for long. As it is, the bottom 51% uses HUD programs to transfer the wealth from the top to themselves. HUD is, as is the case with all government programs, nothing more than a wealth transfer scheme.
This rant against HUD was precipitated by an article I read in the newspaper yesterday. In addition to the hundreds of economically harmful programs administered by HUD, the agency is also responsible for going about and persecuting landlords as they seek to engage in mutually voluntary contracts with their tenants. They call this behavior "anti-discrimination" enforcement and they brag about how they have brought social justice to the SDA by seeking out and prosecuting landlords who discriminate against tenants, whatever that means.
Yesterday was a case in point. The title of the article was, "Lakewood landlords charged with family discrimination." The article went on to inform me that, "Federal housing officials announced they have charged a group of Lakewood landlords with relegating families with children to apartments in the rear of a complex." The HUD press release declared that HUD operatives had gone undercover at an apartment complex in Lakewood and discovered "an ongoing practice of illegally steering families with children to apartment units in the rear building of the complex, while renters without children were offered units in the front building." Horror of horrors! Can anyone imagine a more serious example of man's inhumanity to man than this? This makes Hitler look like a Boy Scout. This makes Stalin look like a humanitarian. Call Rosa Parks. How can anyone be relegated to the rear of anything these days? The article concluded by saying that "HUD is seeking a $16,000 civil penalty against each landlord."
Let us admit that the owners of this apartment building have clearly told their leasing agents to discriminate when it comes to where various tenants are placed on their complex. And let us admit that a clear pattern of discrimination exists in regards to families, as families with children are being segregated into a particular building, or set of buildings, in the rear of the complex. But the question that is not being asked is why? Why would the landlords do what they are doing? Are they just evil racists who hate children and who like to make the lives of other people miserable? Do they derive a perverted joy from conjuring up images of public busing in the south prior to the civil rights movement? Just what motivates these monsters to do what they do?
One owner attempted to explain the practice of his ownership team by informing the reporter from the newspaper that putting families with children in buildings further away from a busy street and closer to a playground seemed to make good sense for all parties involved. It also made good sense to have families with children close to one another so they could make friends and socialize. It also made sense to have families with children closer to one another so the parents could help one another as situations arose with their children. And, as the landlord said to the reporter, "It isn't what they say it is. We have always allowed kids in the front building." Apparently the idiots at HUD never bothered to ask why the landlords were exercising this particular type of discrimination. They never considered the possibility that everyone involved with the situation was happy with the outcome, except for some government worshiping busy-body who brought this non-event to HUD's attention. All the HUD officials could see was discrimination and somebody was going to have to pay.
HUD did not explain why its agents did not more intensely investigate other forms of discrimination that were taking place at the apartment complex. My own personal investigation has revealed that some families with children are being placed in apartments with white paint on the walls while others are being placed in apartments with egg-shell colored paint on the walls and none of the tenants had a choice in the matter. Indeed, they were not even informed of the difference. In all cases where a tenant was placed in an apartment with white paint there was a clear link to that person or persons being of Welsh or Scottish descent. I detect an Irish plot here somewhere.
In cases of apartments near the front of the complex I discovered that elderly tenants were always placed on the ground floor of the buildings while younger tenants were forced to climb stairs to enter their units. A more clear example of discrimination cannot be found. To make matters even worse, all tenants were placed haphazardly when it came to which direction the largest window in their unit was facing. No attempt was made by the leasing agent to determine if a potential tenant might suffer from Seasonal Affective Disorder. No doubt many tenants who suffer from SAD are now in units with less natural sunlight than tenants who do not suffer from the disorder. But it gets even worse. The leasing agent did not perform a hearing test on all prospective tenants to determine who might be most impacted by the traffic noise emanating from the busy street near the front of the complex. In a clear act of discrimination the landlords allowed people with superior hearing to live in apartments facing the street, thus seriously eroding their quality of life, while practically deaf tenants were living in the relative quiet of inner facing apartments. I could go on and on. Maybe you can come up with some examples of discrimination of your own. They are everywhere.
This report, from February of this year, informs me that, "The U.S. Department of Housing and Urban Development (HUD) today unveiled
President Obama’s proposed HUD budget for Fiscal Year 2016 which is
focused on helping to secure quality housing for Americans; to end
homelessness; to make communities more resilient from natural disasters;
to protect people from housing discrimination; and to provide critical
rental assistance for millions of extremely poor families. The 2016
budget includes $49.3 billion to support these efforts, representing a
$4 billion, or 8.7 percent, increase over current levels." Fifty billion dollars is all these noble warriors are allocated from the federal pie to perform their heroic works? This is an outrage. That budget should be quadrupled. After all, these god-like bureaucrats are "ending homelessness" in our time. There should be no limit on how much taxpayer money they can spend on such a valiant and loving cause. Furthermore, there is so much discrimination going on in the housing market I am amazed that people are even able to find rental units anymore. All discrimination, just like that I described above, must be banished from the world forever. I don't know about you but the next candidate for King that I am going to vote for had better include a massive expansion of the HUD budget if he expects to get my vote.