Congress appropriated $75 million to HUD in FY 2018 for youth homelessness projects as part of a coordinated community approach. How is that money being distributed, and how much will be awarded through this NOFA?

Date Published: March 2019

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Through this NOFA process, HUD will select up to 25 communities, at least 8 of which will be rural, to participate in the Youth Homelessness Demonstration Program (YHDP). The up to 25 selected communities will then have the ability to apply for a portion of the $75 million appropriated by Congress based on a formula that ensures the following:

  • A minimum of $1 million per community
  • A maximum of $15 million per community
  • Proportionate weighting for the size of a community’s total youth population
  • Proportionate weighting for the community’s youth poverty rate

The total YHDP funding available to each selected community will be based on a formula that accounts for the number of youths in poverty in each community ages 12 to 24 and the 2-bedroom FMR for the geographic area listed in the community application. In order to ensure that selected communities receive sufficient funding to make a substantial contribution to their youth homelessness system, HUD will select the 8 highest scoring rural communities and the top 8 scorers from the remaining communities, apply the formula to those 16 communities, then select further communities and redo the formula for all selected communities as explained below.

  1. For each selected community, HUD will multiply the number of youths ages 12-24 who are in poverty in the community by the 2-bedroom FMR for the geographic area listed in the community application. This is called the community's "formula factor".
  2. For each selected community, HUD will divide the community's formula factor by the sum of the formula factors for all communities selected. This is called the "community ratio".
  3. HUD will allocate an initial formula amount of $1 million to each selected community.
  4. For each selected community, HUD will multiply its community ratio by the total YHDP funding remaining after step 3, then add the resulting amount to the community's initial formula amount in step 3 to come up with the community's new formula amount.
  5. HUD will calculate the ratio of the formula amount for each selected community to the sum of formula amounts for all selected communities.

HUD will distribute the apportioned funds to communities based on a project application process described in Appendix A of the NOFA. Selected communities will also receive substantial technical assistance designed to support the development of Coordinated Community Plans.

Tags: YHDP Award Information

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