Final HUD Spending Bill for FY26 Still Under Negotiations – Take Action Today to Protect Vital Housing Resources

By Kim Johnson, NLIHC Senior Director of Policy   

Congressional appropriators are still working to reach a final agreement on a fiscal year (FY) 2026 Transportation, Housing and Urban Development (THUD) spending bill, which funds HUD’s vital affordable housing, homelessness, and community development programs. The THUD bill is reportedly being considered as part of a three-bill spending package, called a “minibus,” that lawmakers would need to vote on before January 30, when current federal funding expires. The “minibus” is most likely to be released in early January.

The THUD bill is the best opportunity advocates will have this year to protect federal investments in rental assistance and homelessness services. 

Take Action!  

Congress must provide in any final FY26 THUD bill sufficient funding to renew all existing Housing Choice Vouchers (HCVs) and Emergency Housing Vouchers (EHVs). Without sufficient funding, vouchers will be lost through attrition – when a household no longer needs their voucher, the voucher cannot be reissued to a new family because it is no longer attached to funding. When renewal funding is insufficient enough – or when funding is cut – households that rely on a voucher to keep a roof over their heads actively lose their rental assistance, putting them at risk for housing instability, eviction, and in worst cases, homelessness. 

At current funding levels, over 2.4 million households receive rental assistance, accounting for just one in four households who qualify. Under the House’s FY26 spending bill, an estimated 181,900 fewer households would be served; in the Senate, 107,800 fewer households would receive rental assistance. 

Use NLIHC’s toolkits and resources to take action on FY26 funding. Our resources include talking points, advocacy materials, engagement ideas, and more resources for advocates to weigh in with their members of Congress on the importance of these vital resources. 

• Use NLIHC’s advocacy toolkit, “Opposing Cuts to Federal Investments in Affordable Housing,” to call on Congress to protect and expand affordable housing and homelessness resources, including NLIHC’s priorities:   

  • Full funding to renew all existing tenant-based voucher contracts, to ensure the people and families who rely on an HCV or EHV to keep a roof over their heads do not lose their assistance. Check out the “EHV Funding Cliff Mobilization Toolkit” for more information, including talking points and resources.  

  • $4.922 billion for HUD’s Homeless Assistance Grants (HAG) program. 

  • $5.7 billion for public housing operations, and at least $5 billion to address public housing capital needs.   

  • $15 million for the Eviction Protection Grant Program (EPGP), as provided in the Senate’s spending bill.  

  • At least $1.3 billion for HUD’s Indian Housing Block Grant (IHBG) program and $150 million for IHBG-Competitive funds, targeted to Tribes with the greatest needs.   

• Email or call members’ offices to tell them about the importance of affordable housing, homelessness, and community development resources to you, your family, your community, or your work. You can use NLIHC’s Take Action page to look up your member offices or call/send an email directly!  

• Share stories of those directly impacted by homelessness and housing instability. Storytelling adds emotional weight to your message and can help lawmakers see how their policy decisions impact actual people. Learn about how to tell compelling stories with this resource.   

National, state, local, Tribal, and territorial organizations can also join over 2,800 organizations on CHCDF’s national letter calling on Congress to support the highest level of funding possible for affordable housing, homelessness, and community development resources in FY26.    

Visit NLIHC’s Advocacy Hub for more information and resources that can help you take action and help protect the affordable housing programs people rely on.