Preventing Youth Homelessness Demonstration Act of 2026

This Act may be cited as the Preventing Youth Homelessness Demonstration Act of 2026.

In this Act:

The term appropriate committees of Congress means—

(A) the Committee on Appropriations of the Senate;

(B) the Committee on Health, Education, Labor, and Pensions of the Senate;

(C) the Committee on Appropriations of the House of Representatives; and

(D) the Committee on Education and Workforce of the House of Representatives.

The term at-risk of homelessness, with respect to an individual, means that the individual is more likely than not to imminently experience homelessness, which shall be determined by the Secretary with respect to an individual based on—

(A) research and data at the time of the determination; and

(B) the circumstances and demographics of the individual.

The term Continuum of Care has the meaning given the term in section 578.3 of title 24, Code of Federal Regulations, or any successor regulations.

The term covered individual means—

(A) an individual who is between the ages of 12 and 26 and who is—

(i) at-risk of homelessness; or

(ii) at risk of entering, or transitioning out of, a public system, foster care, the juvenile justice system, or a residential behavioral health system; or

(B) a child of an individual described in subparagraph (A).

The term eligible entity means any of the following:

(A) A State agency, including a State educational agency.

(B) A city, county, or other unit of general local government.

(C) A local educational agency.

(D) A Continuum of Care.

(E) An Indian Tribe, Native Hawaiian organization, or tribally designated housing entity.

(F) Any entity eligible for assistance under section 312 of the Runaway and Homeless Youth Act (34 U.S.C. 11212).

The term homelessness means being—

(A) a homeless child or youth (as defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)); or

(B) homeless (as defined in section 387 of the Runaway and Homeless Youth Act (34 U.S.C. 11279)).

The term Indian Tribe has the meaning given the term in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304).

The term local educational agency has the meaning given the term in section 8101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801).

The term Native Hawaiian organization has the meaning given the term in section 6207 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7517).

The terms prevention of homelessness and prevent homelessness mean the act of, through policies, practices, or interventions, reducing the likelihood that a covered individual who is currently housed will imminently experience homelessness.

The term rural area has the meaning given the term in section 601(b) of the Rural Electrification Act of 1936 (7 U.S.C. 950bb(b)).

The term Secretary means the Secretary of Health and Human Services, acting through the Assistant Secretary for the Administration for Children and Families of the Department of Health and Human Services.

The term State means—

(A) any State of the United States;

(B) the District of Columbia; and

(C) the Commonwealth of Puerto Rico.

The term State educational agency has the meaning given the term in section 8101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801).

The Secretary shall establish a grant program, to be known as the Preventing Youth Homelessness Demonstration Grant Program (referred to in this section as the Program), under which the Secretary shall make grants to eligible entities to identify and implement strategies and services for covered individuals in order to prevent homelessness.

In establishing the Program under paragraph (1), the Secretary shall—

(A) consult with—

(i) the Secretary of Housing and Urban Development;

(ii) the Executive Director of the United States Interagency Council on Homelessness;

(iii) the Secretary of Education;

(iv) the Attorney General;

(v) the Secretary of the Interior;

(vi) the Secretary of Agriculture;

(vii) the Secretary of Labor;

(viii) the Assistant Secretary for Mental Health and Substance Use of the Department of Health and Human Services; and

(ix) the head of any other agency that the Secretary determines to be appropriate; and

(B) ensure that the Program complements and enhances, and does not conflict with, other initiatives and programs that serve covered individuals.

An eligible entity desiring a grant under the Program shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, including—

(1) a coordinated community prevention plan that—

(A) assesses the scale and scope of need for activities for the prevention of homelessness for covered individuals within the community that will be served by the eligible entity with grant funds;

(B) outlines how the eligible entity will identify and support covered individuals who are most at-risk of homelessness in the community; and

(C) outlines how grant funds will be used, in accordance with subsection (d), along with other funding sources, to implement targeted strategies that meet the needs of covered individuals; and

(2) a description of how the eligible entity plans—

(A) to establish cross-system partnerships with Federal, State, or local agencies for the prevention of homelessness for covered individuals and with other entities or organizations that serve youth in the community, such as—

(i) a local educational agency;

(ii) a public housing agency;

(iii) a Continuum of Care;

(iv) a housing provider;

(v) a State, Tribal, or local child welfare agency;

(vi) a behavioral health and substance use disorder provider;

(vii) a delinquency prevention program;

(viii) the juvenile court system;

(ix) an organization that serves pregnant or parenting youth and their children; and

(x) any other agency or organization with the capacity to identify risk factors for homelessness for covered individuals; and

(B) deliver trauma-informed collaborative interventions to address the risk factors described in subparagraph (A)(x).

In selecting eligible entities to receive grants under the Program, the Secretary, to the maximum extent practicable, shall consider—

(A) an eligible entity’s established partnerships with local stakeholders for the prevention of homelessness for covered individuals in order to deliver collaborative interventions;

(B) the comparative geographic diversity of the applicant in relation to other eligible entities receiving grants under the Program;

(C) the extent to which an applicant's proposed use of grant funds may duplicate or conflict with other programs; and

(D) the opportunity to sustain and grow progress achieved through prior Federal investments in youth homelessness prevention, including progress achieved through a grant awarded under the Runaway and Homeless Youth Prevention Demonstration Program pursuant to section 343 of the Runaway and Homeless Youth Act (34 U.S.C. 11243).

Each fiscal year, the Secretary shall award—

(A) not less than 5 percent of the total amount of grant funding made available to carry out this section to 1 or more Indian Tribes and Native Hawaiian organizations;

(B) not less than 10 percent of the total amount of grant funding made available to carry out this section to 1 or more eligible entities that serve a rural area; and

(C) beginning with the third fiscal year of administering the Program, not less than 5 percent of the total amount of grant funding made available to carry out this section to 1 or more eligible entities that received a grant under section 4 in a previous fiscal year.

The period of a grant awarded under the Program shall be 5 years.

The amount of a grant awarded under the Program shall be not less than $3,000,000 and not greater than $7,500,000.

An eligible entity that receives a grant under the Program shall use the grant funds for the prevention of homelessness for covered individuals, which shall be carried out after consideration of recommendations of the Youth Homelessness Prevention Council established in accordance with paragraph (2), and shall include 1 or more of the following activities:

(A) Primary prevention services to support covered individuals in crises, such as case management, physical and behavioral health services, employment support and job training, conflict resolution, educational programming, child care, supports for pregnant or parenting youth and young adults and their children, short-term housing, and direct financial assistance or material resources to help with achieving economic stability and overcoming housing instability.

(B) Improvement of cross-system collaboration and collaboration among programs within the applicable community to better identify and serve covered individuals, such as the design of a comprehensive well-being service system for covered individuals before and during periods of crisis.

An eligible entity that receives a grant under the Program shall establish a Youth Homelessness Prevention Council, which shall be comprised—

(i) primarily of youth and young adults—

(I) who are experiencing homelessness;

(II) who have experienced homelessness; or

(III) who were prevented from experiencing homelessness due to a specific intervention; and

(ii) of representatives from child welfare systems, local educational agencies, the youth justice system, or behavioral health providers.

A Youth Homelessness Prevention Council established under subparagraph (A) shall be responsible for providing recommendations to the eligible entity about grant activities.

With respect to a grant awarded to an eligible entity under the Program, the eligible entity—

(A) except as provided in subparagraph (B), shall expend the grant amounts during the 3-year period beginning on the date on which the eligible entity is awarded the grant; and

(B) during the 2-year period beginning on the date that is 3 years after the date on which the entity is awarded the grant, shall continue to measure and evaluate the activities supported with the grant.

Except as provided in paragraph (2), the Federal share of any project for which the Secretary awards a grant under the Program shall not exceed 90 percent.

The Secretary may grant a waiver with respect to the limitation on the Federal share of a project described in paragraph (1) if—

(A) the applicant with respect to the project petitions the Secretary for the waiver; and

(B) the Secretary determines that the petition described in subparagraph (A) demonstrates financial need.

Not later than 15 months after the date on which an eligible entity is awarded a grant under the Program, and annually thereafter for the duration of the grant period, the eligible entity shall submit to the Secretary a report that describes—

(A) how the eligible entity used grant funds during the preceding 15-month or 1-year period, as applicable;

(B) the measurement and evaluation of the activities carried out by the eligible entity with grant funds during such period; and

(C) the progress of the eligible entity towards fulfilling the objectives for which the grant was awarded.

The Secretary may establish—

(A) mechanisms to ensure appropriate use of, and compliance with respect to all terms regarding, grant funds awarded under the Program; and

(B) additional reporting and information requirements for any recipient of a grant under the Program.

An eligible entity receiving a grant under the Program may use not greater than 10 percent of the amount of the grant for administrative costs in carrying out the activities described in subsection (d) and preparing and submitting a report under subsection (f)(1) (including relevant evaluation activities).

Funds made available to an eligible entity under the Program shall be used by the eligible entity to supplement, and not supplant, other Federal, State, Tribal, and local funds that would otherwise be used by the eligible entity to carry out activities described in this section.

The Secretary may reserve not more than 10 percent of amounts made available for a fiscal year to carry out this section for the implementation and administration of the Program, which shall include—

(1) providing technical support and assistance to eligible entities, including ensuring consistency in data collection and reporting;

(2) providing assistance to eligible entities to prepare the applications of those eligible entities with respect to grants awarded under the Program;

(3) developing the report required under section 5; and

(4) conducting outreach to eligible entities regarding opportunities to apply for such a grant.

There are authorized to be appropriated to carry out this section—

(1) $85,000,000 for each of fiscal years 2026 through 2030; and

(2) such sums as may be necessary for fiscal year 2031 and each fiscal year thereafter.

The Secretary shall establish a grant program, to be known as the Preventing Youth Homelessness Capacity Grant Program (referred to in this section as the Capacity Grant Program) under which the Secretary shall make planning grants to eligible entities to better assess the causes of and extent of homelessness of covered individuals within the communities served by such eligible entities to enable such eligible entities to apply for a grant under section 3.

In establishing the Capacity Grant Program under paragraph (1), the Secretary shall—

(A) consult with—

(i) the Secretary of Housing and Urban Development;

(ii) the Executive Director of the United States Interagency Council on Homelessness;

(iii) the Secretary of Education;

(iv) the Attorney General;

(v) the Secretary of the Interior;

(vi) the Secretary of Agriculture;

(vii) the Secretary of Labor;

(viii) the Assistant Secretary for Mental Health and Substance Use at the Department of Health and Human Services; and

(ix) the head of any other agency that the Secretary determines to be appropriate; and

(B) ensure that the Capacity Grant Program complements and enhances, and does not conflict with, other initiatives and programs for the prevention of homelessness for covered individuals.

An eligible entity desiring a grant under the Capacity Grant Program shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, including a coordinated community capacity-building plan that details—

(1) how the eligible entity plans to identify and solicit potential members of a Youth Homelessness Prevention Council as described in subsection (d)(1);

(2) the other entities the eligible entity plans to collaborate with to carry out the grant, which may include—

(A) a government agency for the prevention of homelessness for covered individuals and other entities or organizations that serve youth in the community, such as local educational agencies;

(B) a Continuum of Care;

(C) a housing provider;

(D) a State, Tribal, or local child welfare agency;

(E) a behavioral health and substance use disorder provider;

(F) a delinquency prevention program;

(G) the juvenile court system;

(H) an organization that serves pregnant or parenting youth and their children; and

(I) any other agency or organization with the capacity to identify risk factors for youth homelessness;

(3) existing gaps within the eligible entity’s capacity to measure the drivers of and extent of homelessness for covered individuals in the communities served by the eligible entity;

(4) the tools, systems, and procedures the eligible entity will develop and use to identify and measure the drivers of and extent of homelessness for covered individuals in the communities served by the eligible entity; and

(5) additional funding sources that the eligible entity plans to use to support capacity building and work to prevent homelessness for covered individuals after the end of the grant period.

In selecting eligible entities to receive grants under the Capacity Grant Program, the Secretary, to the maximum extent practicable, shall consider—

(A) an eligible entity’s established partnerships with local stakeholders for the prevention of homelessness for covered individuals, including entities described in subsection (b)(2)(A);

(B) the comparative geographic diversity of the applicant in relation to other eligible entities receiving grants under the Capacity Grant Program;

(C) the extent to which an applicant’s proposed use of grant funds may duplicate or conflict with other programs; and

(D) the extent to which an applicant will be able to sustain local homelessness prevention activities for covered individuals after the grant performance period.

Each fiscal year, the Secretary shall award—

(A) not less than 5 percent of the total grant funding made available to carry out this section to 1 or more Indian Tribes or Native Hawaiian organizations; and

(B) not less than 5 percent of the total grant funding made available to carry out this section to 1 or more eligible entities that serve a rural area.

The period of a grant awarded under the Capacity Grant Program shall be 18 months.

The amount of a grant awarded under the Capacity Grant Program shall be not less than $500,000 and not greater than $1,500,000.

An eligible entity that receives a grant under the Capacity Grant Program shall use the grant funds—

(1) to identify and solicit potential members to serve on a Youth Homelessness Prevention Council established under section 3(d)(2);

(2) to identify and measure the drivers of and extent of homelessness for covered individuals in the communities served by the eligible entity; and

(3) to develop and use tools, systems, and procedures for such identification and measurement.

Except as provided in paragraph (2), the Federal share of any project for which the Secretary awards a grant under the Capacity Grant Program shall not exceed 90 percent.

The Secretary may grant a waiver with respect to the limitation on the Federal share of a project described in paragraph (1) if—

(A) the applicant with respect to the project petitions the Secretary for the waiver; and

(B) the Secretary determines that the petition described in subparagraph (A) demonstrates financial need.

Not later than 18 months after the date on which an eligible entity is awarded a grant under the Capacity Grant Program, the eligible entity shall submit to the Secretary a report that describes—

(A) how the eligible entity used grant funds during the preceding 18-month period; and

(B) the progress of the eligible entity towards fulfilling the objectives for which the grant was awarded.

The Secretary—

(A) shall establish mechanisms to ensure appropriate use of, and compliance with respect to all terms regarding, grant funds awarded under the Capacity Grant Program; and

(B) may establish additional reporting and information requirements for any recipient of a grant under the Capacity Grant Program.

Funds made available to an eligible entity under the Capacity Grant Program shall be used by the eligible entity to supplement, and not supplant, other Federal, State, Tribal, and local funds that would otherwise be used by the eligible entity to carry out activities described in this section.

The Secretary may reserve not more than 10 percent of amounts made available for a fiscal year to carry out this section for the implementation and administration of the Capacity Grant Program, which shall include—

(1) providing technical support and assistance to eligible entities, including ensuring consistency in data collection and reporting;

(2) providing assistance to eligible entities to prepare the applications of those eligible entities with respect to grants awarded under the Capacity Grant Program; and

(3) conducting outreach to eligible entities regarding opportunities to apply for such a grant.

There are authorized to be appropriated to carry out this section—

(1) $20,000,000 for each of fiscal years 2026 through 2030; and

(2) such sums as may be necessary for fiscal year 2031 and each fiscal year thereafter.

Not later than 2 years after the date on which the Secretary begins awarding grants under this Act, and annually thereafter, the Secretary shall submit to the appropriate committees of Congress a report that documents, for the 1-year or 2-year period, as applicable, preceding the report—

(A) evaluations of the activities carried out under this Act, including outcomes of grant recipients and the effectiveness of efforts for the prevention of homelessness for covered individuals; and

(B) a list of each grant awarded under this Act, which shall include—

(i) the amount of each such grant;

(ii) the recipient of each such grant; and

(iii) the purpose for which each such grant was awarded.

The Secretary shall make each report submitted under paragraph (1) publicly available in an online format that—

(A) facilitates access and ease of use;

(B) is searchable; and

(C) is accessible—

(i) to individuals with disabilities; and

(ii) in languages other than English.

The Secretary may award grants and enter into contracts, cooperative agreements, and other arrangements with Federal agencies, public and private organizations, and other entities with expertise that the Secretary determines appropriate in order—

(1) to evaluate the impact and efficacy of activities supported by grants awarded under this Act;

(2) to develop data methods and systems to support and monitor the prevention of homelessness for covered individuals; and

(3) to develop, catalog, disseminate, and promote the exchange of best practices, both with respect to and independent of grants awarded under this Act, in order to prevent homelessness for covered individuals.

In carrying out subsection (a), and to further the objectives described in paragraphs (1) and (2) of subsection (b), the Secretary shall conduct ongoing collaboration and consultation with—

(A) the Secretary of Housing and Urban Development;

(B) the Executive Director of the United States Interagency Council on Homelessness;

(C) the Secretary of Education;

(D) the Attorney General;

(E) the Secretary of the Interior;

(F) the Secretary of Agriculture;

(G) national, State, Tribal, and local organizations that work to prevent homelessness for covered individuals;

(H) researchers, academics, and philanthropic organizations with established expertise in preventing homelessness for covered individuals;

(I) other agencies, organizations, entities, and community stakeholders, as determined appropriate by the Secretary; and

(J) youth and young adults—

(i) who are experiencing homelessness;

(ii) who have experienced homelessness; or

(iii) who were prevented from experiencing homelessness due to a specific intervention.

In carrying out subsection (a), and to further the objectives described in paragraphs (1) and (2) of subsection (b), the Secretary may consult and collaborate with parents or caregivers that are caring for or have cared for covered individuals.

To the maximum extent practicable, and to ensure consistency in data reporting and to meet the objectives of this section, the Secretary shall provide—

(1) technical support and assistance to grant recipients;

(2) assistance to eligible entities in preparing applications for grants awarded under this Act; and

(3) other resources for grant recipients.

There are authorized to be appropriated such sums as may be necessary to carry out this section, which shall remain available until expended.

No individual in the United States may, on the basis of actual or perceived race, color, religion, national origin, sex, gender identity, sexual orientation, age, or disability, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity that is funded in whole or in part with funds made available to carry out this Act.

The Secretary shall effectuate paragraph (1) with respect to any program or activity described in that paragraph by issuing regulations and taking actions consistent with section 602 of the Civil Rights Act of 1964 (42 U.S.C. 2000d–1).

Judicial review of an action taken by the Secretary under paragraph (2) shall be available to the extent provided in section 603 of the Civil Rights Act of 1964 (42 U.S.C. 2000d–2).

Beginning with the first fiscal year for which amounts are made available to carry out an activity authorized under this Act, and for each of the 4 fiscal years thereafter, there is authorized to be appropriated to the Office of Inspector General for the Department of Health and Human Services $1,000,000 for audits and oversight of funds made available to carry out this Act, which shall remain available until expended.