WILL Backs HUD Plan to Let Public Housing Add Work Requirements

The Wisconsin Institute for Law & Liberty filed a public comment in support of a new Housing and Urban Development (HUD) rule that was drafted with Wisconsin in mind.

What The Rule Does: It would let public housing agencies and landlords require able-bodied adults receiving housing assistance to work up to 40 hours per week and could limit assistance to two years.

Why It Matters: Work requirements could help tenants build skills, earn more money, and move off aid. That would also open up temporary housing for the next family in need.

Why WILL Supports The Rule

WILL makes three main points in its public comment:

  • It gives states more power. Federal law says public housing agencies should have the “maximum amount of responsibility and flexibility.” The new rule does that by letting each agency choose its own work rules.
  • It rewards work. Federal law says housing agencies should “encourage and reward employment and economic self-sufficiency.” Work rules push people toward jobs and independence.
  • It opens doors for more families. Housing aid is not meant to last forever. Time limits help people move on and open space for the next family in need of temporary assistance.

Why Wisconsin Cares

In 2018, Governor Walker signed a package of welfare reform bills, including a bill that directs Wisconsin housing authorities to screen able-bodied adults and build individualized work plans for them. However, the law only kicks in “to the extent allowed under federal law.” The vision of this bill was to treat public housing assistance as a true steppingstone and not a destination. Federal law has prohibited that vision from being fully executed.

Right now, federal law only requires 8 hours of community service or self-help work per month. That floor is too low to make a real difference. The new HUD rule would raise the ceiling so Wisconsin can fully enact the reforms that it already has on its books.

By The Numbers

WILL points to its own 2020 study, “Back on Their Feet,” by Will Flanders, Ph.D. It looked at what happened when Wisconsin, Indiana, Iowa, and Missouri brought back food-stamp work rules after the Great Recession.

  • 0.62% rise in labor-force participation in the four states that added work requirements.
  • 0.53% drop in unemployment in those same states.
  • 106,000+ working-age adults returned to the workforce across the four states since 2008. That includes about 28,786 in Wisconsin alone.

Flashback: Wisconsin’s Welfare Reform History

  • 1990s: Gov. Tommy Thompson added work rules for welfare. Wisconsin’s costs dropped 5–10% while other states’ costs nearly doubled.
  • 2015: Wisconsin added work rules for food stamps. About 28,000 people found private-sector jobs.
  • 2018: Gov. Scott Walker and the legislature advanced nine welfare reform bills. One of those bills created Wis. Stat. § 16.314, the statute that directs housing agencies to create job plans for residents.

What’s Next

Wisconsin is already ahead. State law (Wis. Stat. § 16.314) tells housing agencies to build job plans for able-bodied adults, but only as much as federal law allows. If this HUD rule becomes final, Wisconsin agencies would need to act. Other states could still choose for themselves.

The Bottom Line: WILL’s own studies show that work requirements help people find jobs and gain independence—and states should be free to use them.

Go Deeper

Read WILL’s full public comment here.

Erin Gamble

Erin Gamble

Associate Counsel

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