The U.S. Department of Housing and Urban Development is dropping its investigation into whether or not aldermanic prerogative, which typically gives Chicago aldermen the final word on zoning decisions in their ward, resulted in housing discrimination.
In a letter HUD sent Wednesday to the complaining parties, which was obtained by the Tribune, the agency said it was closing the case to instead focus on “real concerns regarding fair housing.”
“It is the Department’s policy to focus on the original understanding and enforcement of the law and therefore rightfully return such decisions on zoning, home building, and more, to local leaders who are directly responsible for those matters,” the letter says. “HUD enforcement will continue to prioritize investigations of specific allegations of actual discrimination, rather than dictate or influence land use policy.”
ProPublica reported last month HUD was planning to drop the case.
What dropping the investigation means for Chicago remains unclear. Advocates hope to negotiate a deal with Mayor Brandon Johnson that will prevent aldermen from discriminating against affordable housing projects and developments. But it’s unclear what action Johnson will take, given that he is preparing for a difficult reelection campaign and budget fight.
Johnson’s office did not immediately respond to a request for comment Wednesday, nor did HUD officials.
A 2018 complaint filed by the Shriver Center on Poverty Law on behalf of community organizations alleged that aldermanic prerogative promotes housing discrimination by keeping racial minorities from moving into affluent white neighborhoods.
After an investigation, HUD under Democratic President Joe Biden found in 2023 the allegations to be true. The agency found that Chicago had limited the building of income-restricted affordable housing in majority-white neighborhoods by giving aldermen complete veto power. It also found that Chicago had disproportionately harmed Black and Hispanic residents, perpetuated racial segregation and effectuated opposition to affordable housing “based on racial animus.”
HUD offered the parties an opportunity to work with the federal agency on informal settlement negotiations. But the Tribune reported last month that Johnson’s administration delayed signing an agreement to resolve the federal complaint.
A group of organizations behind the complaint met July 9 with senior mayoral aides Kennedy Bartley and Jason Lee to discuss alternative arrangements that would address the issue while leaving HUD out of the equation and forgoing any action items that would require City Council approval.
But the political willpower to approve changes that would address the issue is in danger without HUD’s backing. Representatives from organizations behind the complaint said last week they believed HUD will no longer pursue fair housing complaints under Republican President Donald Trump’s administration.
The affordable and fair housing community locally and nationally have been taking repeated hits from the Trump administration, which has sought to hinder fair housing enforcement and obstruct certain affordable housing developments.
Asked last month how the complaining organizations will take on aldermanic prerogative without HUD’s backing and the City Council’s support, Rod Wilson, executive director of the Lugenia Burns Hope Center, said he thinks there are other routes that don’t need City Council approval but declined to share specifics because of the ongoing negotiations with the mayor’s team.

In a letter HUD sent Wednesday to the complaining parties, which was obtained by the Tribune, the agency said it was closing the case to instead focus on “real concerns regarding fair housing.”
The U.S. Department of Housing and Urban Development is dropping its investigation into whether or not aldermanic prerogative, which typically gives Chicago aldermen the final word on zoning decisions in their ward, resulted in housing discrimination.
In a letter HUD sent Wednesday to the complaining parties, which was obtained by the Tribune, the agency said it was closing the case to instead focus on “real concerns regarding fair housing.”
“It is the Department’s policy to focus on the original understanding and enforcement of the law and therefore rightfully return such decisions on zoning, home building, and more, to local leaders who are directly responsible for those matters,” the letter says. “HUD enforcement will continue to prioritize investigations of specific allegations of actual discrimination, rather than dictate or influence land use policy.”
ProPublica reported last month HUD was planning to drop the case.
What dropping the investigation means for Chicago remains unclear. Advocates hope to negotiate a deal with Mayor Brandon Johnson that will prevent aldermen from discriminating against affordable housing projects and developments. But it’s unclear what action Johnson will take, given that he is preparing for a difficult reelection campaign and budget fight.
Johnson’s office did not immediately respond to a request for comment Wednesday, nor did HUD officials.
A 2018 complaint filed by the Shriver Center on Poverty Law on behalf of community organizations alleged that aldermanic prerogative promotes housing discrimination by keeping racial minorities from moving into affluent white neighborhoods.
After an investigation, HUD under Democratic President Joe Biden found in 2023 the allegations to be true. The agency found that Chicago had limited the building of income-restricted affordable housing in majority-white neighborhoods by giving aldermen complete veto power. It also found that Chicago had disproportionately harmed Black and Hispanic residents, perpetuated racial segregation and effectuated opposition to affordable housing “based on racial animus.”
HUD offered the parties an opportunity to work with the federal agency on informal settlement negotiations. But the Tribune reported last month that Johnson’s administration delayed signing an agreement to resolve the federal complaint.
A group of organizations behind the complaint met July 9 with senior mayoral aides Kennedy Bartley and Jason Lee to discuss alternative arrangements that would address the issue while leaving HUD out of the equation and forgoing any action items that would require City Council approval.
But the political willpower to approve changes that would address the issue is in danger without HUD’s backing. Representatives from organizations behind the complaint said last week they believed HUD will no longer pursue fair housing complaints under Republican President Donald Trump’s administration.
The affordable and fair housing community locally and nationally have been taking repeated hits from the Trump administration, which has sought to hinder fair housing enforcement and obstruct certain affordable housing developments.
Asked last month how the complaining organizations will take on aldermanic prerogative without HUD’s backing and the City Council’s support, Rod Wilson, executive director of the Lugenia Burns Hope Center, said he thinks there are other routes that don’t need City Council approval but declined to share specifics because of the ongoing negotiations with the mayor’s team.
RevContent Feed