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McHenry County providers warn HUD rule change could slash local permanent supportive housing
Summary
At a Dec. 3 McHenry County Public Health & Community Services meeting, shelter operators and county staff warned a recent HUD NOFO shifts funding from permanent supportive housing toward transitional programs and new enforcement requirements — potentially cutting local awards and increasing homelessness.
McHenry County providers and staff told the county’s Public Health & Community Services Committee on Dec. 3 that a newly released U.S. Department of Housing and Urban Development (HUD) Notice of Funding Opportunity (NOFO) could sharply reduce the county’s awards for permanent supportive housing and force rapid programmatic changes.
"Last year almost 90% of the funding went to permanent supportive housing, and they're changing that now to 30%," Kelly Wagner, director of finance at Pioneer Center, told the committee, adding that the change ‘will drastically reduce the amount of permanent supportive housing here in the county.’ Wagner said the new rules also require evidence of anti-camping laws and other changes that local jurisdictions would struggle to adopt on the short timeline HUD set.
Why it matters: County staff and service providers said the combination of a much smaller share of protected, “Tier 1” funding and new…
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