The City of Arlington, in Texas, has agreed to pay $395,000 to resolve a lawsuit alleging that it violated the Fair Housing Act when it refused to support an affordable housing development that would have served low-income families with children.
Assistant Attorney General Kristen Clarke stated, "Local governments that resort to discriminatory tactics to block the development of affordable housing and to lock out families with children will be held accountable."
The lawsuit alleges that the City violated federal law in connection with an affordable housing development in 2017. Specifically, the suit alleges that the City violated the Fair Housing Act when it blocked the development of an affordable housing project proposed by Community Development Inc. (CDI), that would have been financed by the federal Low-Income Housing Tax Credit (LIHTC). As alleged in the lawsuit, such tax credits are awarded by the State of Texas on a competitive basis, and it is very difficult for new developments to obtain tax credits unless they receive a Resolution of Support or a Resolution of No Objection from the local government.
The City declined to issue such a resolution for CDI’s development because the City had a policy of supporting LIHTC developments only for senior housing intended for persons 55 years or older. As a result, CDI’s proposed housing for families with children did not receive tax credits and it was not developed.
The settlement, which still must be approved by the U.S. District Court for the Northern District of Texas, requires the City to maintain a non-discriminatory policy for future LIHTC developments, provide Fair Housing Act training to certain city officials, and submit to compliance and reporting requirements for the term of the settlement.
The federal Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex, familial status (having one or more children under 18), national origin and disability. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.
Individuals who believe they have been victims of housing discrimination should contact the U.S. Attorney toll-free at 1-833-591-0291, by email at fairhousing@usdoj.gov, or submit a report online at www.civilrights.justice.gov.
Defendant: The City of Arlington
Criminal Charges: Violated the Fair Housing Act
City and State: Arlington, Texas
Exact Date: Not specified
Sentence or Outcome: The City agreed to pay $395,000 to resolve the lawsuit
Dollar Amount: $395,000
Related Federal Cases
- Beaumont, Housing Discrimination, Texas 2015 · Oklahoma
- Savoy Senior Housing Corporation and SDB Construction Inc., Wetland… · Oklahoma
- Angelina County Water Control and Improvement District No. 4 Official, Embezzlement, Texas 2022 · Oklahoma
- Austin ISD, Violation of Texas Womens Privacy Act, TX, 2023 · Texas
- Xcel Energy, Environmental Negligence, Texas, 2024 · Oklahoma
Key Facts
- State: Texas
- Category: Public Corruption
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
Public CorruptionPublic CorruptionPublic CorruptionPublic Corruption