National Alliance to End Homelessness Statement on the Federal Government’s Retreat from Evidence-Based Homelessness Response

March 18, 2025, Washington, D.C. — Late last week, the Trump Administration issued an Executive Order to largely gut the United States Interagency Council on Homelessness’ (USICH) capacity to achieve its mission. The move extends a series of actions that demonstrate this administration’s retreat from its responsibilities for preventing and ending homelessness throughout the nation.

“The federal government’s role in this mission cannot be overstated. Our nation can and has reduced homelessness in the past, and can do it again if the federal government is fully committed to meeting this moment,” said Ann Oliva, CEO of the National Alliance to End Homelessness. “The government should set the nation’s strategy based on research and evidence, secure resources to implement it, and support communities in their lifesaving work to get people off the streets. Unfortunately, recent federal actions signal an abandonment of this role, leaving communities all over the country — in states red and blue — without the resources, assistance, or leadership to address one of America’s most serious challenges.” 

Harmful policy shifts from the current administration include: 

Interruptions to Federal Homelessness Grant Programs

Continuums of Care, the organizing bodies that set homelessness strategy on the local level, are dependent upon federal government grants that fund critical homeless services ranging from street outreach to case management to housing connection.

This year, providers nationwide have anxiously awaited the weeks-overdue release of these grants, often facing the risk of suspending operations without them. When grant agreements were delivered last week, grantees were surprised to learn that they contained vague and unfamiliar provisions oriented towards the administration’s broadest policy priorities, rather than the work to end homelessness itself. 

As grantees worked to make sense of these new provisions, the grant agreements were inexplicably rescinded. Grantees were told that new versions would be sent out at a later date, sowing only more confusion and uncertainty.  

Calls to Strip USICH 

Since its inception, USICH has played a key role in coordinating the federal response to homelessness by reducing bureaucracy across agencies and maximizing the effectiveness of the federal government.  

Although a smaller federal agency, USICH has made significant contributions to prevent and end homelessness, most notably by driving unprecedented reductions in homelessness between 2010-2016 and propelling effective use of COVID-era resources in states and localities across the country. Its absence will be a loss to communities responding to homelessness at a time when they need strong leadership the most. 

Reduced Federal Investments 

Because Congress was unable to pass a federal budget for Fiscal Year 2025, homeless systems must work within a year-long continuing resolution. Although the topline numbers remain flat for the U.S. Department of Housing and Urban Development (HUD)’s Homeless Assistance Grants, with the dramatically rising cost of housing and services, the FY25 budget will functionally serve as a cut to these programs.  

Compounding these are the threats to other federal programs, such as Medicaid, whose funds can be used for certain housing costs in addition to providing healthcare. At a time when the homelessness and housing affordability crises are only growing, these budget cuts will leave even more people without the housing, shelter, and services they need. 

Cuts to HUD’s Workforce 

Widespread reports indicate that HUD may face sweeping layoffs, with potentially up to half of its workforce at risk and as many as 34 field offices facing closures across the country. If carried out at the scale reported, staffing cuts will significantly delay activities that help communities and providers across the country through the normal course of business, like supporting community grantees, ensuring funding is well spent, and answering technical questions.    

Termination of HUD Technical Assistance 

In February, the administration abruptly terminated contracts for HUD Technical Assistance (TA), citing the promotion of diversity, equity, and inclusion by contractors as their justification. These contracts funded efforts to directly equip organizations on the ground with the knowledge, skills, tools, and capacity to implement HUD’s programs. This action will have a disproportionate impact on smaller and more rural communities, whose only resource for capacity building support has come in the form of HUD TA.  

Harmful Policy Approaches 

This administration has issued numerous Executive Orders advancing policies that would only serve to worsen homelessness, deepen disparities, and threaten the civil rights of people experiencing homelessness. These efforts senselessly distract service providers and hamper their ability to do their jobs to their fullest impact, leaving vulnerable populations at even greater risk. 

“The work to end homelessness is not partisan,” said Oliva. “In fact, the nation has made its greatest progress on homelessness when both parties have worked together. The Alliance calls on the Trump Administration to recognize its critical responsibility to support providers on the front lines, so that our communities can be as safe, strong, and stable as they can be.” 

---

About the National Alliance to End Homelessness

The National Alliance to End Homelessness is a nonprofit, nonpartisan organization committed to preventing and ending homelessness in the United States. As a leading voice on the issue of homelessness, the Alliance analyzes policy and develops pragmatic, cost-effective solutions; works collaboratively with the public, private, and nonprofit sectors to build state and local capacity; and provides data and research to policymakers and elected officials in order to inform policy debates and educate the public and opinion leaders nationwide.