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Housing & Homelessness Alliance of Vermont

The Housing & Homelessness Alliance of Vermont (HHAV) works toward a future in which all people living in Vermont have safe, stable, affordable homes and if homelessness occurs, it is brief, rare, and non-recurring.

HHAV Weekly State Policy Update – January 22, 2026

Greetings! The first two weeks of the 2026 legislative session…and the first two weeks of me on the job…were a blur. Things are moving fast and furious, as they tend to do the second year of a biennium.  

Below is HHAV’s weekly state policy update. This one is coming much later than I care to send…and longer as we set the stage for our work in the state legislature. This update is meant to be a summary of the day-to-day in Montpelier and updates/opportunities for direct action on HHAV’s 2026 state policy agenda. I’ll try add some context where needed, but primarily a quick snapshot of where things stand. I welcome your feedback and questions. 

Here’s how I intend to organize these weekly summaries: 

  • Announcements
  • State policy updates 
  • Federal/national updates 
  • HHAV committee/working group updates (in development) 
  • Articles and news of note, including VTDigger’s “Final Readings” (a recap of each day in the legislature) 

Feel free to jump down to the section most relevant to your work. Or, read the whole thing! 


HHAV Needs You! Become/Renew Your Membership 

An earnest plug to join or renew your HHAV membership. We are a member-driven statewide organization and your membership dues are critical to allowing us to do what we do on your behalf. Click here to join or renew. Collective action is the most powerful way to meet the needs of the people we serve and represent. Thank you! 

Draft HHAV 2026 State Legislative Priorities 

Click here to find HHAV’s draft 2026 State Legislative Priorities. Click here to see the presentation from our January 13 membership meeting. This lays out the issues and policies HHAV will prioritize, endorse and actively engage on throughout the state legislative session. We are finalizing the priorities and will post them to our website and share widely though the weekly updates. We have already begun testifying to our priorities in several house and senate committees.  

Erhard Mahnke For the Win! 

HHAV was very fortunate to have the expertise and passion of Erhard Mahnke to hold and guide our policy agenda development work over the past couple of months. I can’t tell you how grateful I, the Ad-Hoc Policy Committee and Board members are for Erhard’s dedicated meaning making of everything we are doing to serve Vermont and to craft a comprehensive policy agenda. Erhard is winding down his time as HHAV’s interim Policy Advisor as the agenda gets finalized. Join me in thanking Erhard for playing such a pivotal role in the next chapter of HHAV. I still have his number, so expect he won’t be too far away from the Montpelier buzz 😊 Thank you Erhard! 


Housing Development Capital (create, rehab and preserve housing) 

  • Investing in VT Housing & Conservation Board (VHCB). HHAV joined others in advocating for sustained funding for VHCB. This includes fully funding the statutory level through the Property Transfer Tax ($37.6M in FY26) as well as $40M in one-time appropriations in FY27). See VHCB’s testimony showing the impact of previous investments and the need moving forward.
  • Vermont Housing Improvement Program (VHIP). The Department of Housing & Community Development (DHCD) testified about the impact of VHIP in committees. HHAV shared its support for VHIP base funding. We are also looking for opportunities to improve how these rental homes can be accessed by those exiting homelessness. 
  • Land Access and Opportunity Board (LAOB) Co-Directors testified about priorities for the coming year, including FY26 BAA request to fund $750K in “Homes for All” pre-development seed grants to entry-level housing developers and $250K for Community Resilience Grants, as well as $3.2 million in operating and grant-making funds for FY27 (base: $1.8M | one-time $1.4M). They also spoke to the need to slow the implementation of portions of Act 181 that could significantly harm rural communities. 
  • Developmental Disabilities Council of VT staff testified in support of recommendations made in the ROAD HOME report, proposing sustained investments in housing development and requisite supports for people with intellectual and developmental disabilities.  

Rental Assistance (Housing Vouchers)

VSHA’s FY26 Budget Adjustment Act (BAA) request for a $5M “Voucher Contingency Fund” is a critical, timely step to preserving the existing Housing Choice Vouchers. The ideal and current advocacy is focused on creating this fund using FY26 BAA dollars, ensuring the quickest action to preventing further loss of rental assistance in 2026. HHAV testified in House General, House Appropriations and Senate Economic Development in support of this request and shared a memo with all members of House Appropriations, including other HHAV FY26 BAA priorities. Here is the memo written by the House General & Housing Committee. Kathleen Berk from VSHA shared details on the need and why its needed in BAA. Chris Donnelly of Champlain Housing Trust also testified as well as local housing authorities. Our goal this week is to prioritize advocacy to members of House Appropriations and to pass a FY26BAA with this request included.  

Homelessness Response (GA, Emergency Shelter, HOP) 

Numerous discussions and testimony took place over the first two weeks on VT’s response to homelessness, needed investments to the existing continuum and opportunities for change. HHAV has formed a “Homelessness Response Action Committee” in order to organize and inform ourselves, identify a clear position and direction on the policies and investments needed, respond to proposed legislation and join other groups also organizing to improve our homelessness prevention and response efforts (see details below under committee work).

  • An AHS-led group began meeting in December. This group included AHS departments leadership and staff, shelter providers, CAP agencies, legislators and municipal officials and HHAV. It is anticipated that some of the ideas shared will be put forward by AHS as part of the FY27 budget including changes to eligibility, investments in shelters and transitional housing. More should be known in the coming days as the budget details are unveiled. 
  • H.594 is a new bill sponsored by Rep Eric Macquire (Rutland) who sits on the Human Services committee. It proposes significant changes to the GA and emergency shelter system, focused on decreased use of hotels and motels as emergency shelter, and new programs focused on accountability and fraud. The Action Committee is reviewing the bill and identifying challenges, opportunities and changes to each section and planning to provide testimony later in January. An initial review of the bill showed significant challenges that make it hard to support in its current form. HHAV is at the table and working with committee members to shape this bill.
  • ACLU-led group working on an alternative to proposal. A small group of advocates including HHAV, VT Early Childhood Advocacy Alliance, Community Action agencies, End Homelessness VT and led by ACLU are working together in the statehouse on an alternative proposal. HHAV’s Action Committee is reviewing the proposal and working to bring a more detailed proposal to the Human Services Committee for consideration. 
  • H.91, the homelessness response and transition bill that passed in 2025, but was vetoed by the Governor, was sent back to House Human Services committee last week, after the legislature decided not to override the veto. It is unclear what, if anything, can be done with the bill. HHAV is carefully monitoring the status of the bill. 
  • HOP Financial Assistance FY26 BAA request. This would restore funds to provide critical, flexible financial assistance to help prevent people falling into homelessness or help people get into permeant housing. HHAV and the VT CAP Agencies made a collaborative ask of $1.3M for funds. House Human Services supported this ask and we’ve received positive feedback so far from House Appropriations. 

Manufactured Housing Communities (MHCs) Early testimony by DHCD staff showed the impact of investments made to the Manufactured Housing Improvement & Repair (MHIR) program. HHAV will continue to monitor and support progress in FY27 investments in MHIR. 


Revenue Raising Proposals 
We are aware of several proposals to raise state revenue in order to pay for the supports and services Vermonters need, including housing. We plan to review in the coming week and share a summary of these proposals. 


Federal Updates 

HUD Continuum of Care Program Grant NOFO 

The HUD FY25 Continuum of Care Program Grant NOFO (Notice of Funding Opportunity) cycle is currently paused. FY25 was meant to be part of a two-year cycle (FY24-FY25). However, the current administration decided to issue a signifcantly altered FY25 CoC Program Grant NOFO in November 2025. This NOFO was both rescinded and blocked by the courts. HUD issued a new NOFO in December that is NOT currently in effect due to the court order. Therefore, the VT BoS CoC is pausing the local competition for new projects in light of HUD’s communication. HUD was ordered by the court to get ready to process renewal grants under the two-year 2024-2025 NOFO; however, the court has not ordered HUD to actually renew grants, and HUD has indicated they will put the December NOFO into effect if allowed by the courts.  

Stay tuned in with the National Alliance to End Homelessness and follow this link for more information. 


HHAV’s Committees 

These ad-hoc, action and long-standing committees are ways in which HHAV members can directly inform and impact state policy, planning and investments. Contact Grace Shyer if you would like to join one of these committee: GShyer@hhav.org 

  • Homelessness Response Action Committee. This committee is focused on reviewing homelessness response bills, crafting an HHAV position, and proposing changes/improvements to both policies and investments needed.  
  • Manufactured Housing Community Committee. A long-standing committee focused on addressing and proposing improvements and investments to VT’s MHCs. This is currently be convened by VHCB staff. 
  • Landlord/Tenant Action Committee (still forming). A new committee focused on reviewing and responding to landlord/tenant law proposals. 
  • Housing Development Committee. This committee is focused on HHAV’s advocacy for permanently affordable housing development investments.  


VTDigger’s “Final Reading” (a recap of the day’s activities in the VT Statehouse) 

  • January 6. Recap of the first day of the 2026 legislative session. Of note, H.91 (the 2025 proposal to reform Vermont’s response to homelessness which passed the legislature but vetoed by the Governor) was sent back to the House Human Services Committee for consideration. 
  • January 15. Food security and federal woops on addiction and mental health funding. 
  • January 16. Includes a summary of proposed revenue raising bills by Rep Waszazak (Barre City) 
     

In Other News: 



Thank you!

Chad Simmons, Executive Director
Housing & Homelessness Alliance of Vermont (HHAV)
csimmons@hhav.org
hhav.org 
 

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