Earlier this week, Congress released the fiscal year (FY) 2026 HUD appropriations bill after several months of negotiations. The final agreement provides $77.3 billion for HUD in FY 2026, representing an increase over the yearlong continuing resolution that passed for FY25.
Key Provisions
The bill maintains stable funding across most accounts and includes targeted increases to help programs keep pace with rising rents and operating costs.
Tenant-based Rental Assistance: $38.439 billion, including $34.96 billion for contract renewals, $15 million for Veteran’s Supportive Housing vouchers, and $30 million for Family Unification Program vouchers, with most of the latter set aside for youth exiting foster care.
Emergency Housing Vouchers: While Congress did not provide new funding specifically for Emergency Housing Vouchers (EHVs), the bill increases Tenant Protection Vouchers by $264 million, for a total of $600 million, and allows public housing authorities to transition EHV holders to TPVs and other vouchers to ensure continued assistance.
Project-based Rental Assistance: $18.043 billion, including $1.031 billion for housing for older adults and $287 million for housing for people with disabilities.
Homeless Assistance Grants: $4.417 billion, including $290 million for Emergency Solutions Grants, $107 million for Youth Homeless Demonstration Programs, and $4.010 billion for the Continuum of Care (CoC)—which incorporates $43 million for cost‑of‑living adjustments and $52 million for new rapid re‑housing projects and supportive services for survivors of domestic violence.
Housing and Community Development: $3.3 billion for Community Development Block Grants and $1.250 billion for the HOME Investment Partnerships Program, supporting local efforts to expand affordable housing and strengthen community infrastructure.
Additional Funding
The House has already approved $324 million for the Community Development Financial Institutions (CDFI) Fund as part of the Financial Services appropriations bill. That funding will advance into the final package sent to the Senate. Congress also approved $5 million for supportive housing through the Second Chance Act Pay for Success Fund at the Department of Justice.
What’s Next
The House is expected to bring the FY26 HUD bill to the floor this week as part of a four‑bill minibus. The Senate returns from recess next week and is expected to vote shortly thereafter. As always, CSH will continue to monitor the process closely and provide timely updates as Congress advances its work.
