Published On: September 3, 20252.8 min read555 words

This blog post was updated September 16, 2025.

Congress decides funding levels annually (October 1 to September 30) for the primary federal programs that impact youth, young adults, and young families experiencing homelessness through the appropriations process.

The House and Senate Appropriations Committees have finished drafting their Fiscal Year (FY) 2026 appropriations bills. Now they will begin negotiating final versions.

The Funding Proposals So Far

Here are the top takeaways on the impacts for youth, young adults, and young families experiencing homelessness. Full proposals are available here.

*Flat funding means the same funding as the previous fiscal year.

  • Runaway and Homeless Youth Act Program (RHYA)
    • The Senate proposed to flat-fund RHYA at $146.3 million, to protect against NOFO delays in the next cycle, and to restore the Street Outreach Program as a standalone NOFO (details here).
    • The House proposal recommended flat-funding RHYA at $146.3 million and for ACF to continue releasing Prevention Demonstration Program grants. It did not include recommendations to protect against NOFO delays or to restore the Street Outreach Program.
  • Education for Homeless Children and Youth Program (EHCY)
    • Both the House and Senate proposed to flat-fund EHCY at $129 million and to allow EHCY funds to be used for one additional fiscal year.
  • Youth Homelessness Demonstration Program (YHDP) and Youth Homelessness System Improvement Grants (YHSI)
    • The Senate proposed to flat-fund YHDP and YHSI, for a total of $107 million.
    • However, the House proposed to eliminate new funding for YHDP and YHSI, and to rescind the $107 million that was appropriated for new projects under FY 2025.
  • Emergency Solutions Grants (ESG)
    • Both the House and Senate proposed to flat-fund ESG at $290 million.
  • Continuum of Care (CoC)
    • The Senate proposed to increase CoC funding to $4.02 billion.
    • The House proposed to increase CoC funding to $3.86 billion—however, this increase comes from its proposal to take back YHDP and YHSI funding.
  • Workforce Programs
    • The Senate proposed to flat-fund youth programs under the Workforce Innovation and Opportunity Act (WIOA), apprenticeships, YouthBuild, Job Corps, AmeriCorps, and community college training programs.
    • The House proposed to flat-fund apprenticeships, YouthBuild, and community college training programs. However, it also proposed decreasing funding for Job Corps and AmeriCorps by 50%, and to eliminate funding for youth programs under WIOA.

What Happens Next

Congress must agree on FY 2026 spending levels by September 30, or the government will shut down. They will likely pass a continuing resolution (CR), which temporarily funds the government while they continue negotiations.

  • What if Congress can’t agree on spending levels?

Since the House and Senate’s funding proposals are so different, they have a difficult negotiation ahead. In today’s polarized Congress, divisions exist not only between parties but within them, making consensus even harder to reach. If lawmakers fail to agree on final appropriations bills, they may resort to a year-long CR, as they did in the last appropriations cycle. While this approach avoids a shutdown, it leaves federal agencies operating under outdated budgets, shifts more decision-making power to the executive branch, and weakens Congress’s constitutional authority to direct federal spending.

  • Will the government shut down?

A government shutdown seems increasingly likely. During shutdowns, discretionary spending is halted—including new payments for programs like RHYA, some housing programs, and others. It’s a good idea to prepare for gaps in funding as you plan for the new fiscal year.

Learn more about appropriations at the NN4Y Appropriations Take Action Page.