TOP STORIES

Government funded through December 11

On September 2, President Trump signed into law a continuing resolution that will keep the federal government operating from October 1, the beginning of fiscal year 2027, through December 11. Most programs will remain at FY26 funding levels, but the CR allows some HUD funds to assist tenants with expiring HUD vouchers and makes some unused FY26 Continuum of Care and fair housing funds available in FY27. It also prevents the administration from finalizing its proposal to add political considerations into the federal grantmaking process until after December 11.

HUD proposes incentives for some homelessness reduction strategies

HUD intends to offer unspecified “bonuses” or “incentives” to Continuums of Care that adopt approaches other than Housing First for reducing homelessness. Its rationale is explained in a Notice of Research Justifying Additional Incentives for Certain Activities to Reduce Homelessness, which will be published in the Federal Register on September 11 with an October 13 comment deadline. A legal challenge to HUD’s previously proposed changes to the CoC program is also continuing. A federal court ruled on August 7 that HUD could not make these changes in its notice announcing the FY26 CoC competition, and HUD has appealed that decision.

Unions challenge USDA reorganization in court

Four unions representing USDA employees, joined by several other plaintiffs, filed suit on September 8 seeking to stop the department’s reorganization. They had first tried to add this issue to an ongoing suit regarding staff cuts at several federal agencies, but the judge ruled that the claims should be handled separately.

HAC posts tracker for 21st Century ROAD to Housing provisions

HAC has created a page on our website to track implementation of the rural housing provisions in the 21st Century ROAD to Housing Act. The tracker includes the sections of the law that apply to the USDA rural housing programs and many others that will apply to all geographies. The HAC News will also continue to report on guidance, regulations, and other actions as they happen. 

September is National Preparedness Month

FEMA encourages Americans to prepare for emergencies. This year’s theme is Americans Stand Ready.

September is National Recovery Month

Emphasizing that recovery is built through partnerships, the Substance Abuse and Mental Health Services Administration offers a toolkit for sharing information.

September 15-October 15 is National Hispanic Heritage Month

The Smithsonian’s National Museum of the American Latino explains that the month “provides an opportunity to celebrate the integral part the Hispanic/Latino community has had in growing and strengthening our democracy.”

RuralSTAT

A recent HAC analysis estimates there may be more than 14,000 heirs’ properties in Latino communities. Using tax assessment and parcel data, the analysis focused on census tracts where at least 51% of residents identified as Hispanic or Latino. While the overall estimated prevalence was relatively small, the extremely conservative estimate suggests that heirs’ property exists across geographically diverse Latino communities and may become more widespread as Latino homeownership continues to expand. Source: Heirs’ Property in Latino Communities (Disponible en español).

OPPORTUNITIES

Housing Trust Fund slightly larger than last year

HUD announced that the fiscal year 2026 funding available for the Housing Trust Fund totals $255.5 million, with varying amounts for states, the District of Columbia, and U.S. territories based on an allocation formula. The total is higher than the $223 million available in FY25. It remains dramatically lower than the program’s peak at almost $750 million in 2022, when the pandemic boom in mortgage financing benefited the HTF because its funding is contributed by Fannie Mae and Freddie Mac based on their new business.

REGULATIONS AND FEDERAL AGENCIES

Citizenship and race changes proposed for 2030 census

The Census Bureau has proposed two changes in the type of information to be collected in the 2030 decennial census. First, it would exclude people without legal status in the U.S. It is also considering adding a question about legal status to the short-form questionnaire (the form filled out by everyone responding to the decennial census). Second, the Bureau would prohibit questions about race and ethnicity or sexual orientation “on the decennial census short-form questionnaire or any questionnaire used for the enumeration of the population.” Comments are due October 13. 

Time frame for some accessibility claims reinterpreted

In 2013, HUD and the Justice Department issued a joint statement explaining some aspects of applying the Fair Housing Act’s accessibility requirements to the design and construction of multifamily buildings. In August 2026, the departments rescinded a section of that guidance document that had allowed an individual to file a complaint one year after, or begin a lawsuit two years after, they experienced harm, regardless of the length of time since the building’s construction. HUD has now published a new memorandum stating that the one- or two-year statute of limitations begins with the issuance of the certificate of occupancy, even if a resident does not move in and experience the design or construction flaws until years later.

Comments requested as USDA readies launch of online loan applications

Comments are due November 3 regarding USDA Rural Development’s launch of an online platform for its loan and grant programs, including development of an online loan application. USDA’s notice says that hard copy applications will remain available. Initially, the online application system will be available for the Business and Industry Guaranteed Loan Program, followed by the Community Facilities and Water and Environmental Programs.

HUD and BIA set framework to support Tribal homeownership

HUD’s Office of Public and Indian Housing and the Interior Department’s Bureau of Indian Affairs recently signed a memorandum of understanding to support implementation of the Tribal Trust Land Homeownership Act, which was signed into law in May 2026. The MOU is intended to improve coordination between the agencies.

FY27 fair market rents posted

HUD’s FY27 fair market rents are now available and will be effective on October 1. Comments are also due October 1.

Nominations sought for HUD Tribal advisory committee

The terms of seven of the current representatives serving on HUD’s Tribal Intergovernmental Advisory Committee will end on December 31. Nominations for new committee members are due November 2.

Maximum management fees set for USDA multifamily housing

USDA sets maximum management fees for multifamily housing budget submissions using HUD’s Operating Cost Adjustment Factor methodology. The updated per-unit, per-month fees for calendar year 2027 are now available in Handbook 2-3560, Chapter 3, Attachment 3-F.

Extension considered for Tribal Buy America waiver

USDA, HUD, FEMA, and several other federal agencies propose a limited extension of one Build America, Buy America waiver for Tribes. The waiver applies to manufactured products purchased by Tribes or Tribal entities with federal financial assistance and is currently set to expire on September 30. The extension would keep the waiver in place through December 31. Comments are due October 4.

USDA updates handbook to implement 21st Century ROAD to Housing Act provisions

The handbook that guides administration of USDA’s single-family programs, as well as the website that describes the Section 504 home repair loan and grant program, have been updated in accordance with provisions of the new housing law. The revisions include increasing the threshold at which a mortgage is required to secure a Section 504 loan from $7,500 to $15,000 and making Section 504 loans available to low-income homeowners as well as very low-income owners.

Moving to Work operations notice revised

HUD requests comments by November 2 on a new round of revisions to its Operations Notice for the Expansion of the Moving to Work Demonstration Program.

Labor Department rescinds rules for coordinating on farmworkers

The Department of Labor is eliminating regulations that established formal procedures for three of its divisions to coordinate their enforcement activities with respect to migrant and seasonal farmworkers. DOL explains that these regulations are outdated and have been replaced by newer coordination methods.

EVENTS

HAC schedules webinars on rural rental preservation

HAC will present a new webinar series in October focused on some of the most pressing issues affecting the USDA rural rental housing portfolio. These sessions will provide practical information for nonprofit organizations, housing developers, community leaders, and others interested in preserving affordable rural housing. Webinar 1: Understanding the Section 515 Portfolio and Transfer Process is scheduled for October 14. Webinar 2: Stand-Alone Rental Assistance Explained will take place on October 21. Webinar 3: Owning and Operating Section 515 Properties will be held on October 28.

Investing in Rural America Conference begins September 30

HAC is excited to collaborate with the Federal Reserve Bank of Richmond on the upcoming Investing in Rural America Conference: The Strength of Rural Places, taking place September 30-October 2 in Asheville, NC. This flagship event, including a post-conference session, Advancing Practical Rural Housing Solutions with the Housing Assistance Council, brings together rural practitioners, policymakers, researchers, and funders to explore cutting-edge strategies in workforce pathways, economic development, small business support, community investing, and financial inclusion. Join us for dynamic sessions, national speakers, and opportunities to connect with leaders committed to rural prosperity.

PUBLICATIONS AND MEDIA

HAC’s data platform continues to expand and improve

Rural Data Central provides a wide range of users with comprehensive data for understanding rural communities and housing markets. Recent enhancements include the integration of 2024 American Community Survey data and 2025 Home Mortgage Disclosure Act data, giving users access to updated demographic, housing, economic, and mortgage lending information. Rural Data Central has also expanded its mapping capabilities to include Tribal census tracts, strengthening users’ ability to explore and visualize data for Tribal areas. To check out these new data and features for your community, visit https://ruraldatacentral.org/.

Major federal statistical agencies have lost staff, expertise, and leadership

A mid-2026 update study from the American Statistical Association shows that every one of the 13 principal federal statistical agencies has experienced staffing reductions since January 2025. The results include “significant” leadership gaps as well as loss of expertise and institutional knowledge. Six of the agencies – including USDA’s Economic Research Service and National Agricultural Statistical Service – lost at least one-third of their workforce from 2024 to 2026, and two agencies lost more than two-thirds. While hiring has resumed at seven agencies, ASA reports that current recruitment has barely begun to offset earlier losses and does not immediately address the loss of expertise and experience. This report, 2026 Midyear Update: Resources and Leadership Supporting Federal Statistics, is the first in a planned series of updates on selected issues related to federal statistics.

HAC

Need capital for your affordable housing project?

HAC’s loan fund provides low interest rate loans to support single- and multifamily affordable housing projects for low-income rural residents throughout the U.S. and territories. Capital is available for all types of affordable and mixed-income housing projects, including preservation, new development, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development, construction/rehabilitation and permanent financing. Contact HAC’s loan fund staff at hacloanfund@ruralhome.org, 202-842-8600.

Please note: HAC is not able to offer loans to individuals or families. Borrowers must be nonprofit or for-profit organizations or government entities (including Tribes).

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