North Dakota lawmakers hear plans to coordinate homelessness response as HUD funding rules shift
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Summary
State housing and homelessness officials told the Human Services Interim Committee that a reconstituted interagency council and newly funded state grants aim to align services, but recent HUD funding rules that cap top-tier awards and permanent housing funding could force major cuts to local projects.
North Dakota housing and homeless‑service leaders told the Human Services Interim Committee that the state is trying to knit together programs and funding to prevent and reduce homelessness — even as changes at the federal level threaten existing projects.
Jennifer Henderson, director of community housing and grants management at the North Dakota Housing Finance Agency, said Governor Armstrong’s executive order (EO 2508) re‑energized an interagency council intended to connect state agencies, local governments and nonprofit providers. Henderson highlighted past council accomplishments — the housing incentive fund and the North Dakota homeless grant — and urged the committee to support state funding that can be more flexible than federal grants.
Chanel Shonelle Wheeler, the state Continuum of Care coordinator, warned the committee that a new HUD notice caps the share of funds eligible for Tier 1 awards and places a 30% cap on combined permanent housing components. “What they’ve done this year with the notice is that they have capped Tier 1 at 30%,” Wheeler said, explaining the change could shift many projects into a less‑guaranteed tier and require difficult reallocation decisions.
State and local presenters urged continued state investments that help communities leverage federal funding and maintain emergency shelter and prevention capacity. The committee asked for more data on how awards have been distributed over recent years and how the state evaluates performance and equity across regions.
The committee voted to request that Legislative Management permit a modest expansion of an education services study to include vision services as well as hearing services; that separate motion passed by roll call.