The Department of Housing and Urban Development is planning an OCIO overhaul and a new data and artificial intelligence division.
What Is HUD Planning for Its Data and Artificial Intelligence Division? According to HUD, the new organizational unit will help ensure that data and artificial intelligence receive appropriate staffing and prioritization within the department’s technology organization. The department’s September 2025 AI Strategy outlines plans to establish secure, scalable infrastructure, improve data governance, develop AI workforce capabilities and create processes for tracking AI investments. Other priorities include establishing a secure environment for developing and testing AI models, implementing machine learning operations and DevSecOps capabilities, and strengthening controls for data privacy, security, bias detection and model monitoring. HUD also intends to recruit AI specialists, including data scientists, machine learning engineers, AI product managers and AI governance professionals, while expanding AI training opportunities for its workforce. What Other Changes Are Planned for HUD’s OCIO? Beyond the proposed data and artificial intelligence division, HUD said OCIO will transition to a portfolio- and product-based organizational model designed to align resources with technology priorities and improve the management of technical solutions. The restructuring will also establish a design and experience division to support HUD’s High Impact Service Provider responsibilities and improve government services delivery. Other planned organizational changes include: Establishing a customer experience division to better align service delivery responsibilities with the needs of HUD and its customers; Consolidating budget, acquisition and resource management activities into a single business office division; Realigning contract and financial management functions to eliminate redundancies across OCIO; Consolidating executive operations to standardize administrative processes; Realigning management responsibilities for HUD’s most critical assets to improve oversight and responses to security threats; Renaming divisions and branches to better reflect their current responsibilities and workloads. What Other Changes Are Included in HUD’s Reorganization Plan? Beyond the OCIO restructuring, HUD plans to consolidate and realign several major offices to improve program administration, financial management and operational efficiency. The Office of Public and Indian Housing will separate public housing and voucher program responsibilities into dedicated offices, while the Office of Fair Housing and Equal Opportunity will adopt a centralized management structure to reduce duplicative functions and standardize enforcement activities. HUD also plans to restructure its Office of the Chief Financial Officer by consolidating budget assistance for program offices and establishing additional financial management and accountability functions. At Ginnie Mae, the reorganization will establish a new division for data and market analysis while strengthening enterprise risk management, issuer engagement and counterparty risk oversight. Why Is HUD Restructuring Its Technology Organization? HUD’s proposed OCIO changes are part of a department-wide reorganization prompted by significant workforce reductions since 2025. A Government Accountability Office September report found that HUD reduced its workforce by 29 percent between December 2024 and December 2025, with most departures occurring through deferred resignation programs. The workforce changes also involved the departure of experienced personnel. More than half of the employees who left HUD had at least 10 years of service, while 41 percent had worked at the department for more than 20 years. GAO found that nearly all 20 stakeholder organizations interviewed for the report said the decline in the number of experienced HUD contacts made it more difficult to navigate the department’s programs. The broader reorganization will begin approximately 90 days after publication of the notice, with implementation expected to continue through fiscal year 2027. What AI Contract Is HUD Planning to Procure Through FY 2027? HUD’s proposed OCIO restructuring comes as the department prepares several technology-related procurements covering artificial intelligence, innovation, compliance and financial systems modernization. According to HUD’s FY 2027–2028 procurement forecast, the department anticipates pursuing an Enterprise AI Services Platform Delivery requirement valued at approximately $5 million to $10 million, with an estimated solicitation release in December. The planned procurement is intended to support a secure, scalable and governed environment for developing, deploying and operating AI models and AI-enabled services.
What Is HUD Planning for Its Data and Artificial Intelligence Division?
According to HUD, the new organizational unit will help ensure that data and artificial intelligence receive appropriate staffing and prioritization within the department’s technology organization. The department’s September 2025 AI Strategy outlines plans to establish secure, scalable infrastructure, improve data governance, develop AI workforce capabilities and create processes for tracking AI investments. Other priorities include establishing a secure environment for developing and testing AI models, implementing machine learning operations and DevSecOps capabilities, and strengthening controls for data privacy, security, bias detection and model monitoring. HUD also intends to recruit AI specialists, including data scientists, machine learning engineers, AI product managers and AI governance professionals, while expanding AI training opportunities for its workforce.
What Other Changes Are Planned for HUD’s OCIO?
Beyond the proposed data and artificial intelligence division, HUD said OCIO will transition to a portfolio- and product-based organizational model designed to align resources with technology priorities and improve the management of technical solutions. The restructuring will also establish a design and experience division to support HUD’s High Impact Service Provider responsibilities and improve government services delivery. Other planned organizational changes include: Establishing a customer experience division to better align service delivery responsibilities with the needs of HUD and its customers; Consolidating budget, acquisition and resource management activities into a single business office division; Realigning contract and financial management functions to eliminate redundancies across OCIO; Consolidating executive operations to standardize administrative processes; Realigning management responsibilities for HUD’s most critical assets to improve oversight and responses to security threats; Renaming divisions and branches to better reflect their current responsibilities and workloads.
What Other Changes Are Included in HUD’s Reorganization Plan?
Beyond the OCIO restructuring, HUD plans to consolidate and realign several major offices to improve program administration, financial management and operational efficiency. The Office of Public and Indian Housing will separate public housing and voucher program responsibilities into dedicated offices, while the Office of Fair Housing and Equal Opportunity will adopt a centralized management structure to reduce duplicative functions and standardize enforcement activities. HUD also plans to restructure its Office of the Chief Financial Officer by consolidating budget assistance for program offices and establishing additional financial management and accountability functions. At Ginnie Mae, the reorganization will establish a new division for data and market analysis while strengthening enterprise risk management, issuer engagement and counterparty risk oversight.
Why Is HUD Restructuring Its Technology Organization?
HUD’s proposed OCIO changes are part of a department-wide reorganization prompted by significant workforce reductions since 2025. A Government Accountability Office September report found that HUD reduced its workforce by 29 percent between December 2024 and December 2025, with most departures occurring through deferred resignation programs. The workforce changes also involved the departure of experienced personnel. More than half of the employees who left HUD had at least 10 years of service, while 41 percent had worked at the department for more than 20 years. GAO found that nearly all 20 stakeholder organizations interviewed for the report said the decline in the number of experienced HUD contacts made it more difficult to navigate the department’s programs. The broader reorganization will begin approximately 90 days after publication of the notice, with implementation expected to continue through fiscal year 2027.
What AI Contract Is HUD Planning to Procure Through FY 2027?
HUD’s proposed OCIO restructuring comes as the department prepares several technology-related procurements covering artificial intelligence, innovation, compliance and financial systems modernization. According to HUD’s FY 2027–2028 procurement forecast, the department anticipates pursuing an Enterprise AI Services Platform Delivery requirement valued at approximately $5 million to $10 million, with an estimated solicitation release in December. The planned procurement is intended to support a secure, scalable and governed environment for developing, deploying and operating AI models and AI-enabled services.
