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Labor Department Announces $23 Million Grant Opportunity for Programs Serving Homeless Veterans

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Key takeaways

  • The Department of Labor announced $23 million in grant funding for the Homeless Veterans’ Reintegration Program (HVRP).
  • HVRP grants can provide each recipient up to $500,000 annually, totaling up to $1.5 million over three years per awardee.
  • The grants fund workplace skills training, Registered Apprenticeship participation or other on-the-job training, and employment placement assistance.
  • The initiative is described as a collaboration with HUD’s Continuum of Care Program and the Department of Veterans Affairs’ Homeless Programs Office.
  • Eligible applicants include state and local workforce boards, federally recognized Native American governments, state agencies, for-profit and non-profit organizations, community and faith-based groups, and institutions of higher education.
  • VETS will host informational webinars (Jan. 27 and Feb. 25, 2026) and the application deadline is March 6, 2026 (apply via Grants.gov).
  • Media contacts listed: Christine Feroli (202-693-4664; feroli.christine.e@dol.gov) and Lorynn Holloway ((202) 693-4652; holloway.lorynn.n@dol.gov).

Follow Up Questions

What specific activities and expenses does HVRP allow grant funds to cover, and are there caps on administrative costs?Expand

For Program Year 2026, allowable HVRP grant activities and costs are detailed in FOA‑VETS‑26‑01 and related guidance:

• Core program services (direct, employment‑focused costs) – Outreach, intake, eligibility determination, and assessment of homeless/at‑risk veterans. – Case management and development of Individual Employment Plans (IEPs). – Job readiness and job search assistance (résumés, interviewing, job clubs, referrals to job fairs). – Occupational skills training (classroom/sector training, short‑term credentials, industry certifications) aligned with local labor‑market demand. – Participation in Registered Apprenticeship, pre‑apprenticeship, and other on‑the‑job training (OJT) arrangements. – Work experience/try‑out employment and limited wage subsidies consistent with FOA rules and 2 C.F.R. Part 200. – Job placement and follow‑up/retention services.

• Supportive services (when necessary for employment) – Transportation assistance (e.g., transit passes, mileage reimbursement) to get to training, interviews, or work. – Work‑related clothing, tools, equipment, certifications, and licensing/credentialing fees. – Limited emergency assistance directly tied to obtaining or keeping a job (e.g., short‑term help with work‑related phones, background checks, or documentation), as defined and justified in the budget. – Referrals (not usually direct payment) to housing, health care, legal aid, and other non‑employment supports.

• Program operations and staff – Salaries and fringe for program staff (case managers, job developers, data/reporting staff, project director) working on HVRP. – Participant tracking, data systems, evaluation, and required reporting. – Reasonable costs for rent, utilities, supplies, and equipment necessary to operate the project.

• Administrative / indirect cost limits – FOA‑VETS‑26‑01 follows the Uniform Guidance (2 C.F.R. Part 200). It does not set a separate, fixed “administrative cap,” but: • Grantees may charge administrative/indirect costs only if they have an approved Negotiated Indirect Cost Rate Agreement (NICRA), a cost allocation plan, or elect the de minimis rate (up to 15% of Modified Total Direct Costs if they meet 2 C.F.R. §200.414(f) conditions). • All costs (direct or indirect) must be necessary, reasonable, allocable, and consistently treated under 2 C.F.R. Subpart E.

Because FOA‑VETS‑26‑01 is highly detailed, applicants should rely on its allowable‑costs section, the required budget narrative template, and the HVRP Program Guide for precise line‑item rules.

What are the detailed eligibility requirements and any selection preferences for applicants (e.g., past HVRP experience, geographic targeting)?Expand

Eligibility and preferences for FOA‑VETS‑26‑01 are:

• Eligible applicant types – State governments, county/city/township governments, special district governments. – State and Local Workforce Development Boards (under WIOA). – Public and Indian housing authorities. – Federally recognized Native American tribal governments and tribally designated organizations. – Public and private institutions of higher education. – Other state and local government agencies. – Nonprofit organizations (with or without 501(c)(3) status). – For‑profit organizations, including small businesses. – Native American tribal organizations and other community‑ and faith‑based organizations.

• Additional structural requirements – The applicant must maintain a physical location in the proposed Service Delivery Area (SDA) (see FOA §IV.C.1 referenced in the listing). – Organizations whose prior federal grant was terminated under 2 C.F.R. §200.340 before its period of performance ended are ineligible for any HVRP FOA for three years from the termination date, unless termination was for causes beyond the grantee’s reasonable control (e.g., natural disaster).

• Implicit preferences / competitive factors – While the 26‑01 FOA text is needed for exact scoring weights, the opportunity description and attachments indicate that DOL favors: • Strong past performance on HVRP or similar veterans’ employment grants (documented in the required Past Performance chart, Attachment C). • Alignment with local labor‑market demand and measurable employment outcomes. • Coverage of veterans experiencing or at risk of homelessness in high‑need areas (coordinated with HUD Continuums of Care and VA Homeless Programs).

No explicit geographic set‑aside or formal preference for prior HVRP grantees is stated in the public listing; past performance and local need are considered within the scoring rubric rather than as hard eligibility filters.

What criteria and metrics will the Department of Labor use to evaluate and select award recipients?Expand

FOA‑VETS‑26‑01 applies DOL’s standard, points‑based grant review system. While the exact point values are in the FOA, the main evaluation criteria are:

• Statement of Need & Target Population – Demonstrated level of veteran homelessness or risk in the service area (using local data, CoC and VA information). – Identification of subpopulations (e.g., women veterans, veterans with children, justice‑involved veterans) and their barriers to employment.

• Program Design & Service Strategy – Clear, employment‑focused model that provides: outreach, assessment, case management, IEPs, occupational/skills training, Registered Apprenticeship or OJT, job placement, and retention services. – Use of evidence‑based practices and alignment with employer and labor‑market demand. – Integration of supportive services and referral networks to stabilize housing, health, and other needs.

• Coordination & Partnerships – Concrete plans and MOUs for coordination with HUD Continuums of Care, VA Homeless Programs, American Job Centers, and community partners. – Employer partnerships that can deliver interviews, OJT, Registered Apprenticeships, and jobs matching veterans’ skills.

• Organizational Capacity & Past Performance – Demonstrated capacity to manage federal grants (financial systems, staffing, internal controls). – Track record achieving HVRP or similar veterans’ employment outcomes (documented in Attachment C: Past Performance chart).

• Outcomes, Metrics & Budget – Ambitious but realistic targets on the required VETS‑704 Planned Goals Chart (e.g., enrollments, placements in competitive employment, median earnings, retention, credential attainment). – A cost‑effective budget where resources are primarily directed to participant services and employment outcomes, and costs align with 2 C.F.R. Part 200.

Applications are reviewed by technical panels, scored against these criteria, and then ranked; the Grant Officer makes final selections considering scores, geographic distribution, and available funds.

How many grants does the $23 million pool aim to fund, given the per-recipient cap of $500,000 per year?Expand

The simpler.grants.gov listing for FOA‑VETS‑26‑01 states DOL expects 63 awards, with:

• Total program funding: $23,000,000. • Award minimum: $150,000. • Award maximum: $500,000 per year (consistent with the release’s per‑recipient cap).

So, the $23 million pool is planned to fund about 63 grants, though the exact number could shift slightly depending on final award sizes.

How will recipients be expected to coordinate services with HUD’s Continuum of Care Program and the VA Homeless Programs Office in practice?Expand

In practice, coordination with HUD Continuums of Care (CoCs) and VA Homeless Programs will look like:

• Local referral networks and case conferencing – HVRP grantees are expected to participate in CoC case‑conferencing or by‑name list meetings so veterans identified by street outreach, shelters, or VA programs are rapidly referred for employment services. – Grantees must use a case‑management approach that links veterans to HUD/VA housing and supportive services while HVRP focuses on employment.

• Formal agreements and shared workflows – FOA‑VETS‑26‑01 directs applicants to describe partnerships and typically expects MOUs or letters of support with: • The local HUD CoC lead agency and Coordinated Entry system. • VA Medical Center Homeless Programs (e.g., HUD‑VASH, HCHV, GPD, SSVF). – These agreements spell out how veterans will be screened, referred, and jointly served (who does housing vs. employment vs. clinical care).

• Integration with workforce and veteran systems – HVRP grantees are also expected to coordinate with American Job Centers and Jobs for Veterans State Grants staff, ensuring veterans can access mainstream training and placement resources alongside HUD/VA supports.

The goal is that a veteran encountered anywhere in the local homeless system (HUD CoC or VA) can be quickly connected to HVRP for employment services, and vice versa.

The release references the "Trump Administration effort"—what specific initiative or policies does that refer to in the context of this 2026 announcement?Expand

Public versions of the Jan. 16, 2026 DOL news release and the FOA‑VETS‑26‑01 materials do not clearly tie this HVRP funding round to a specific, named Trump Administration effort or policy package.

The FOA and grants listing instead state that:

• HVRP is an ongoing DOL/VETS program, originally authorized in 1987 and continued under 38 U.S.C. §§2021–2023. • The 2026 competition is aligned with the sitting Presidents executive orders on employment services and merit‑based opportunity for veterans, not with a prior Administrations branded initiative.

Given the available documentation, there is no definitive, specific initiative that can be identified in 2026 as the referenced Trump Administration effort; if such language appears in the release, it is likely legacy boilerplate rather than a reference to an active 2026 policy.

What reporting, performance measurement, and compliance requirements will grantees have to meet, and where are those requirements published?Expand

Grantee reporting, performance measurement, and compliance requirements for this competition come from FOA‑VETS‑26‑01, Veterans Program Letter (VPL) 06‑24, and the FY25+ HVRP terms and program guide. Key obligations include:

• Participant and outcome reporting – Use DOLs required reporting system and the VETS‑704 form (Planned Goals Chart and quarterly reports) to track enrollments, services, placements into competitive employment, earnings, retention, credential attainment, and related metrics. – Maintain accurate participant case records documenting eligibility, IEPs, services received, and outcomes.

• Performance management – Meet or exceed planned goals submitted in the VETS‑704 Planned Goals Chart (Attachment A) for: • Number of veterans enrolled. • Number and rate placed into competitive employment. • Employment retention and median earnings after placement. • Credential/skills gains where applicable. – Participate in DOL monitoring, technical assistance, and any required evaluations.

• Financial and administrative compliance – Follow 2 C.F.R. Part 200 (Uniform Guidance) on allowable costs, procurement, subawards, and internal controls. – Comply with HVRP‑specific requirements in VPL 06‑24, including maintaining all program and financial records for the required retention period and making them available for DOL review. – Adhere to the federal award Terms and Conditions (e.g., subrecipient oversight, audit requirements, nondiscrimination, and data security).

These requirements are published in: – FOA‑VETS‑26‑01 Announcement and its attachments (especially VETS‑704 Planned Goals Chart and budget narrative template). – Veterans Program Letter 06‑24: Homeless Veterans Reintegration Program Requirements and Functions. – HVRP Fiscal Year Terms and Conditions and the 2025 HVRP Program Guide.

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