Nashua aldermen told HUD changes leave CoC only 60% guaranteed of renewal funds, imperiling permanent housing slots

Wendy LeBlanc, director of HIV services at Harbor Care and chair of the Greater Nashua Continuum of Care (CoC), told the Nashua Board of Aldermen’s Human Affairs Committee on June 15 that the U.S. Department of Housing and Urban Development’s new funding notice changes the local grant landscape: the CoC is now guaranteed only 60% of renewal funding, with the remaining 40% subject to competition.

That shift, LeBlanc said, could force local providers to reclassify permanent supportive housing into transitional programs or risk losing housing slots. “This year, we are only guaranteed 60% of our renewal funds,” LeBlanc said. She added that 40% of competitive money is “likely not to fund permanent housing programs,” creating a difficult choice for local agencies that currently operate long‑term supportive housing.

The change follows a national NOFO that HUD released earlier this year and that LeBlanc said emphasizes short‑term transitional housing, increased supportive‑service participation and new scoring priorities. She told the committee HUD has signaled reduced support for Housing First models and tightened disability definitions so that people with active substance use disorder are no longer automatically considered disabled unless they are in recovery and abstinent. “Do you think that’s realistic?” LeBlanc asked rhetorically. “I do not.”

LeBlanc gave several concrete local figures: Greater Nashua’s CoC brings in almost $3,000,000 annually in HUD funding; HUD requires many CoC grant awards to match 25–30 percent of the grant amount; the CoC’s renewal demand exceeds $3,000,000 but only 60% of that is guaranteed under the new NOFO; and the annual Point‑in‑Time count found 29 chronically homeless unsheltered people in Nashua.

Committee members pressed on operational and timeline questions. Alderman Morgan asked whether Harbor Care would remain the collaborative applicant; LeBlanc said Harbor Care holds the role now because of experience and administrative capacity, and a change would be unlikely unless the applicant failed to perform. LeBlanc said Harbor Care employs three full‑time grant writers and that the CoC uses a planning grant (about $100,000) to support a staff position and consultants who prepare the application.

LeBlanc also described a recent strategic planning process supported by a Nashua Rotary grant that created a dual‑track approach: preserve federal funding compliance while making room for locally developed innovations. She said HUD’s scoring rubric rewards specific executive‑committee membership (locally elected officials, police, business and workforce representatives) and that the CoC is working to ensure those disciplines are represented to maximize application points.

Aldermen and committee members raised concerns about data quality in the Homeless Management Information System (HMIS), public access to subcommittee meetings and whether a proposed city resource center would help people navigate services. Several aldermen urged the full Board of Aldermen be briefed on the funding changes and application strategy before the CoC submits its application.

The application timeline LeBlanc cited: HUD released the NOFO June 1, the local CoC application is due Aug. 26, and HUD notification of awards is expected by Dec. 1. LeBlanc recommended aldermen attend CoC meetings or request a special full‑board briefing once HUD issues the formal application to discuss local strategy.

Votes at a glance: The committee moved and approved adjournment at the end of the session; no formal policy votes or ordinance actions were taken.

Next steps: The CoC will finalize its application ahead of the Aug. 26 deadline; committee members expressed interest in a full board briefing once the application details are released.