HUD Charges Homeowners’ Association In Providence Village, Texas, With Race And Color Discrimination –

by Jeroslyn JoVonn

January 17, 2025

‘No resident should be subjected to housing discrimination based on their race and color or face adverse action for asserting their legal rights.’

A homeowners association in Providence Village, a new town in Denton County, Texas, faces housing discrimination charges for allegedly targeting and displacing Black residents who rely on housing choice vouchers.

On Thursday, the U.S. Department of Housing and Urban Development (HUD) announced charges against the homeowners association, accusing it of implementing rules to remove residents based on race and color. HUD alleges that the HOA used legal tactics to intimidate Black residents who exercised their fair housing rights and neglected to address rising racial tensions that left complainants feeling unsafe.

Among the incidents outlined in the filing, include incidents involving several unofficial Providence Village social media groups, which frequently feature explicitly racist and threatening posts. PHOA Board members allegedly participated and engaged with the content.

“No resident should be subjected to housing discrimination based on their race and color or face adverse action for asserting their legal rights,” said Diane M. Shelley, HUD’s principal deputy assistant secretary for fair housing and equal opportunity.

According to the filing, racial tensions escalated in 2021 following an altercation between a Black teenager and a white teenager. Residents began attributing crime and other issues in Providence Village to voucher holders, often using racially charged terms like “ghetto.” At the time, only 4% of households in Providence Village used Housing Choice Vouchers, with 93% of those households being Black.

The PHOA is accused of collaborating to create the Rental and Leasing Rules (dubbed the “Rules”), which banned property owners from renting to Housing Choice Voucher (HCV) tenants and imposed additional rental restrictions, such as limiting owners to a single rental property.

The board moved forward with these actions despite receiving warnings from the mayor and others that these restrictions could violate fair housing laws.

The Fair Housing Act forbids discrimination based on race or color. It prohibits any action that intimidates or threatens individuals for participating in protected activities, such as filing a fair housing complaint with HUD.

“The Fair Housing Act bars homeowners associations, just like landlords, from denying housing opportunities based on race,” said Benjamin B. Klubes, HUD’s acting General Counsel. “HUD will not tolerate homeowners associations instituting discriminatory policies.”

A U.S. Administrative Law Judge will review HUD’s charge to determine if discrimination has occurred after a hearing. Based on the findings, a judge may award damages to the complainants for any losses incurred and impose injunctive relief and other measures to prevent further discrimination.

Additionally, civil penalties may be applied to uphold the public interest. If the case is heard in federal court, the judge may also grant punitive damages to the complainants.

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