The U.S. Department of Housing and Urban Development’s Fiscal Year 2026 Continuum of Care Program Notice of Funding Opportunity remains open, with applications due by August 26, 2026.
The Continuum of Care Program provides federal funding to support community-wide efforts to prevent and end homelessness. Eligible activities can include housing, supportive services, planning and coordinated local homelessness response efforts involving nonprofit providers, local governments and regional Continuums of Care.
According to the National Association of Counties (NACo), the FY 2026 NOFO includes significant changes to the funding structure. Under the notice, 60% of total funding will be considered “protected” under Tier 1 and renewed on a non-competitive basis to support continuity of existing Continuum of Care operations. The remaining 40% will be awarded through a competitive process. NACo notes that, under the current program framework, nearly 90% of program funds are protected renewal funds.
These changes may affect counties and regional homelessness partners that rely on Continuum of Care funding to support local housing stability, homelessness response, behavioral health coordination, veterans services, emergency shelter partnerships and supportive housing programs.
HUD previously indicated that FY 2026 Continuum of Care awards are expected to be made by December 1, 2026. Counties and local partners involved in homelessness response may wish to review the NOFO, coordinate with their regional Continuum of Care and evaluate how the revised funding structure could affect existing or planned programs.
ISACo will continue to monitor federal homelessness funding developments and share information relevant to Illinois counties and regional Continuums of Care.