HUD Announces $212 Million Funding Opportunity to Expand Affordable Housing Options for Persons with Disabilities

Funding provides capital to produce new or rehabilitate existing housing along with project rental assistance to support very-low and extremely low income-persons with disabilities

WASHINGTON - The U.S. Department of Housing and Urban Development’s Office of Multifamily Housing announced today that $212 million in funding is available to expand the supply of affordable housing and supportive services for very-low and extremely-low-income persons with disabilities. The funding is available to participants in the Section 811 Supportive Housing for Persons with Disabilities program, which helps develop, subsidize, and provide supportive services for rental housing to meet the needs of this vulnerable population.

“Every American should have the ability to live in affordable housing that caters to their needs. Unfortunately, today, far too many housing options are inaccessible to those with disabilities – and those with the appropriate accommodations are often too expensive,” said HUD Secretary Marcia L. Fudge. “This announcement delivers serious progress, making $212 million available to expand housing supply and supportive services for low-income folks with disabilities.”

Through the Section 811 Capital Advance/Project Rental Assistance Contract (PRAC) program, $106 million in capital advances can be used for the development of new or rehabilitation of existing supportive housing, along with project rental subsidies to keep homes affordable.

The Section 811 Project Rental Assistance (PRA) provides $106 million to state housing and other agencies for project rental assistance to cover the difference between the tenants’ contributions toward rental payments and the HUD-approved rent for the property for eligible tenants with disabilities.

“The goal is to provide people with disabilities the opportunity to live with dignity and independently within an integrated community that provides them with access to appropriate supportive services that they choose,” said Ethan Handelman, Deputy Assistant Secretary for Multifamily Housing Programs. “This funding is a small but important part of HUD’s overall commitment to meeting the housing needs of all communities.”

For more information, read the funding notices for the Section 811 Capital Advance Program and Section 811 Project Rental Assistance. Applications must be submitted by February 8, 2024.

About the Section 811 Program

Section 811 allows persons with disabilities to live as independently as possible in the community by subsidizing rental housing which provides access to appropriate supportive services. The Section 811 Capital Advance Program aims to expand the supply of integrated affordable housing by providing Capital Advance funding for the development of permanent supportive rental housing for very-low-income (those earning 50 percent or less of the area median income) with disabilities who are 18 years of age or older and less than 62 years of age at entry. The program also provides project rental subsidies in the form of a Project Rental Assistance Contract (PRAC) to maintain ongoing affordability over at least the next forty years.

The primary purpose of the Section 811 Project Rental Assistance (PRA) Program is to identify, stimulate, and support innovative state-level strategies that will transform and increase housing for extremely low-income persons (those earning 30 percent or less of area median income) with disabilities while also making available appropriate support and services. HUD is seeking to support collaborations between State Housing and Health and Human Service/Medicaid Agencies that will result in or will increase access to affordable permanent supportive housing units – new and existing – with access to appropriate services.