The Department of Housing and Urban Development (HUD) has announced several policy changes aimed at helping veterans access supportive housing.
The agency is expanding access to the HUD-Department of Veterans Affairs (VA) Supportive Housing program, better known as HUD-VASH, by:
- Requiring public housing agencies (PHAs) that administer HUD-VASH to set the initial income eligibility for veterans at 80% of the area median income (AMI), rather than 50% of the AMI. The use of this higher initial income eligibility threshold is currently optional with many housing agencies have already adopted the higher threshold, but HUD is making this increase mandatory; and
- Adopting an alternative definition of annual income for applicants and participants of the HUD-VASH program that excludes veterans’ service-connected disability benefits when determining eligibility. This alternative annual income definition could be adopted by other housing subsidy programs to determine income eligibility.
Veterans experiencing homelessness often receive VA benefits as a result of an injury or illness that was acquired or worsened during military service. Before the new change, these benefits were considered income when determining eligibility for certain supportive housing developments, causing some veterans to exceed the income threshold for these programs.
“No veteran should ever have to experience homelessness, but, when they do, they should not face barriers to getting help they deserve,” said HUD acting secretary Adrianne Todman. “This policy change will ensure that veterans who are receiving the disability benefits they earned through service and sacrifice can access the housing assistance and supportive services they need to resolve their homelessness.”
The HUD-VASH program is a vital resource to house veterans experiencing homelessness. It pairs rental assistance through housing vouchers targeted to veterans experiencing homelessness from HUD with case management and other supportive services provided by the VA. Homeless program staff at local VA medical centers identify veterans experiencing homelessness and refer them to PHAs that issue vouchers to eligible veteran and their families.
The revised HUD-VASH operating requirements can be found here. They will be effective once the notice is published in the Federal Register, which is expected next week.
HUD has been working with the Department of the Treasury to determine the effect of the alternative income definition for HUD-VASH participants seeking housing subsidized by low-income housing tax credits. Treasury expects to issue guidance on this issue in the near term. HUD will also encourage state and local governments to make corresponding changes in their subsidy programs to ensure that all veterans experiencing homelessness have access to supportive housing.
“Every veteran deserves a roof over their head, and the Biden-Harris administration is doing everything we possibly can to end veteran homelessness,” said White House domestic policy adviser Neera Tanden. “Today’s actions reflect President Biden and Vice President Harris’ commitment to breaking down barriers to housing so that every veteran gets the benefits they have earned.”
The revised HUD-VASH operating requirements also include additional policy changes that will improve the administration of the HUD-VASH program. This will give PHAs the authority to:
- Make noncompetitive awards of project-based HUD-VASH contracts to housing projects or units on VA facilities that serve HUD-VASH families;
- Approve exception payment standards as a reasonable accommodations up to 140% of the fair market rent; and
- Set a separate minimum rent policy (including a zero minimum rent) for HUD-VASH participants.
In addition to these policy changes, HUD awarded $20 million available for additional administrative fee funding to 245 public housing agencies in 43 states administering HUD-VASH. With this funding, PHAs are encouraged to expand their housing search assistance to support veterans, expand landlord recruitment for the program, offer incentives and retention payments, help veterans with security deposits, and provide landlord-tenant mediation activities.
Since the program’s inception, HUD-VASH has assisted more than 200,000 veterans to exit homelessness and obtain permanent affordable housing. Federal officials say it has been the cornerstone for reducing the number of veterans experiencing homelessness by more than 50% since 2010.