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As we wait for the final budget to be signed into law by Governor Lamont, we wanted to share a preliminary update on the progress we made toward the collective goals we set for this session:
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Late Tuesday night, the Senate approved a $13.2 million increase for FY26 and a $26.4 million increase for FY27 in the Department of Housing (DOH) Housing and Homeless Services line item. This includes a $3.5 million and $5 million increase in FY26 and FY27 for cold weather emergency services, and an $8.8 million Cost-of-Living Adjustment (COLA) increase in FY26 and FY27. We are awaiting further confirmation on other key investments.
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The Department of Mental Health and Addiction Services (DMHAS) will receive an additional $1.39 million in FY26 and $1.95 million in FY27 in the Housing Supports and Services line item.
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Yesterday, legislators passed a $9.7 billion bond package which includes $6 million in annual financing for Rapid Rehousing (RRH), which follows best practices to stabilize people in housing first so that they can pursue employment or address health issues. The bill also moves forward sizeable investments in housing stock for all Connecticut residents, in recognition that housing solves homelessness.
While not the $33.5 million that we need, this is a meaningful step forward in recognition of the critical services and funds that will prevent homelessness, respond when it occurs, and house people safely. We look forward to working closely with DOH and DMHAS over the next few weeks to determine how these funds will be allocated, and we will continue to communicate with you as we receive specifics.
In addition to the budget, the following critical policy measures will now go to the Governor's desk for his signature:
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H.B. 6894, An Act Establishing an Interagency Council on Homelessness codifies Governor Lamont’s Interagency Task Force on Homelessness as a permanent Interagency Council, which will ensure inclusive decision-making for informed, equitable, transformative solutions to homelessness.
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H.B. 5002, An Act Concerning Housing and the Needs of Homeless Persons includes zoning provisions to build around transit and increase the supply of affordable housing, and the expansion of Fair Rent Commissions. It also includes a mobile shower and laundry pilot program, and a ban on hostile architecture, both of which will support a dignified and humane response to our neighbors experiencing homelessness.
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Finally, S.B. 1358, An Act Concerning Equitable Compensation for State-Contracted Nonprofit Human Services Providers requires the state to index nonprofit funding in the budget to inflation annually. This is an important step toward financial stability for the sector.
We are deeply grateful to Governor Lamont, our state agency partners, and the bipartisan group of legislators who have been working diligently to focus on the needs of people experiencing homelessness – and those that serve them – throughout this session.
A special thanks goes to our champions on the new End Homelessness Caucus, to Caucus Chair Roberts and Vice Chair Sweet, and to the co-Chairs of the Housing Committee, Senator Marx and Representative Felipe, whose leadership continues to set a high standard in the work to solve homelessness.
Finally, we owe these results, on both the funding and policy side, to the dedicated work of CT CAN End Homelessness advocates. Your late nights, all-day hearings, op-eds, letters, phone calls to your legislators, and organizing across Coordinated Access Networks, boards, staff, colleagues, and community partners made an enormous impact. Many of you participated for the first time this session, and your passion and stories helped inform decision-makers from across the state. We are grateful for each one of you!
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