House Adjourns for August Recess After Sending Continuing Resolution Funding Federal Programs Through December 4 to Senate

By Kim Johnson, NLIHC Senior Policy Director   

On July 23, the House of Representatives passed a continuing resolution (CR) to extend federal program funding through December 4, with a vote of 220-205. The Senate is expected to revise the bill to include “anomalies,” which provide additional short-term funding for specific programs. The Senate will likely pass its version before the August recess, after which the House will consider the Senate-passed extension upon returning in September. 

A CR temporarily extends federal program funding at current levels, allowing lawmakers additional time to negotiate and pass final spending bills for the next fiscal year. All 12 appropriations bills, including the Transportation, Housing and Urban Development (THUD) bill that funds HUD programs, are expected to be finalized by October 1, the start of the new fiscal year. Without a final bill or CR, the federal government shuts down, and operations are significantly reduced until funding is restored. 

Needed Housing Anomalies for a CR  

To ensure vital rental and homelessness assistance continue reaching the people who rely on it, NLIHC urges the Senate to include the following provisions in a CR:  

1. Limit harm to people served by homelessness programs by including language to noncompetitively renew FY2026 Continuum of Care (CoC) funding if HUD does not lawfully award funds by December 1, 2026. HUD’s most recent Notice of Funding Opportunity (NOFO) for the FY26 CoC program would result in an estimated 97,000 people who had previously been experiencing homelessness losing the assistance they rely on for a stable home, putting them at risk of being pushed back into homelessness. The requested language would limit funding gaps and service disruptions.  

2. Prevent over 44,000 households from losing assistance by including language explicitly directing HUD to issue Tenant Protection Vouchers (TPVs) for all households with Emergency Housing Vouchers (EHVs) by the end of the calendar year. The EHV program, created in the American Rescue Plan Act, funded new vouchers targeted to people experiencing or at risk of homelessness, as well as survivors of domestic violence, dating violence, sexual assault, stalking, or human trafficking. More than 44,000 households still rely on an EHV to afford the cost of rent, but the program is expected to run out of funding by the end of 2026. While we believe Congress provided a long-term solution in the final FY26 THUD bill, it appears HUD will implement the language in a way that only delays the funding cliff by a few months; the requested language would ensure HUD issues guidance that provides EHV households with longer-term assistance.  

3. Prevent funding shortfalls for housing vouchers by providing additional resources. The White House’s list of anomalies includes a request for additional funding authority to allow Public Housing Authorities (PHAs) to “use unobligated carryover funding for the purpose of addressing funding shortfalls and maintaining current services.” Giving PHAs the ability to move resources away from one account to cover another could fail to actually solve the problem – for example, this language would allow PHAs to use TPV funding to help cover shortfalls instead of using that funding to continue serving EHV holders, which would still leave EHV holders without assistance before the end of the year. PHAs should not have to cover shortfalls in one program at the expense of another, when Congress could include additional funding to ensure all programs are adequately covered. 

Tell Congress to Expand – Not Cut – Federal Investments in Affordable Housing and Homelessness Assistance Programs!  

At a time when a record number of renters are housing cost burdened and families around the country are struggling to afford necessities like housing, food, and medical care, Congress should be working to expand – not cut – funding for programs that help people make ends meet.  

Advocates can use NLIHC’s toolkits and resources to take action on the FY27 spending bill, and urge federal lawmakers to increase investments in HUD programs, including NLIHC’s top priorities:   

• Providing at least $45.6 billion for Tenant-Based Rental Assistance (TBRA) programs, which would be enough to ensure all current TBRA contracts are renewed, and that the more than 40,000 households still served by an Emergency Housing Voucher (EHV) continue to receive rental assistance.  

• Investing at least $5.1 billion in HUD’s Homeless Assistance Grants (HAG) program and including language in the final FY27 spending bill protecting funding for Continuum of Care (CoC) programs so they are not destabilized by potential changes from the administration.  

• Fully funding the Public Housing Operating Fund at the full, formula-determined need, plus $598 million to address the cumulative shortfall in Public Housing operations reported in FY25, and providing increased funding for the Public Housing Capital Fund to begin addressing the capital needs backlog in Public Housing.  

• Investing in accessible, affordable homes for older adults and people with disabilities by fully renewing all existing Project-Based Rental Assistance (PBRA) contracts and Project Rental Assistance Contracts (PRACs) and expanding funding for the Section 202 Housing for the Elderly and Section 811 Housing for Persons with Disabilities programs. 

• Providing at least $15 million for HUD’s Eviction Protection Grant Program (EPGP), which communities grant to establish rights to counsel and other programs that help people avoid eviction and remain housed.    

• At least maintaining funding of $1.1 billion for the Indian Housing Block Grant (IHBG) program and increasing funding for the IHBG-Competitive program to $150 million, targeted to tribal communities with the most urgent housing needs.  

• Establishing guardrails to ensure the administration releases appropriate funding to communities and does not withhold, redirect, limit, or otherwise rescind congressionally approved funding.    

Advocates can take action today by:  

• Emailing or calling 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!     

• Sharing 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.      

• Organizations can also join CHCDF’s sign-on letter calling for the highest possible funding for HUD and USDA affordable housing, homelessness, and community development programs in any final FY27 spending bills. Read the letter and sign your organization on here.  

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.