Subsidized housing in the United States is administered by federal, state and local agencies to provide subsidized rental assistance for low-income households. Public housing is priced much below the market rate, allowing people to live in more convenient locations rather than move away from the city in search of lower rents. In most federally-funded rental assistance programs, the tenants' monthly rent is set at 30% of their household income. Now increasingly provided in a variety of settings and formats, originally public housing in the U.S. consisted primarily of one or more concentrated blocks of low-rise and/or high-rise apartment buildings. These complexes are operated by state and local housing authorities which are authorized and funded by the United States Department of Housing and Urban Development (HUD). More than 1.2 million households currently live in public housing of some type. Subsidized apartment buildings, often referred to as housing projects, have a complicated and often notorious history in the United States. While the first decades of projects were built with higher construction standards and a broader range of incomes and same applicants, over time, public housing increasingly became the housing of last resort in many cities. Several reasons have been cited for this negative trend including the failure of Congress to provide sufficient funding, a lowering of standards for occupancy, and mismanagement at the local level. Furthermore, housing projects have also been seen to greatly increase concentrated poverty in a community, leading to several negative externalities. Crime, drug usage, and educational under-performance are all widely associated with housing projects, particularly in urban areas.
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