Weeks after the federal government announced a cut in funding for homelessness services, Connecticut is looking to fill the gap.
In November, the federal Department of Housing and Urban Development (HUD) announced plans to cut back on how much funding from the Continuum of Care (CoC) program can be put toward supportive housing for people who recently experienced homelessness.
Monday, Gov. Ned Lamont announced plans to use $5.2 million from the state’s contingency fund to fill part of the gap left by the federal cuts. A plan will be submitted to the state legislature in the coming days to allocate the funds.
“So many families, veterans, older adults, and people with disabilities depend on the federal government’s Continuum of Care program to stay in their homes, and it is essential that these grants continue so that people do not fall into homelessness and create a potentially crisis situation,” Lamont said.
Homelessness service providers are grateful for the state funding, but believe it shouldn’t have become Connecticut’s responsibility, according to Sarah Fox, Chief Executive Officer of the Connecticut Coalition to End Homelessness.
“The state shouldn't have to step in where federal funding has been continued year after year,” Fox said. “We have received $100 million every single year for many years to keep people housed. We've done that because our collaboration works.”
Under HUD’s new changes to the CoC program, states can only put 30% of their Annual Renewal Demand (ARD) toward supportive and permanent housing. The ARD is the total dollar amount required to continue funding all existing CoC grants eligible for renewal the next year.
The state dollars will carry Connecticut’s contracts with local service providers and housing groups until May, according to Department of Housing Commissioner Seila Mosquera-Bruno.
In January, the state will apply for more federal CoC funding, but what that may look like is still undetermined.
“We don't know what is happening. We don't have an application. We don't know what to apply for,” Mosquera-Bruno said.
In Connecticut, CoC funding provides thousands of previously unhoused residents with Permanent Supportive Housing and Rapid Rehousing units, designed for quick, short term stays while transitioning to their own homes.
More than 6,000 Connecticut residents rely on CoC supportive housing services.
Existing dollars are set to run out at the end of the year, and President Donald Trump’s administration isn’t prepared to issue new grants, according to Congresswoman Rosa DeLauro.
“They are threatening to drastically short change the Continuum of Care program by delaying the issuance of new grants for the longest period in over 10 years,” DeLauro said.
