U.S. Housing and Urban Development Secretary (HUD) Alphonso Jackson said today that he will be resigning from the agency, effective April 18, 2008, according to a press statement issued by HUD.
Jackson’s announcement comes after much speculation about his pending resignation and after two U.S. Senators sent letters to the president, saying they do not have confidence in Jackson’s leadership in times when the whole U.S. economy is suffering under the weight of a housing slowdown.
When announcing his resignation, Jackson said, “During my time here, I have sought to make America a better place to live, work and raise a family. I take great pride in working alongside some of the most dedicated civil servants in America. The hardworking people at HUD make a difference in the lives of thousands of Americans daily.”
DSNews.com reported last week that Sen. Chris Dodd (D-CT) and U.S. Sen. Patty Murray (D-WA) sent a letter to President George W. Bush recently asking for Jackson’s resignation. Both Senators allege that Jackson was less than forthcoming when asked specific questions about accusations of cronyism, as well as questions related to allegations that Jackson stripped the Philadelphia Housing Authority of funding after the agency refused to transfer public property to a private business entity.

At the time, Sen. Murray said, “Last Thursday, HUD Secretary Jackson demonstrated to my subcommittee that he is not fit to run his agency. We are in the midst of a national housing crisis. The allegations of cronyism and favoritism against Secretary Jackson are a worsening distraction at HUD at a time when we must have a credible housing secretary that is beyond suspicion. It is time for Secretary Jackson to go.”
Sen. Dodd added, “Secretary Jackson has repeatedly demonstrated that he is not in the position to provide the type of leadership that is necessary during these trying and difficult times. Given findings in the Inspector General’s report that Secretary Jackson advised his senior staff to improperly take political affiliation into account in awarding contracts; serious allegations about his impropriety currently under investigation in three separate cases; and his repeated failure to answer written and oral questions by Members of Congress, I do not believe Secretary Jackson is capable of effectively carrying out his responsibilities and the responsibilities of the Department of Housing and Urban Development. Now, more than ever, we need a HUD Secretary who can devote his full energy to solving our nation’s housing crisis.”
The Mortgage Bankers Association (MBA) was one of the first agencies to respond to Jackson’s resignation on Monday.
“MBA has appreciated the opportunity to work with Secretary Jackson on a variety of policy initiatives designed to build stronger communities and help existing and future homeowners,” said Kieran Quinn, chairman of the MBA. “We look forward to working with his successor on a number of upcoming housing issues, including simplification and improved transparency for consumers throughout the loan origination process under RESPA.”