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06/30/2026

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LAWIN.news

$42M cut hits health, housing department fears ripple effect

by LAWIN.news April 12, 2025
written by LAWIN.news April 12, 2025
Photo credit: Houston Public Media
329

HOUSTON, Texas — The Houston Health Department is set to lose $42 million in federal funding, a reduction that city officials say will affect its operations.

The cut stems from the rollback of pandemic-era resources, according to City Controller Chris Hollins, and will impact services such as vaccine promotion and wastewater virus surveillance.

The department, which relies heavily on federal support, is preparing for job reductions and scaled-back operations as a result of the funding loss.

In addition to the health department, the Housing and Community Development Department in Houston is also bracing for potential challenges.

While it is expected to receive roughly $250 million in federal grants over the next five years to support neighborhood improvements and aid for low- and moderate-income residents, the department remains vulnerable due to its heavy reliance on federal dollars. Currently, 99% of its budget comes from federal sources.

“These changes are part of a broader trend affecting public health and housing across the country,” Hollins said. “We’re now assessing how to adjust our local operations in light of these evolving circumstances.”

City officials and department leaders are evaluating strategies to address the reduced support while continuing to provide essential services.

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