Day 30: Government Shutdown Update

October 30, 2025 — We are one month into the government shutdown and there has been little movement on Capitol Hill since September 30. Congress is still at an impasse, though some bipartisan conversations on FY 2026 funding have begun. Unfortunately, this does not address Democrats main concern: expiring Obamacare tax credits. Next week is likely to bring shifts in messaging from both parties as SNAP benefits begin to lapse, but there is still no clear path to reopening the government.

Missed today’s special edition Housing Update from Washington on the shutdown? The recording is now available on our website.

Looking for all our shutdown coverage? Visit NAHRO’s shutdown resource page.

Congress: End the Shutdown, Resume FY 26 Talks!

Speak up on behalf of your residents and communities by telling Congress to end the partial government shutdown and return to regular order. Use NAHRO’s state- and territory-level data flyers as you engage with your elected officials and their staff throughout the shutdown and appropriations process. An extended government shutdown during an affordability crisis puts our most vulnerable neighbors at risk of experiencing homelessness at a time where homelessness has risen substantially. Send a letter today.

What’s Happening

• Congress failed to pass a Continuing Resolution to reopen the government and resume FY 26 talks.
• The “Clean CR” Republicans passed in March has been voted on 13 times in the Senate.
• 2 Democrats and 1 Independent have consistently voted with Republicans. The rest of the party is withholding support to pressure Republicans to negotiate on the expiring income-based Obamacare tax credits that keep monthly Affordable Care Act premiums “affordable.”
• The Senate remains in DC, yet Speaker Johnson has yet to call House lawmakers back to Washington.
• Despite external pressure from influential groups and government employee unions in D.C., Democrats and Republicans are both staying the course. As the effects of the shutdown are felt in more ways, (e.g. missed paychecks for government employees, lapses in SNAP benefits, delays at major airports, etc.) expect pressure to continue to build on both parties in Congress.

Latest from HUD  

Prior to the shutdown, HAP and Administrative Fee payments were processed for October and the first two weeks of November. NAHRO has since learned from HUD that the Department plans to obligate the remaining November HAP as well as December HAP and Administrative Fee funding to PHAs later this month. As usual, funds will be available to PHAs at the start of each month. Obligations may be slower than normal due to limited staffing at the Department. Remember, staff at HUD are not paid during the shutdown.

HUD was able to process October and November Operating Fund obligations prior to the shutdown, however, NAHRO has recently learned that HUD is messaging Public Housing Operating Funds will run out at the end of November. According to sources, HUD did not receive advanced appropriations and does not have carryover to cover December Operating Fund payments. NAHRO is increasing its advocacy messaging to ensure members of Congress are aware of this significant concern.

The impact on Community Planning and Development (CPD) grants varies depending on whether funds have already been disbursed. As in previous shutdowns, the key factor is whether HUD staff are available to process payments and release funds to grantees. Any grants not yet awarded will remain on hold until the shutdown concludes.

Applications for FY 2025 funding for the Resident Opportunity and Self-Sufficiency Service Coordinator (ROSS-SC) and Family Self-Sufficiency (FSS) programs opened prior to the shutdown, and the FSS application due date was October 29. However, according to the FSS NOFO guidance, HUD is allowed to continue accepting FSS applications after the due date. HUD has pushed the Jobs Plus application deadline back to December 29. The application due date for ROSS remains December 2.

Check out NAHRO’s shutdown resource page for more information.

Shutdown Impact on the Supplemental Nutrition Assistance Program (SNAP)

Recent media reports state that the administration is “threatening to withhold billions of dollars in Supplemental Nutrition Assistance Program (SNAP) contingency funding, which Congress has already allocated for emergency scenarios.” The SNAP program provides food benefits to low-income families to help supplement their grocery budgets. According to reports, the Department of Agriculture (USDA) has several billion (between $5 and $6 billion) in contingency funds that it could use to help make these payments but is choosing not to make them. A bi-partisan group of legislators in Congress is proposing multiple bills to keep the program funded, though some in congressional leadership feel these bills would be a “waste of [their] time.”

Federal Staffing Reductions in Force

On October 10, the Trump Administration issued reductions in force (RIFs) to over 4,000 federal workers in response to the government shutdown. This included 442 HUD employees including 103 staff in the Office of Public and Indian Housing (PIH), 114 staff at the Office of Fair Housing and Equal Opportunity (FHEO), 50 staff at the Office of Housing, and 30 staff at the Office of Community Planning and Development. RIFs were also issued at the Treasury Department, including the entire staff of the Community Development Financial Institutions (CDFI) Fund. This move has garnered bipartisan pushback from Congress, including Senator Mike Crapo (R-ID) who co-chairs the Senate CDFI Caucus with Senator Mark Warner (D-VA.), as well Senator Mike Rounds (R-SD) and House Financial Services Committee Ranking Member Maxine Waters (D-CA). A federal judge has indefinitely blocked the RIFs. Barring further action by a higher court, the decision limits the Trump administration’s ability to continue downsizing the federal government. The Administration is expected to appeal the decision.

Jobs Plus Application Extended, FSS Applications Due As Soon As Possible!

On October 27, HUD extended the application deadline for the Jobs Plus grant to December 29, 2025. An estimated $21.6 million in grant funds will be made available and HUD expects to issue 15 awards. The minimum amount of funding available is $1.6 million and the maximum is $3.7 million. Applicants can apply for a Jobs Plus grant on Grants.gov.

Additionally, grantees of the Family Self-Sufficiency (FSS) program should have submitted applications by October 29, 2025. However, HUD will accept late submissions if applicants have questions that need to be answered once the government reopens. The link to Notice PIH 2025-24, which outlines the FSS FY 2025 NOFO, is now back up on the website.