Judge Blocks
Funding Cuts

Quick Overview: HUD released a NOFO with devastating changes to the CoC program grants with an incredibly tight turnaround time. Solution: HUD should fund all CoC programs at the same level for another 12 months, as initially outlined in the FY2024 NOFO. HUD can do this voluntarily, or Congress can legislate in the THUD bill.

I. BACKGROUND

The Milwaukee Coalition on Housing and Homelessness (MCHH) serves as the collaborative applicant and lead agency for $16,288,585 in Continuum of Care (CoC) grant funds from the U.S. Department of Housing and Urban Development (HUD). In 2024, HUD issued a two-year CoC funding notice for FY2024–2025 but in July 2025 announced a new FY2025 competition with major departures from prior NOFOs.

This abrupt shift disrupts local planning and conflicts with the McKinney-Vento Act’s emphasis on stable renewal funding for permanent housing (PH) projects, which currently account for 87% of CoC resources. HUD has also proposed capping funding for permanent supportive housing—the core of the nation’s largest homelessness-response program—further constraining communities’ ability to sustain proven interventions.

Call to Action:

We believe this can best be achieved by partnering with service providers, local government, and advocacy groups to contact senators and members of Congress and ask them to amend the Transportation, Housing, and Urban Development (THUD) bill to continue funding CoC programs.

FOR IMMEDIATE RELEASE: November 21, 2025
Contact: timothy.ross@wisconsin.gov

Lieutenant Governor Denounces HUD Policy Changes That Will Kick Thousands of Wisconsinites Out of Stable Housing

MADISON, WI - Today, Lieutenant Governor Sara Rodriguez, Chair of the Wisconsin Interagency Council on Homelessness, sharply criticized newly announced changes at the U.S. Department of Housing and Urban Development (HUD) that roll back federal support for Housing First, a model widely regarded as the most effective, evidence-based strategy for reducing homelessness.

"The evidence is clear: Housing First saves lives, saves money, and stabilizes communities," said Lieutenant Governor Sara Rodriguez. "Weakening federal commitments to this model will put thousands of Wisconsinites at risk. In January, 2,223 households are immediately put in jeopardy of losing their housing and becoming homeless again. These changes ignore decades of research proving that people cannot address mental health, substance use, or employment needs without first having a safe, stable place to live."