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Navigating Post Shutdown: Essential Information for HUD Tenants
By Meryl Hartmann
CVOEO Statewide Housing Advocacy Programs, Intern
The Federal shutdown is over, but it may still take time to restart vital programs
On November 12th, Congress passed a temporary funding bill, known as a continuing resolution (CR) on to end the federal shutdown, funding some federal programs, including the Department of Housing and Urban Development (HUD) through January 30, 2026. This resolution is temporary, still leaving the FY26 spending bill for Transportation, Housing, and Urban Development (THUD), which funds HUD’s affordable housing, community development, and homelessness service programs currently in consideration until the proposed bills by the House and Senate have been reconciled and enacted into law.
The House bill proposed drastic cuts to several programs, while the Senate bill proposed increases to those same programs but not enough to support all Housing Choice Vouchers (HCVs) or Emergency Housing Vouchers (EHVs), differing in billions of dollars of governed funding. For current or prospective HUD tenants, understanding your rights and what to expect during this time is crucial as these spending bills are being reviewed by the federal government.
Major Shake-Up in Homeless Policy
The proposed changes to homelessness policy, detailed in a Fiscal Year (FY) 2025 Continuum of Care (CoC) Notice of Funding Opportunity (NOFO), released by the Trump administration, on November 13th, could significantly impact nearly 170,000 previously homeless individuals by gutting long-term housing programs if enacted. This shift moves away from “Housing First” philosophy, which prioritizes immediate housing without preconditions, towards programs that mandate work and drug treatment, potentially leading to the loss of support for disabled individuals or those over the age of 50 who rely on CoC funds.
The plan, set to begin as early as January 2026, also includes a dramatic reduction in aid for permanent housing and introduces new two-year limits on Section 8 and other subsidized housing vouchers, emphasizing transitional housing instead of permanent solutions. The National Alliance to End Homelessness warns of a forceful shift in community apportionment in funds towards less long-term housing programs and solutions, towards more transitional or temporary shelters, housing, or new Support Services Only initiatives.
Shutdown Risks for HUD-Assisted Households-National Low Income Housing Coalition (NLIHC)
The National Low Income Housing Coalition (NLIHC) closely monitored the shutdown’s impact on HUD programs and the communities they serve. It is important to stay informed and know where to seek help if needed.
Here is what HUD tenants need to know now!
Protection Against Rent Increase or Evictions: HUD voucher holders and public housing tenants are protected from rent increases, voucher termination, or evictions. As a voucher holder, you are only required to pay your predetermined portion of the rent.
Project-Based Section 8 (PBS8) Contracts: Most PBS8 owners have active HUD contracts extending beyond the end of the year, ensuring payments. HUD plans to have staff available to review and renew any contracts that may expire soon. Your lease should include the contact information for your PBS8 Contract Administrator or visit Vermont State Housing Authority staff directory. You are only required to pay your portion of the rent as a PBS8 tenant. Landlords may try to increase rent on tenants living in properties with expiring contracts. If this happens to you, continue to pay your portion of the rent and immediately reach out to an attorney for guidance.
Legal Assistance is Available: If a landlord attempts to increase your rent or evict you, contact an attorney immediately. Free legal help can be found at www.lsc.gov or www.LawHelp.org. When meeting with legal professionals, bring your current lease (if available), any expired rental agreements, and all notices from your landlord or property manager.
For Assistance in Vermont: Contact the Vermont Tenants Hotline with any questions about your rights and responsibilities, habitability issues, or other housing concerns. Our skilled advocates offer consultations, referrals, and navigation support. Call (802) 864-0099 or email vttenants@cvoeo.org.
Visit https://vtlawhelp.org/ for clear civil (non-criminal) legal information and free or low-cost legal help in Vermont. Use the Legal Help Tool (https://vtlawhelp.org/triage/vt_triage), Roadmaps (https://vtlawhelp.org/roadmaps), and VT Court Forms (https://vtlawhelp.org/vtcourtforms) to get guidance, fill out forms, and navigate common legal issues. You’ll also find legal rights information, health care help, community resources, forms, guides, and sample letters. For more assistance, visit the “How We Can Help” page to contact Legal Services Vermont or Vermont Legal Aid.
Take Action:
Email or call your Congress members’ offices?to talk to them about the importance of affordable housing, homelessness, and community development resources to you, your family, your community, or your work. You can use?NLIHC’s Take Action page?to look up your member offices or call/send an email directly!??
For more updates from CVOEO's Housing Advocacy Programs like this, follow @ThrivingCommunitiesVT on Facebook or Instagram, or by subscribing to their newsletter here.
Sources:
https://www.nhlp.org/wp-content/uploads/NHLP_Memo_Gov_Shutdown.pdf
https://nlihc.org/resource/government-shutdown-extends-second-week-after-failed-cr-votes-senate
https://www.nytimes.com/2025/11/12/us/politics/trump-homeless-funding.html