The Brookline, Massachusetts Tab today discusses the complex legal questions posed by arrangements that are being made to redevelop a Catholic Church site into affordable housing. Funds for the new housing are coming from the federal government through HUD, from the city of Brookline, and from private sources. The Catholic archdiocese wants to reserve 3 of the 50 housing units for Catholic parishioners of St. Mary's church.
Federal law, 42 USC Sec. 5309, prohibits religious discrimination in housing that is funded in whole or part with federal Community Development funds. In order to skirt that requirement, the diocese Planning Office for Urban Affairs will develop the 3 units with totally private funds. Government funds will be used for the other 47 units.
If no federal funds are used, there is an exemption under the broader federal Fair Housing Act, for a religious organization that limits the sale of housing to person of the same religion (42 USC Sec. 3607). HUD however is looking into whether occupants of the 3 privately developed units will be benefiting from federal funds spent for overall plumbing and common hallways.