The First 60 Days

As we head into the middle of March and spring is emerging (at least it is here in D.C.), it seems like a good time to pause, take a breath, and figure out where things stand now in our field and with critical funding streams, as well as to begin to chart a path forward.

The federal environment since January 20 has been highly uncertain, and changes that have real impacts on our work to end homelessness have been happening at a rapid pace. This includes everything from Executive Orders, to the withdrawal of HUD Technical Assistance, to reductions in the federal budget.

Any one of these sweeping changes would be challenging to navigate on its own. But taken together, they are requiring us to be even more clear-eyed about our values, stand together, fight back where we can, and find new ways to do business.

The State of Play

While there are many changes and actions that have taken place in the new administration and Congress that directly or indirectly impact our work, I want to focus on the most important recent changes impacting local and national planning efforts. For each item, advocates, federal funding recipients and local leaders can take action to help mitigate harm and plan for the future.

Continuum of Care Program Funding Interruptions and Cuts

As most of you are aware, FY2024 CoC Program grant agreements — which started to be released to funding recipients last week — were abruptly pulled back at the end of the week by the U.S. Department of Housing and Urban Development (HUD). It could take anywhere from a few days to a few weeks to restart the process of executing grant agreements for FY2024 grantees.

In addition to delayed 2024 funding, Congress last Friday passed a continuing resolution for the remainder of FY2025 that will effectively cut CoC Program funding for fiscal year 2025 by failing to meet the renewal demand. Compounding this blow are the threats to other federal programs such as Medicaid.

WHAT YOU CAN DO:

• Continue to contact your Congressional delegation. Members of Congress need to know the local impact of these delays and cuts, especially those on key committees (like Appropriations, which determines funding) and/or Republican members who may have influence with the administration. To help make your case, engage landlords who will be impacted by cuts to rental assistance and local business leaders who want to address unsheltered homelessness.

• Begin Contingency Planning for CoC Funding Interruptions. CoCs should plan to identify other sources of funding, locate opportunities to leverage other partners, and determine the best path forward in the event of funding interruptions, starting with an impact analysis and needs assessment. The Alliance plans to issue guidance on factors to consider when making these decisions.

• Advocate for the FY2026 Budget Starting Now.  Sign up for the Alliance’s Advocacy Alert list and commit to making advocacy a part of your day-to-day work. It is our collective responsibility to use our voices to try to influence decision-making at all levels of government.

Harmful Policy Approaches

This administration has made clear its intentions to pursue policy actions that only serve to worsen homelessness, deepen disparities, and threaten the civil rights of people experiencing homelessness.

The Alliance recognizes that leaders and their boards across the country are discussing risk mitigation and harm reduction as it relates to recent Executive Orders. This is especially true following the new language that was included in the grant agreements for FY2024 that were sent out last week (and were subsequently rescinded).

WHAT YOU CAN DO:

• Seek Legal Guidance. Due to the vague language in recent grant agreements, it is critical that CoCs are clear on their legal obligations and rights. The Alliance urges CoCs and organizations that receive CoC funding to engage legal counsel to provide you with proper guidance. If you do not have access to legal counsel, consider reaching out your local American Civil Liberties Union (ACLU) chapter or local legal aid organizations, who may be able to provide assistance.

HUD Technical Assistance

In February, the Administration abruptly terminated contracts for HUD Technical Assistance (TA), citing the promotion of diversity, equity, and inclusion as the reason. These contracts funded efforts to engage directly with community partners and organizations to equip them with knowledge, skills, tools, and capacity to implement HUD’s programs and policies as efficiently as possible.

Canceling Technical Assistance contracts will have adverse impacts on efforts to end homelessness in communities across the country, with a disproportionate impact on smaller CoCs and Balance of State CoCs whose only resource for capacity building support has come in the form of HUD TA.

WHAT YOU CAN DO

• If your community lost critical Technical Assistance contracts, report the loss to your Congressional delegation. Members of Congress need to know the local impact of this type of administrative action.

• Identify critical needs and contact local philanthropy to help fill gaps. Although philanthropy cannot fully fill the gap left by federal funding cuts, they may be able to provide some relief for non-profit and government partners hard hit by these abrupt changes. Funders Together to End Homelessness lists their local partners here.

Other Important News and Changes

United States Interagency Council on Homelessness (USICH)

On Friday, the White House issued a new Executive Order that seeks to “reduce the scope of Federal Bureaucracy” which the President has determined to be “unnecessary.” Included on the list of agencies directed to eliminate all non-statutory functions is the U.S. Interagency Council on Homelessness (USICH).

Since its inception, USICH has played a key role in coordinating the federal response to homelessness, reducing federal bureaucracy across agencies, and maximizing the effectiveness of the federal government. In the possible absence of a federal USICH, consider advocating for a state or local Interagency Council on Homelessness (for example, District of Columbia, Connecticut) in your area to ensure local coordination and collaboration.

HUD Workforce

Recent media reports indicate that there may be significant layoffs at HUD, with potentially up to half of its workforce at risk. Further, there have been reports of planned closures of as many as 34 field offices across the country. If carried out at the scale reported, proposed reductions will have a major impact on our work and significantly delay activities that help communities and providers across the country through the normal course of business — things like supporting community grantees, ensuring funding is well spent, and answering technical questions.

Standing Together 

The Alliance is committed to keeping you informed, offering guidance and solutions, and doing all we can to push back against the harmful actions taken by the administration and Congress.

The Alliance team is also working on identifying ways to create opportunities to convene CoCs, homeless services organizations, advocates, and other stakeholders to learn from and with each other and to strategize.

We must all be in this together. It is a long game, and we have many more innings to go.

Thank you for your tireless work, commitment, and advocacy.