FY 2026 FSS funding
HUD has released new guidance for FY 2026 FSS funding, including requirements that directly affect Multifamily PBRA owners. Notice PIH 2026-24 establishes the application criteria and funding process for the Fiscal Year 2026 Family Self-Sufficiency Grant Program. HUD issued the notice on September 9, 2026, and it supersedes Notice PIH 2025-24.
For owners already operating an FSS program, the biggest issue is timing. Applications must reach GrantSolutions by October 13, 2026, at 11:59 p.m. Eastern Time. HUD identifies this as the deadline for eligibility under the notice.
The funding supports FSS program coordinators who help participating residents pursue employment and financial goals. PBRA owners, pay attention to this notice now. Registration, participation data, funding requests, and required forms should not wait until the application deadline.
FY 2026 FSS funding includes $156.4 million
HUD is making $156.4 million in FY 2026 appropriations available for the FSS program. Recaptured funds from previous years may also become available. However, HUD says it does not anticipate funding availability for new FSS programs during this funding cycle. The primary opportunity is therefore for renewal applicants. Eligible programs funded during FY 2023, FY 2024, or FY 2025 may request renewal funding. Some renewal applicants may also qualify for expansion positions.
If you are a PBRA owners considering FSS for the first time, HUD will accept Statements of Interest from eligible new applicants. However, new programs would only receive consideration after requested expansion positions receive full funding. HUD also states that it does not anticipate funding new programs in FY 2026. Therefore, a new applicant should view the process differently from an existing FSS grantee.
For current grantees, the immediate task is preparing a complete renewal request. For prospective programs, the process can establish interest for future funding opportunities.
The period of performance for FY 2026 awards will be calendar year 2027, from January 1 through December 31, 2027.
FY 2026 FSS funding: What PBRA owners should review
PBRA owners should begin with their participation information. HUD uses participant counts to determine the number of eligible FSS coordinator positions. Generally, HUD requires 15 participants for a part-time position and 25 for one full-time position. A second full-time position requires 75 participants. Additional positions are added at intervals of 50 participants.
For PBRA owners, HUD uses self-certified participation information submitted through the 2026 Annual Survey. HUD may request additional information when necessary. PBRA owners also receive a different performance calculation in some circumstances. They do not have a full FSS Achievement Metric, or FAM, Score. Instead, HUD uses participation data to assign a FAM-P Score.
The calculation compares actual FSS participation with the minimum participation level HUD expects. HUD uses the higher of two measurements. One is the participation rate for calendar year 2024. The other is the average participation rate for calendar years 2022 through 2024. That calculation can matter for expansion funding.
Renewal applicants meeting participation requirements may request additional coordinator positions. HUD will distribute those positions according to funding priorities.
PBRA owners should also review whether properties included in an application have unresolved compliance concerns. HUD states that eligibility review occurs at both the owner and PBRA project levels. An owner may be ineligible because of previous participation issues involving the owner, principals, or affiliated entities.
HUD may also find applications involving troubled or equivalent high-risk PBRA properties ineligible. That can occur when unresolved compliance, management, or physical deficiencies are involved.
For joint applications, HUD allows an ineligible property to be removed in certain circumstances. The remaining applicant must still meet program requirements.
Funding requests, offsets and eligible costs
Renewal applicants must submit SF-424 and Form HUD-52651 with the funding request. The complete renewal application also requires Form HUD-2880. SF-LLL is required when applicable.
For FY 2026, HUD establishes a funding floor of $43,680 per eligible position. The funding ceiling is $197,200 per eligible position. Applicants may request the full cost of FSS coordinators, including salary and fringe benefits. However, owners should pay particular attention to HUD’s funding offset provisions.
HUD will review FY 2025 FSS expenditure data from eLOCCS after October 1, 2026. The agency will use that information when calculating certain FY 2026 funding offsets. HUD says all FSS grantees are subject to the offset process unless an exception applies.
This makes current grant spending an important part of renewal preparation. Owners should review their expenditure rates and confirm they draw eligible expenses appropriately.
HUD also limits how FSS grant dollars may be used. Funding generally covers salary and fringe benefits for FSS program coordinators. It may also include an allowable training stipend. Funding generally cannot support administrative expenses, participant direct services, or routine PBRA functions. Keep this in mind as you develop your funding requests.
What PBRA owners should do now
Owners planning to seek FY 2026 FSS funding should start by confirming their administrative access. HUD requires an active SAM.gov registration and active Unique Entity Identifier at application. Those credentials must remain active throughout the award. The practical checklist is straightforward:
- Confirm SAM.gov and UEI status.
- Confirm the correct GrantSolutions active Authorized Organization Representative.
- Review FSS participant counts in your 2026 Annual Survey participation information.
- Review FY 2025 expenditures and remaining grant funds.
- Determine eligible coordinator positions.
- Evaluate any expansion-position eligibility.
- Review properties for unresolved compliance or management concerns.
- Prepare SF-424, HUD-52651, HUD-2880, and SF-LLL when applicable.
- Submit the application by October 13, 2026, at 11:59 p.m. ET.
For PBRA owners, FSS is more than a grant application process. Effective administration connects resident opportunity with sound program operations.
Owners should review Notice PIH 2026-24 together with Notice PIH 2025-15 before making funding or program decisions. HUD specifically directs applicants to use both notices.
