HUD Opens FY 2016 Continuum of Care Competition

Yesterday, HUD published the FY 2016 Continuum of Care (CoC) Program Competition Notice of Funding Availability (NOFA), making $1.9 billion available in funds available for continuums across the nation. For this competition, the total amount of funding available may not cover all anticipated eligible renewal projects and HUD continues to require CoCs to rank their projects into two tiers (Tier 1 and Tier 2). The submission deadline for this competition is Wednesday, September 14, 2016.

A few notable changes to this year’s NOFA include:

• Changes to Tiers: Funding for Tier 1 this year is equal to 93 percent of the CoC’s Annual Renewal Demand (ARD). This is an increase from 85 percent last year, which means CoCs will have a the better opportunity to protect those higher priority projects and fewer projects will be in jeopardy of cut funds.
• New Policy Priority: Creating a systematic response to homelessness is a new policy priority this year. According to a recent CoC Competition Focus message from HUD, having a systemic response to homelessness requires establishing a coordinated entry system, cohesive planning by the entire community, making assistance appealing and accessible, and using system performance measures.
• Additional Points: System performance and reallocation will be worth more points in this NOFA. Beginning this year, CoCs are now required to report their system performance measures into HUD’s Homeless Data Exchange (HDX) by August 1, 2016. For this competition, a CoC could receive up to 10 points for attaching their system performance measures report to it’s application.

HUD’s announcement for the competition also included a message encouraging CoCs to reallocate funds from lower performing transitional housing projects serving households fleeing domestic violence to other types of projects serving people fleeing domestic violence. This would “ensure that CoC-funded projects serving people fleeing domestic violence are as effective as possible.” HUD will soon release further guidance on this issue.