U.S. Department of Housing and Urban Development HUD Exchange Mailing List

New Changes to HUD CoC and ESG Program Implementation

Over the past several months, a few changes have been made in how HUD implements the Continuum of Care (CoC) and Emergency Solutions Grants (ESG) Programs, particularly the CoC Program, to help providers operate the programs more effectively and with less administrative burden. These changes include:

  • Nonprofit organizations have permanent authority to administer rental assistance awarded through the CoC Program. Previously, this authority was included in the annual Appropriations Act and could have changed under any given Fiscal Year’s funding.
  • Program income can be counted as match for FY 2015 and FY 2016 CoC Program awards. Costs paid for by program income can be considered match for grants awarded in the FY 2015 and FY 2016 CoC Program Competition so long as the funds are expended on eligible CoC Program costs that supplement the recipient’s project.
  • The following updated environmental review requirements:
    • Tenant-based leasing projects are no longer subject to Section 58.5. In units where the program participant chooses the location of the unit, recipients will now use the Exempt/CENST form to cover those units. Previously, tenant-based leasing projects were subject to a higher level of review. Step-by-step guidance on environmental reviews can be found on the environmental review flow chart page.
    • Only one Exempt/CENST form needs to be filled out per project. Previously, projects were required to complete this form for each individual unit. This form is completed by projects or activities that are determined to be exempt or categorically excluded from Section 58.5 (e.g., tenant-based leasing or rental assistance, or supportive services only (SSO) projects).

For questions about any of these changes or other requirements of the CoC or ESG Programs, please submit a question to the HUD Exchange Ask A Question (AAQ) portal. On Step 2 of the question submission process, select the related program under “My question is related to.”

Visit the HUD Exchange at https://www.hudexchange.info
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