Housing & Homelessness Brief

2026-08-06 · Archive

The throughline this week is a homelessness safety net contracting on several fronts at once, even as need climbs. Portland heads into winter with about 580 city-run overnight shelter beds, down from 876 a year ago; the Metro Supportive Housing Services tax that funds most of the region's response is set to sunset in 2030, forecast to leave a roughly $331 million annual hole; and Oregon eviction filings spiked to 2,788 families in a single month — all while more than 1,900 subsidized Portland apartments sit empty. Nationally the same squeeze is visible in policy: HUD is moving to let landlords impose work requirements and two-year time limits on assisted tenants, a proposed Community Reinvestment Act overhaul threatens the bank demand that underwrites most low-income housing tax credits, and HUD's Continuum of Care redesign pulls money away from permanent housing.

The counter-signal is that targeted investment still lands where the will exists. Clackamas County broke ground on a 76-bed recovery campus paid partly with SHS dollars, Placer County reported its homeless count fell nearly 10% after building supportive housing, Atlanta broke ground on a 130-unit tax-credit project in one of its wealthiest neighborhoods, and the VA can now cover up to 10 months of rent for homeless veterans. The tension of the day is that the production and prevention tools work and occasionally scale — but the structural funding underneath them is being pulled out from below.

Portland & the Metro

Portland confirms its city-run overnight shelter system will shrink to 580 beds this winter, down from 876

City of Portland · 2026-07-21

After a round of closures and consolidations, the city expects to offer 580 regular adult overnight emergency beds this winter, down from 876 the previous year, and capacity for 718 people across its 24/7 and alternative sites, down from 867 in 2025-26. The 200-bed NW Northrup shelter is closing in September and units from shuttered sites are being consolidated at North Portland Road, which could grow to 212 units (248-person capacity) to become the city's largest shelter.

It is the city's own confirmation that Mayor Keith Wilson's overnight shelter buildout is contracting heading into the cold season, with the exact number of beds being lost.

Metro's homeless-services tax sunsets in 2030, threatening a $331 million annual hole after housing 10,468 households

Street Roots · 2026-07-22

Metro's 2020 Supportive Housing Services tax is set to expire in 2030, which forecasts say would leave a roughly $331 million yearly hole in the tri-county region's housing budgets — money that already covers 61% of Multnomah County's homelessness budget and about 90% in Clackamas and Washington counties. The measure has delivered $1.6 billion, placed 10,468 households in housing and prevented another 21,823 people from becoming homeless, even as polling shows support below the 60% renewal threshold.

It lays out the central structural threat to the region's entire homelessness system — a looming funding cliff officials call potentially catastrophic.

More than 1,900 subsidized Portland apartments still sit empty at a record-high vacancy rate

The Oregonian/OregonLive · 2026-07-30

More than 1,900 subsidized apartments — 7.4% of the city's 26,500 affordable units — remain empty, essentially unchanged since The Oregonian first flagged the problem in December, even as homelessness rises. Vacancies hit an at-least-ten-year high of 2,052 at the end of 2025, a 7.9% vacancy rate, according to CoStar.

It underscores a jarring contradiction at the center of the crisis: record numbers of subsidized units sit vacant while thousands remain unhoused.

Oregon eviction filings hit 2,788 families in a single month as state rental aid falls by three-quarters

Street Roots · 2026-07-29

Oregon eviction filings spiked to 2,788 families in court in January — the highest in five years of tracking and nearly double the pre-pandemic average — even as the Legislature cut rental-assistance funding from about $172 million in 2023-25 to roughly $44 million in 2025-27. PSU's Evicted in Oregon project counted 29,263 Oregonians served eviction notices from July 2025 to June 2026, including 12,270 in Multnomah County.

It quantifies how the end of pandemic protections plus deep aid cuts are driving evictions — the leading pipeline into homelessness — to record highs.

Multnomah County's new homeless-services director inherits rising homelessness in his third month on the job

The Oregonian/OregonLive · 2026-08-04

In a Q&A, Nathaniel VerGow — a former Los Angeles County Homeless Services Authority leader now in his third month as Multnomah County's Homeless Services director — discusses rising homelessness and where he sees progress. VerGow, whose selection the county board approved on a divided 3-2 vote, points to unified focus from the mayor and all five commissioners as a reason for optimism.

It is the first extended public assessment from the region's new homeless-services chief as counts keep climbing and the SHS funding fight looms.

Clackamas County breaks ground on a 76-bed recovery campus funded partly by Metro's housing tax

Metro · 2026-07-30

Clackamas County broke ground July 29 on a two-building Recovery Campus, funded partly by Metro's voter-approved Supportive Housing Services measure, that will co-locate detox, treatment, and on-site transitional housing. The campus will add 76 beds to the county's system of care and is projected to finish in late 2027, paid for with $13.5 million from the SHS measure plus $10 million in state transitional-housing funds, $5 million in lottery bonds, and $2.5 million in Congressionally Directed Spending.

It is a concrete milestone for how Metro's supportive housing services tax is being spent, pairing behavioral-health treatment with housing ahead of the measure's coming renewal fight.

Washington County opens Good Neighbor Agreement talks for a Cornell Road transitional housing site

Cedar Mill News · 2026-08-03

Washington County Homeless Services is preparing to open a transitional housing facility this fall in a former hotel at 15402 NW Cornell Rd., to be operated by Helping Hands Reentry Outreach Centers. A community meeting Aug. 18 will review the second draft of the Good Neighbor Agreement; the site will offer on-site recovery services and 24/7 staffing, with a goal of moving residents into stable long-term housing within two years.

It is an active siting and Good Neighbor Agreement negotiation for a suburban Washington County homeless housing facility, exactly the kind of neighborhood process the brief tracks.

Vancouver nears completion of a 120-bed Bridge Shelter set to be Clark County's largest

OPB · 2026-07-16

Vancouver's new Bridge Shelter on NE 94th Avenue, nearing completion on a 3-acre site, will house about 120 unhoused adults and become Clark County's largest shelter, operated by Do Good Multnomah with the Cowlitz Indian Tribe providing substance-abuse treatment. Officials are aiming for a late-2026 opening; the shelter will not accept children, even as the latest Clark County count showed an 18% overall drop in homelessness but a 16% increase among families with children.

It anchors Vancouver's response to the homelessness emergency it declared in 2023, and the exclusion of families spotlights a widening gap as family homelessness rises.

Elsewhere in the Country

Sacramento loaned a homeless nonprofit $2.9 million to build housing in 2022 — four years later the lot is still empty

The Sacramento Bee · 2026-08-01

In 2022 Sacramento loaned Santa Monica-based nonprofit Step Up on Second $2.9 million to build affordable housing on a south Sacramento lot; four years later the parcel is still vacant and construction never started. The story lands weeks after Step Up paid a $3 million state settlement over homeless-housing money that was never built, amid disclosure that Sacramento has paid the group roughly $19.6 million over five years.

A cautionary parallel for Portland, where high affordable-housing vacancy makes every dollar of housing money that fails to produce units especially costly.

Placer County's homeless count drops nearly 10% as supportive housing expands, even as Sacramento County rises

CBS13 Sacramento · 2026-07-31

While Sacramento County's count rose 13%, neighboring Placer County reported a nearly 10% decline in its latest Point-in-Time Count, which officials credit to expanded permanent supportive and transitional housing. A former Auburn motel is being converted into a 55-unit supportive-housing community with a $15.1 million Homekey+ award.

A same-region counterpoint for Portland: a suburban county cutting homelessness by building permanent supportive housing even as Portland's shelter capacity shrinks and its Metro tax sunsets.

Los Angeles City Council funds a $450,000 plan to replace LAHSA's role with a city-run system

Westside Current · 2026-08-05

The Los Angeles City Council voted 14-0 to spend $450,000 on a consultant to design a new city homelessness system independent of the Los Angeles Homeless Services Authority, following repeated criticism of LAHSA's financial oversight and audit failures. It is the clearest step yet toward the city pulling out of the regional joint-powers agency.

It directly echoes Portland's governance reckoning as its Metro regional homeless-services tax sunsets — another big West Coast metro deciding a regional authority isn't working and moving control back to the city.

Developers seek Ellis Act evictions to revive a halted Venice supportive-housing project the city walked away from

Westside Current · 2026-08-05

Developers behind the stalled Venice Dell affordable/supportive-housing project are asking a judge to force the city to begin Ellis Act evictions of four households in a city-owned building, even though the city says it is no longer pursuing the project. They argue delay risks losing a $42.5 million state award before financing and construction can proceed.

It ties to Portland's rising eviction filings and stalled affordable-housing pipeline — here tenants face displacement to salvage a subsidized project the city has already abandoned.

Atlanta's slow, court-gated encampment process draws a sharp contrast a year after a fatal sweep

WABE · 2026-08-04

City Councilmember Jason Dozier explained that clearing encampments on private property requires a municipal-court order and months of code-enforcement non-compliance before the city can act. Atlanta revised its public-property clearing process after 46-year-old Cornelius Taylor was killed last year when a public-works bulldozer crushed his tent; nationally, the National Alliance to End Homelessness estimates 771,480 people are homeless on a given night.

A sharp contrast with Portland's camping-ban sweeps: Atlanta's court-gated process and a fatality-driven review underscore the due-process and safety stakes of encampment removals.

Atlanta breaks ground on a $65 million, 130-unit tax-credit project in one of its wealthiest neighborhoods

The Atlanta Journal-Constitution · 2026-08-06

Atlanta broke ground on a $65 million, 130-unit Low-Income Housing Tax Credit development next to the MARTA Lindbergh station, with $17 million from Atlanta Housing. It advances Mayor Andre Dickens's goal of building or preserving 20,000 affordable units by 2030.

A counterpoint to Portland's high affordable-housing vacancy and stalled pipeline — Atlanta is siting new subsidized units in a wealthy, transit-served neighborhood as part of a citywide production target.

Chicago leaves a year-old park encampment in place because it has nowhere to move 30 residents

Nadig Newspapers · 2026-08-04

About 30 people live in the Eugene Field Park encampment on the Northwest Side, which the Chicago Park District will not clear because it does not meet removal criteria and there is no housing to move people into. The city spends about $235,000 a year to maintain the site; a state representative separately secured a $13 million grant for a nearby 30th Ward shelter.

The mirror image of Portland's camping-ban sweeps — Chicago is leaving an encampment in place explicitly because it lacks the shelter and housing to relocate residents.

Chicago neighbors battle more than a year of encampment trash a no-sweep policy leaves in place

WGN-TV · 2026-08-04

WGN Investigates documents the same Northwest Side park encampment from the neighbors' perspective, focusing on more than a year of accumulating trash and frustration that the tents cannot be removed under Chicago Park District policy. It pairs with the Nadig report as the resident-facing account of the standoff.

It shows the neighborhood-pressure side of a no-sweep policy — the political friction Portland faces too, but here arising from a city that is not clearing camps rather than one that is.

National Policy & Trends

Proposed CRA overhaul would drop ~430 banks from the investment test that underwrites most housing tax credits

Next City · 2026-08-03

The OCC and FDIC released a proposed Community Reinvestment Act overhaul on July 31 that would raise the large-bank threshold from $1.6 billion to $10 billion in assets, dropping roughly 430 banks from the CRA investment test. Because banks supply as much as 80% of the equity in the low-income housing tax credit market — upwards of $30 billion a year — advocates warn the change would shrink the LIHTC buyer pool. The public comment deadline is Sept. 29.

LIHTC finances roughly a third of U.S. apartment construction, so thinning the bank buyer pool would lower credit prices and stall affordable projects, especially in smaller and rural markets.

HUD's proposed work requirements could push working-poor assisted tenants into instability, Urban Institute warns

Urban Institute · 2026-08-03

HUD's proposed rule would let public housing agencies and project-based landlords impose work requirements of up to 40 hours a week and time limits as short as two years on nondisabled residents ages 18-61. Of 138 Moving to Work agencies allowed to try such policies, only 29 have; Urban warns the rules could raise homelessness risk amid a 7.2 million-unit shortage for extremely low-income renters.

The rule would let providers cut assistance to working-poor tenants who cannot escape the affordability gap within two years, raising homelessness risk during a record shortage.

New housing law gives disaster-recovery block grants their first standing authorization after years of delays

Resources for the Future · 2026-08-04

The 21st Century ROAD to Housing Act (enacted July 11) gives the CDBG-DR program its first standing statutory authorization, creating a permanent recovery fund and requiring faster formula allocations. RFF analysis of 2015-2024 data found HUD awarded $45.4 billion in CDBG-DR (average grant $423 million) but funds took an average of 27.5 months from disaster declaration to award; the law codifies that 70% of funds must benefit low- and moderate-income households.

It permanently anchors the second-largest federal post-disaster funding stream at HUD and aims to cut the multiyear delays that leave low-income survivors waiting.

As the new federal housing law takes effect, its impact hinges on state and local zoning reform

Institute for Progress · 2026-08-05

This analysis of the 21st Century ROAD to Housing Act — enacted July 11, the first comprehensive federal homebuilding law in decades — explains its 50-plus provisions tying federal dollars to local pro-supply zoning and permitting reforms. It cites Austin, which added 120,000 homes from 2015-2024 and saw median rent fall from $1,546 in 2021 to $1,296 by 2026, as the model the law seeks to scale nationally.

The first comprehensive federal homebuilding law in decades conditions billions on local reforms, so its payoff depends on whether states and cities modernize zoning now.

New VA policy can pay up to 10 months of rent for homeless veterans through 2027

Military.com · 2026-07-31

A VA policy effective July 29 lets VA medical centers cover up to 10 months of rent (within a two-year period), utilities, groceries, and transportation for eligible homeless or at-risk veterans, with payments made directly to landlords and vendors rather than as cash. The authority, implementing the Elizabeth Dole Act, runs through Sept. 30, 2027.

It gives VA staff flexible, direct-pay tools to prevent veteran evictions and housing loss through fiscal 2027.

HUD's Continuum of Care redesign puts 731 Iowans and $5.5 million in permanent-housing funding at risk

Des Moines Register · 2026-08-03

HUD's overhaul of its Continuum of Care program — shifting priorities away from Housing First and permanent housing toward transitional housing and treatment — puts an estimated 731 Iowans and $5.5 million in federal permanent-housing funding at risk, out of roughly $30 million in total Iowa CoC funding. Before the changes, Iowa spent more than 80% of its federal CoC funding on permanent housing.

It is a concrete local illustration of how the national CoC funding redesign threatens the permanent-housing model that Continuums of Care have relied on for decades.

On the Calendar