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S5534119th CongressWALLET

Building and Maintaining Homeless Shelters Act

Sponsored By: Senator Smith, Tina [D-MN]

Introduced

Summary

Would create a HUD competitive grant program to build shelters and permanent supportive housing. This bill would fund construction, rehabilitation, acquisition, and other capital projects aimed at preventing, responding to, and ending homelessness, and set rules for who may apply and how awards are distributed.

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  • Families and people experiencing homelessness: Prioritizes projects serving families, youth, victims of violence, LGBTQ+ people, and especially Black, Indigenous, and people of color. Awards must allocate 50% to shelters and 50% to permanent supportive housing to expand both short-term and long-term options.
  • Tribal and rural communities: Requires at least 5% of funds for tribal governments or tribally designated housing entities and at least 40% for projects located in rural areas. That channels a large share of funding to underserved geographies and tribal partners.
  • Eligible applicants and project rules: Allows State and local governments, Indian tribal governments, tribally designated housing entities, public housing agencies, and 501(c)(3) nonprofits to apply and excludes individuals, foreign entities, and sole proprietorships. Grants limit administrative costs to 10% and require domestic content and prevailing wage rules while covering capital uses like motel-to-shelter conversions, energy upgrades, day centers, and mobile clinics.

*Would authorize $500 million annually from 2027 through 2031, totaling $2.5 billion in authorized funding.*

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 3 benefits, 0 costs, 0 mixed.

More shelter and supportive housing

If enacted, HUD would run a competitive grant program to build and repair shelters and permanent supportive housing. The bill would authorize $500 million each year for fiscal years 2027 through 2031. Half of each year’s money would go to shelters and half to permanent supportive housing. At least 40% of funds would go to eligible rural entities and at least 5% to Indian tribal governments or tribally designated housing entities. HUD would be able to prioritize projects that serve people who are homeless, survivors of domestic violence, youth, LGBTQ+ people, and people of color.

Rules for grant uses and wages

If enacted, grant funds would be used mainly for capital costs like construction, rehabilitation, acquisition, and property for new shelters or supportive housing. Grants could also pay for energy upgrades, mobile health clinics, day centers, rapid rehousing, safe parking, non‑congregate shelters (including hotel/motel conversions), single‑room occupancy use, and safety or accessibility exterior work. Administrative costs would be capped at 10% of each grant. Construction paid with grant money would need to meet domestic content rules and pay prevailing wages. HUD would not be allowed to reject faith‑based applicants, and HUD could not award grants to entities that discriminate on sexual orientation, gender identity, or sex stereotypes.

Who can apply and housing rules

If enacted, the bill would define who can get grants and what counts as permanent or permanent supportive housing. Eligible applicants would include State and local governments, Indian tribal governments, tribally designated housing entities, public housing agencies, and 501(c)(3) nonprofit organizations. Individuals, foreign entities, and sole proprietorships would be excluded. Permanent housing would require a lease of at least one year, renewable at least monthly, and ends only for cause. Permanent supportive housing would be permanent housing that provides services to help people with disabilities live independently and would include people who meet specified federal homelessness definitions.

Sponsors & CoSponsors

Sponsor

Smith, Tina [D-MN]

MN • D

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

No roll call votes available for this bill.

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