Rep. Lawler Introduces Bill to Cut Federal Funding for Cities That Allow Squatting
This bill is in the early stages of the legislative process and is currently sitting with the House Financial Services and Veterans' Affairs committees. Since June 24, 2026, no further action has been taken, and it is common for bills to stall at this stage without a committee vote. The bill must be reviewed by these committees before it can move forward to the full House.
While the bill addresses a popular concern, cutting off all federal mortgages to entire cities is a very drastic step that would likely face strong opposition in the Senate.
Scores run from -100 (strongly harmful) to +100 (strongly beneficial) for each group, combining impact, certainty, scope, and duration ratings of 1-5. How impact scoring works
The bill was specifically referred to the Committee on Veterans' Affairs because it would block VA mortgage guarantees in affected municipalities. Veterans who depend on VA home loans as a core benefit of their service could find homebuying options limited if their preferred city or county ends up on the banned list.
Referred to the Committee on Financial Services, and in addition to the Committee on Veterans' Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.
Introduced in House
The bill was officially filed and given a number. It now enters the legislative queue.
Congressman Mike Lawler (R, NY-17) has introduced the Protecting Homeowners from Squatters Act, legislation aimed at discouraging municipalities from adopting policies that provide legal protections for individuals unlawfully occupying private property.
The proposed Protecting Homeowners from Squatters Act would prohibit federal Community Development Block Grant (CDBG) funding and federal mortgage support in jurisdictions that permit squatting or extend tenant-like protections to people illegally occupying homes.
The legislation defines squatting as unlawfully entering a property and residing there for more than 14 consecutive days without the property owner's permission. It directs HUD to withhold CDBG funding from any jurisdiction that permits squatting.
No votes recorded for this bill yet.
Document Type
Congressional Bill
Official Title
The Protecting Homeowners from Squatters Act
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