Advocacy & Policy

2026 Government Shutdown Resources

Last Updated: January 27, 2026

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Housing Updates from Washington

HUD Shutdown Contingency Plan

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Housing Updates from Washington

Session recordings will be available below and on our Housing Updates from Washington webpage.

HUD Shutdown Contingency Plan

Typically, in the event of a shutdown, the U.S. Department of Housing and Urban Development (HUD) publishes a shutdown contingency plan. HUD released a 2025 shutdown contingency plan for a lapse in funding on September 29, 2025.

Public Housing

Operating Fund payments have been through April.

Housing Choice Voucher Program

HCV HAP and Admin Fee funding has been provided through March. HUD is working on Round 9 for CY 2025 shortfalls based on HUD budget reconciliation. Funding will not be released prior to a potential shutdown, but HUD plans to bring staff in during a shutdown to process it. This work is necessary to prepare for CY 2026 funding. Full VMS data reconciliation is required, making the process slower and largely focused on clean-up.

From the 2025 HUD Shutdown Contingency Plan

Excepted HUD staff (i.e., HUD staff that may still work) will perform functions to prevent the imminent threat to the safety of human life or the protection of property. These functions include:

  • Manage the HUD Central Accounting Program System (HUDCAPS), the Enterprise Voucher Management System (eVMS) [to disburse previously obligation funds—both HAP and admin. fees). (See page 13 of shutdown plan.)
  • A PHA’s HUD-held HAP reserves “ . . . may be requested (or may be automatically disbursed) to address emergency situations, including where families are at risk or terminations of assistance or where PHAs cannot afford to pay their contractual Housing Assistance Payments to Owners.” (See page 13 of shutdown plan.)
  • Identify when previously obligated HAP or admin. fee funding allocations may be insufficient for program operations if there’s any available “carryover funding” or “advance appropriations” to make obligational actions to make the funds available.
  •  PHAs in receivership or HUD possession will have HUD staff continue to assist with functions and contracts, where previously obligated, may continue. (See page 13 of shutdown plan.)
  • Provide tenant-protection vouchers for families to move in an emergency (e.g., contract termination due to safety and health violations or an emergency/disaster Section 18 application). (See page 13 of shutdown plan.)
  • “Respond to any other issues directly related to the imminent threat to the safety of residents or the protection of property.” (See page 14 of shutdown plan.)

The following voucher systems will still be operational (See page 14 of shutdown plan for full list of systems):

  • Enterprise Income Verification;
  • Inventory Management System/PIH Information Center (IMS/PIC);
  • Voucher Management System (VMS);
  • Enterprise Voucher Management System (eVMS);
  • Technical Assistance Center;
  • HUDCAPS; and
  • NSPIRE Application Suite.

HCV Frequently Asked Questions (Questions are reproduced exactly, but edited to focus on HCVs; full questions can be found on pages 59-60 of the shutdown plan)

In the event of a lapse in appropriations, will I be able to draw down funding . . . [for] the Housing Choice Voucher program?

For the Housing Choice Voucher program, payments will be disbursed to PHAs so long as available funds were previously obligated. See page 11 [of the shutdown plan] for limited exceptions. Previously obligated amounts in HUD-held reserves (HHR) may be requested or automatically disbursed to address emergency situations such as families at risk of termination.

Will I be able to utilize HUD secure systems (including VMS, IMS/PIC and FASS) to make submissions on behalf of my organization during lapse in appropriations?

Yes. HUD secure systems will remain available; however, there will be no contractor or HUD-staff support for system-related issues (e.g., submission questions or approvals) during a lapse in appropriations.

Community Planning and Development Programs

The Office of Community Planning and Development (CPD) will continue to make previously obligated funds available for draw down by CPD grantees (CDBG, HOME, HOPWA, Homeless Assistance Grants and other grant funds). If there is no action or review needed by HUD employees for funds to be drawn down from the system, then grantees will be able to draw funds normally. CPD will intermittently recall employees to review disbursement requests in certain cases where there is believed to be an imminent threat to the safety of human life or property. 

Like in previous shutdowns, a long-term shutdown may result in automatic approval of consolidated plans. However, consolidated plans may be rejected in the future even though they were approved initially. According to HUD, they will ensure grantees have access to eLOCCs, IDIS, and DRGR.

Family Self-Sufficiency Program

In the past, the FSS team has been furloughed during shutdowns, but grantees have been able to access eLOCCS. Nonetheless, those requests that required more than 10% of the grant funds would be required to be approved would not be approved. In the past technical assistance activities were cancelled.

Moving to Work Agencies

In the past, HUD staff did not process funding assignments for non-HAP, MTW-eligible activities during the shutdown, except when there was an imminent threat to lives or property. MTW PHAs, like all PHAs,were only be able to schedule payments that were already obligated in the system. Additionally, in the past, exempt staff would not be able to respond to questions by phone or email, so technical assistance was not available during the shutdown.

Rental Assistance Demonstration (RAD)

“Closings on rental assistance conversions scheduled as part of the Rental Assistance Demonstration (RAD) where Rental Assistance Demonstration Conversion Commitment [RCC] . . . was issued, and the closing was scheduled prior to the lapse in appropriations or RAD Conversions where the failure to close or prepare to close would threaten the property and demands an immediate response (e.g. loss of tax credits).” (Quote taken from page 18 of the shutdown plan.)

RAD Frequently Asked Questions (taken from pages 56 and 57 of the shutdown plan; questions and answer are reproduced in their entirety)

Will PHAs still have the ability to submit RAD Applications during a lapse in appropriations?

Yes, applications for RAD can be submitted through RADApplications@hud.gov during a lapse in appropriations. However, there will not be staff to review any submissions received during the lapse in appropriations. Review of these applications would begin when the lapse in appropriations is over.

Will RAD processing by HUD staff continue during the lapse in appropriations?

No, staff cannot process routine underwriting tasks during this time. However, some closing activities may continue (see below).

I have a RAD project that is scheduled to close, will I be able to close my RAD deal during the lapse in appropriations?

Closings on rental assistance conversions scheduled as part of the Rental Assistance Demonstration (RAD), where a Rental Assistance Demonstration Conversion Commitment (RCC) (applicable to Component 1) or a Rental Assistance Demonstration Approval (applicable to Component 2) was issued, and the closing was scheduled prior to the lapse in appropriations will continue. In addition, where the failure to close or prepare to close would threaten the property and demands an immediate response (i.e., loss of tax credits), the closing will continue.

Office of Housing Programs

Multifamily programs will be able to file emergency reserve for replacement and residual receipts drawdowns.

REAC Inspections

Physical inspections scheduled with funding obligated prior to the shutdown should proceed, but those without funding obligated will be cancelled. HUD staff will only conduct physical inspections if they believe there is a threat to life or property. REAC Technical Assistance should remain available.

Printable Resources

NAHRO updated its state- and territory-level data flyers in September 2025 to reflect funding proposals in the House and Senate bills. NAHRO encourages members to use this data with any outreach out you may have with your elected officials and their staff.

The National Housing Law Project (NHLP) released a flyer in October 2025 to help residents of HUD rental assistance programs understand what this means for them.

NAHRO News

Articles will be linked below as they are published.

January 27: The Path Forward for the FY 26 THUD Appropriations Bill