HUD Announces $3.5 Billion to Address Homeless Crisis
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On July 31, the U.S. Department of Housing and Urban Development (HUD) announced it will provide $3.5 billion in competitive funding to combat the nation’s homeless crisis. HUD Acting Secretary Adrianne Todman stated that the funds will be allocated to homeless services organizations for supportive services and housing programs.
“This year’s funding opportunity marks the largest amount ever available under the Continuum of Care program, reflecting the Biden-Harris administration’s commitment to address homelessness with urgency,” Todman said. “No one should have to live in their car or on the streets. These funds will provide shelter to Americans in need.”
The funds will come from HUD’s Continuum of Care Program (CoC), the largest federal grant source for homeless services, supporting over 7,000 projects annually. The program is managed by nonprofit providers, local governments, states, and Indian tribes.
HUD is also issuing a two-year Notice of Funding Opportunity (NOFO) to streamline the application process and reduce administrative burdens. Additionally, a first-of-its-kind cost of living adjustment will provide extra support to homeless assistance providers.
“Our approach this year incorporates feedback from providers to increase staff support and reduce administrative burdens by moving to a two-year application cycle,” said Marion McFadden, Principal Deputy Assistant Secretary for Community Planning and Development. “This allows staff to spend more time helping those experiencing homelessness and less time on paperwork.”
Among the beneficiaries is Rockville Housing Enterprises in Maryland, which received $154,000 through HUD’s Foster Youth to Independence (FYI) Initiative, aimed at preventing homelessness among youth in the child welfare system.
This announcement complements existing HUD funding for permanent supportive housing through the Youth Homelessness System Improvement Grants and the 2023 Youth Homelessness Demonstration Program, supported by the Biden-Harris administration.
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