HUD pulls funds from Twin Cities housing projects
The U.S. Department of Housing and Urban Development has canceled or sharply cut CoC funding for Twin Cities supportive housing after issuing new rules that could shrink permanent supportive housing renewals from roughly 90% to about 30%, putting roughly $48 million in Minnesota funding and more than 3,600 residents at risk. The rules impose eligibility conditions — including local bans on public camping, drug use and squatting; cooperation with ICE; standards for involuntary commitment; and bars on applicants who "deny the sex binary" or distribute harm‑reduction supplies — prompting a coalition of 185 Minnesota organizations to warn funding could fall by more than 85% and potentially double chronic homelessness, and leaving Minnesota possibly ineligible under provisions tied to trans refuge policies and non‑enforcement of federal immigration law.
📌 Key Facts
- HUD issued new rules that would cut permanent supportive housing funding by more than half and reduce expected renewal retention from roughly 90% to about 30%.
- Minnesota received about $48 million in Continuum of Care (CoC) funding last year and more than 3,600 people live in supportive housing that could be affected by the rule changes.
- Proposed eligibility conditions would require local/state bans on public camping, drug use and squatting; cooperation with ICE; certain standards for involuntary commitment; and would bar applicants who "deny the sex binary" or who distribute harm-reduction supplies.
- A coalition of 185 Minnesota organizations warns the changes could cut permanent-housing funding by over 85% and potentially double chronic homelessness in the state.
- Several specific provisions—including protections for trans refuges and local non-enforcement of federal immigration law—could make Minnesota jurisdictions ineligible for HUD funding.
📰 Sources (2)
- HUD issued new rules that would cut permanent supportive housing funding by more than half and drop expected renewal retention from roughly 90% to 30%.
- Minnesota received about $48 million in CoC funding last year and has more than 3,600 residents in supportive housing that could be affected.
- Eligibility conditions include local/state bans on public camping, drug use and squatting; cooperation with ICE; standards for involuntary commitment; and bars on applicants that 'deny the sex binary' or distribute harm-reduction supplies.
- A coalition of 185 Minnesota organizations warns the changes could reduce permanent-housing funding by over 85% and potentially double chronic homelessness.
- Minnesota may be ineligible under several provisions (e.g., trans refuge policies and local non-enforcement of federal immigration law).