The head of the state’s housing agency said this morning that if the federal government shutdown continues it will be unable to pay for 20,000 Section 8 rental subsidy vouchers next month. Fuel subsidies which help 200,000 low-income and senior citizen households pay for heating oil would also be cut off.

Aaron Gornstein, undersecretary of the Mass. Department of Housing and Community Development (DHCD), said based on his most recent discussions with the Department of Housing and Urban Development (HUD), if the shutdown continues the agency will be unable to draw down funds as of Nov. 1. According to shutdown contingency plans updated by DHCD earlier this week, the agency had thought this funding would last through the end of the year.

In addition to the 20,000 vouchers  managed by DHCD, local housing agencies manage 55,000 more. Some of the local agencies he has spoken to believe they will be able to fund the vouchers next month, Gornstein said, but others will also be in need of funds. Many state housing employees would likely have to be furloughed as well, he said.

"Nov. 1 is really the turning point where people will begin to be denied benefits, as the winter season is upon us. It was cold last night in my house, and if you’re a senior citizen relying on heating assistance it’s going to be tough come November 1st. Those are just some of the consequences," said Gornstein at a meeting sponsored by The Boston Foundation to discuss its annual Housing Report Card.

The Section 8 program was already hit by $16 million in funding cuts due to the sequester, Gornstein said. Regardless of when the shutdown is resolved, Section 8 recipients will face higher rent and utility costs in the new year, and many of the agencies which manage the program may have to lay off staff. "It could jeopardize the ability to administer the program," he said.