Funding redirected away from permanent supportive housing could push vulnerable residents into homelessness.

Arlington, Va. — The National Alliance on Mental Illness (NAMI) is deeply alarmed by the U.S. Department of Housing and Urban Development (HUD)’s fiscal year 2025 Continuum of Care (CoC) grant application, which will shift the majority of funding away from permanent supportive housing. This change puts hundreds of thousands of people at risk of losing stable housing, including many people with serious mental illness. That could result in many people losing the essential supports they rely on to stay safe, connected, and well.

Hannah Wesolowski, NAMI’s Chief Advocacy Officer, made the following statement:

Permanent supportive housing provides long-term housing and intensive case management to individuals and families who are chronically homeless or at imminent risk of homelessness, many of whom have a mental illness. It is an evidence-based intervention in which mental health treatment, case management, and wraparound supports are core components, helping individuals manage symptoms, avoid hospitalization, and maintain independence. The recently released FY25 CoC application introduces new policy priorities that may limit permanent supportive housing, with estimates that it could result in 170,000 to 200,000 households losing housing.

Read NAMI’s public policy position on housing as a key social determinant of health. NAMI will continue to fight for all people with mental illness to have access to the services and supports, including housing, that helps them get well and stay well.

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