Please see this important and positive update from the National Low Income Housing Coalition:
Thanks to the hard work of advocates and affordable housing champions in Congress, key rental and homelessness assistance programs received funding increases or level funding in the final bill, including:
- $34.9 billion to renew Tenant-Based Rental Assistance (TBRA) contracts, plus additional funding and administrative flexibilities to help transition Emergency Housing Voucher (EHV) holders to other rental assistance programs.
- $4.4 billion for HUD’s Homeless Assistance Grants (HAG) program.
- $1.1 billion for the Indian Housing Block Grant (IHBG) program.
- $7.5 million for the Eviction Protection Grant Program (EPGP).
Read NLIHC’s full analysis of the FY26 THUD spending bill here, and view NLIHC’s updated FY26 budget chart for key HUD programs here.
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The Corporation of Supportive Housing offers this additional update regarding the specific protection for our Continuums of Care and the Permanent Supportive Housing they fund:
The bill also includes important policy updates to the CoC program. It directs HUD to renew all contracts expiring in the first quarter of 2026 for a 12-month period. Contracts expiring later in the year are dependent on HUD’s actions surrounding the 2025 NOFO that is currently in litigation. If the litigation continues or the FY25 NOFO is not issued and awards made, additional renewals will be triggered automatically for the second-quarter on April 1 and the remainder of the year on July 1. These renewals must match the prior award amount and include adjustments for cost of living and fair market rent increases, ensuring programs can maintain operations.
The bill also introduces a new requirement for the FY26 CoC NOFO directing HUD to fund at least 60 percent of each CoC’s Annual Renewal Demand. CSH is closely reviewing this provision and assessing what it may mean for communities, program stability, and future planning. We will share more analysis as soon as we have clearer insights into how HUD may apply this requirement.
Next Steps: the House is expected to pass the THUD bill along with remaining FY26 spending bills this week. The Senate will consider them next week, ahead of the January 30 expiration date for the continuing resolution (CR) currently funding HUD and other federal programs. Without a final spending agreement enacted by January 30, Congress will need to pass another CR, or risk a government shutdown.
