Capital Improvements for At-Risk/Receivership/Substandard/Troubled PHAs

The Capital Improvements for At-Risk/Receivership/Substandard/Troubled PHAs grant, issued by the U.S. Department of Housing and Urban Development (HUD) through its Office of Public and Indian Housing, is a discretionary funding opportunity focused on strengthening the nation’s public housing infrastructure. This grant specifically targets Public Housing Authorities (PHAs) that are either in HUD receivership, designated as troubled or substandard, or otherwise deemed high-risk. These funds aim to support critical capital improvements to address significant physical deficiencies and improve property management outcomes in public housing units. The intent is to ensure that residents of public housing have access to safe, decent, and affordable housing, especially in jurisdictions where PHAs have struggled with long-term vacancies, deteriorating conditions, or financial mismanagement. HUD has allocated approximately $11.5 million in funding through this NOFO. Individual awards will range from a minimum of $250,000 to a maximum of $3,000,000. A total of approximately five awards are expected, subject to appropriations and programmatic discretion. The funds must be used for capital improvements—such as structural upgrades, systems repair or replacement, and other eligible physical projects—to enhance the conditions of public housing developments. Projects must align with HUD’s Capital Fund Program regulations, specifically 24 CFR Part 905, and can only be applied to the specific Asset Management Project (AMP) designated in the application. Funds cannot be used for administrative costs, previously funded activities, or projects with Rental Assistance Demonstration (RAD) CHAPs or Section 18 repositioning approvals. The grant program does not require cost sharing or matching funds. Eligible applicants include public housing authorities with legal authority under the United States Housing Act of 1937 to develop, own, and operate public housing. Only PHAs identified as troubled, substandard, at-risk, or in receivership are eligible, including those under HUD’s Moving to Work (MTW) program. Nonprofits, resident organizations, individuals, tribes, TDHEs, and private entities are not eligible. Furthermore, PHAs can submit only one application, and that application must address only one AMP. Previous recipients of full funding for the same AMP under this program are ineligible unless they received partial awards due to limited prior-year funding. The application process requires electronic submission via Grants.gov by 11:59 PM ET on April 28, 2026. Required components include standard forms such as SF-424, HUD-2880, HUD-424B, HUD-50075.1 (Parts I & II), and, if applicable, HUD-426. Applicants must also submit a detailed narrative addressing the proposed improvements, their alignment with program goals, and their expected impact on physical condition and occupancy. A maximum of six narrative pages is permitted. HUD evaluates applications based on four rating factors: PHA status, demonstrated need at the AMP level, the soundness of the approach, and the applicant’s past performance, with a maximum of 100 points awarded. Award announcements are anticipated around July 25, 2026, and projects must be completed within a 48-month period starting from the award date. Post-award compliance includes annual reporting through HUD’s EPIC system and adherence to performance deadlines, including obligation and expenditure milestones. The program is subject to all federal requirements, including environmental and civil rights laws, Build America Buy America (BABA) Act requirements, and fair housing regulations. Contact for the program is available via the Office of Capital Improvements at [email protected]. Applicants are encouraged to subscribe to HUD’s funding announcements and begin the registration process with SAM.gov and Grants.gov well in advance of the deadline to ensure timely submission.

Ensure AMP info matches PIC; justify capital needs clearly; ineligible if CHAP or RAD overlap.