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Officials warn HUD Continuum of Care changes could threaten 300 supportive-housing units in Columbia
Summary
City staff said HUD’s proposed Continuum of Care funding changes sparked court challenges and that a recent ruling reinstated FY2025 allocations; staff warned that an administration shift away from permanent supportive housing could jeopardize about 300 supportive units and recommended exploring options including creating a separate local CoC.
City staff told officials that changes proposed by the U.S. Department of Housing and Urban Development (HUD) to the Continuum of Care (CoC) funding notice have produced litigation and could materially affect local supportive housing.
The presenter said HUD issued a new funding notice proposing revised criteria for FY2025 and that several states and stakeholders sued. A court ordered HUD to restore FY2025 allocations; however, staff said the administration still intends to pursue changes for FY2026 that could shift funding away from permanent supportive housing. Staff warned that the proposed changes could affect roughly 300 permanent supportive housing units in the local CoC if implemented.
A council member asked whether the city might split its existing CoC (which covers 13 counties and is geographically large). Staff said creating a smaller, local CoC is an option and that it could be a way to pursue funds that would otherwise not be available under proposed federal criteria.
Why it matters: permanent supportive housing provides wraparound services and stable housing to people experiencing chronic homelessness; staff said changes to HUD criteria could disrupt those programs and the residents they serve.
What’s next: staff recommended that the city follow court developments, engage intergovernmental contacts in the White House and HUD, and explore whether forming a separate CoC or pursuing other funding mechanisms would protect local supportive housing capacity.
