HUD Allocates More Than $3.5 Billion to Support Homeless Individuals

Marsha Jacobs
Published Mar 5, 2025


The U.S. Department of Housing and Urban Development (HUD) unveiled plans today to distribute over $3.5 billion in competitive grants nationwide. These funds are earmarked for organizations that provide services and housing to the homeless, marking a historic financial commitment under the Continuum of Care program

According to HUD Acting Secretary Adrianne Todman, this move underscores the Biden-Harris Administration's dedication to addressing the homelessness crisis with the urgency it deserves. Todman emphasized, “Nobody should have to live in their car or on the streets. These funds will provide shelter to Americans when they need our help the most.”

The grants will be allocated through HUD's Continuum of Care Program, a major federal source of funding for homeless services and housing initiatives. 

Nearly 400 community programs apply annually, with HUD supporting around 7,000 homeless service projects each year. These projects are managed by a mix of nonprofit organizations, state and local governments, Indian Tribes, and Tribally Designated Housing Entities.

For the first time, HUD has issued a two-year funding notice for the Continuum of Care Program as approved by the Consolidated Appropriations Act, 2024. 

This approach requires communities to submit just one application for the 2024 and 2025 fiscal years, significantly reducing the paperwork and administrative workload on applicants.

In addition, HUD is introducing a new cost-of-living adjustment to help program budgets better match rising costs. This adjustment aims to increase pay for staff and enhance support for homeless assistance providers, ultimately improving services for the homeless population. 

This year’s initiative takes provider feedback into account, aiming to elevate staff support and minimize administrative tasks. This shift allows providers to concentrate more on their primary mission of assisting homeless individuals, rather than on federal grant paperwork.

The funding opportunity will continue to support the renewal of existing initiatives, encourage the application for new projects, and allow the reallocation of resources from lower-performing projects to more effective ones.

Specific portions of the funding have been designated for survivors of domestic violence, dating violence, sexual assault, stalking, youth, and individuals facing homelessness in rural areas. At least $52 million is set aside for rapid re-housing, supportive services, and other essential activities to aid survivors of violence. 

Additionally, about $188 million will fund the competitive and non-competitive renewal and replacement of expiring Youth Homelessness Demonstration Program grants.

This funding announcement is part of HUD’s broader efforts, including recent allocations for permanent supportive housing and initiatives to enhance services for young adults and youth experiencing homelessness.

Since the Biden-Harris Administration's inception, addressing homelessness with urgency has been a priority, highlighting the importance of rapid housing connections, resource allocation, and the development of affordable housing options. 

HUD's focus also includes promoting racial equity, anti-discrimination efforts for LGBTQ+ persons, engaging with individuals who have experienced homelessness, and expanding affordable housing availability.

The deadline for submitting Continuum of Care consolidated and project applications is set for October 30, 2024, by 8:00 PM EDT.

For more information about HUD and its initiatives, visit www.hud.gov and the Spanish language site https://espanol.hud.gov. Stay updated by following HUD on Twitter and Facebook, or sign up for email alerts.

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