Arlington says housing grants and eviction prevention demand is outpacing current funding; proposes policy changes and AHIP loan funding

Arlington County Department of Human Services and Community Planning, Housing & Development staff told the County Board that demand for housing grants, eviction prevention and shelter services has risen sharply and that the county faces difficult funding tradeoffs in FY26.

Anita Friedman (DHS) said the Housing Grants program has grown about 45% since 2020 and that the county projects serving roughly 1,783 households in FY26. Staff said the program helps households whose incomes are far below local typical committed affordable unit thresholds; DHS reported the average working family on housing grants has an annual income of approximately $38,000 and that many households pay around 40% of their income toward rent.

Friedman told the board the county would need about $2.4 million in additional funds to maintain the housing grants program at current service levels in FY26. She described options for the program’s future including maintaining funding at current levels and implementing a waitlist managed by a proposed housing navigator. The department also reported that another new category — foster care and transition‑age youth — had produced modest demand so far.

On eviction prevention, DHS said the program’s outlays peaked during pandemic response but remain high: staff noted totals in the millions in recent years. To constrain costs, staff proposed restricting eviction prevention to households that have been in their lease at least six months; DHS said data showed 44% of recent recipients had been in their lease less than six months, and staff estimated that imposing the six‑month requirement would save about $1.1 million in FY26. Friedman said the proposal was part of the County Manager’s recommendations for the FY26 budget.

Housing Choice Voucher (HCV) program staff reported that HCV funding is roughly $26.8 million and serves approximately 1,714 households. Staff said 88% of voucher holders reside in committed affordable units (CAFs) and that project‑based vouchers were added for Culpeper Gardens earlier in the year.

Anne Venezia, the county’s housing director, presented AHIP/AHEF loan program details. She described the county’s loan model (low‑interest, mission‑driven loans to developers) and said the County Board has allocated about $600 million across 25 loans since 1988; loan repayments and developer contributions have historically funded a large share of the program budget. For FY26 the manager proposed $14.4 million for AHIP (including $9.7 million ongoing, $2 million one‑time, $2 million from the Columbia Pike TIF and $700,000 in federal HOME funds) and an additional $5 million principal paydown on the Barcroft acquisition line of credit — a combined ask of $19.4 million. Venezia said the AHIP program leverages roughly $4.70 in outside funds for every county dollar invested on average, and that local general fund dollars historically lever about $14 in outside financing.

On homelessness, DHS cited a point‑in‑time snapshot showing a 14% overall increase from the prior year and a rising share of veterans and chronic homelessness. Staff also flagged an increase in older adults experiencing homelessness and described a county interest in creating senior‑focused transitional shelter or medical respite space to serve older residents with complex health needs.

Why it matters: staff told the board that housing affordability gaps and shelter capacity strains are intensifying and that programmatic choices — strict eligibility, waitlists, or increased local funding — carry distinct policy tradeoffs. The housing and homelessness portfolio spans local investments, HUD and state funding, vouchers, and supportive services coordination.

Ending: Staff requested board direction on tradeoffs, including whether to adopt proposed eviction prevention eligibility changes, whether to fund the announced AHIP/AHEF request and how to prioritize housing grants vs other local needs.