Opportunity Information: Apply for CPD 2600 DC 0098
The FY26 Pathways to Removing Obstacles to Housing (PRO Housing) notice of funding opportunity is a competitive HUD grant program designed to push communities to lower the local regulatory and administrative hurdles that make housing slower and more expensive to build. The framing of the program ties directly to the March 13, 2026 Executive Order on Removing Regulatory Barriers to Affordable Home Construction, which argues that layered regulations, slow permitting, and mandates across levels of government have restricted development and driven up costs, putting homeownership and affordability further out of reach. In that spirit, PRO Housing is positioned as a reward-and-accelerate program: it prioritizes places that have already made real changes to zoning, land use, and permitting rules, and then gives them resources to go further by increasing the supply of affordable housing and expanding homeownership opportunities.
Funding comes from the Consolidated Appropriations Act, 2026, which provides $50 million total for this competition. HUD will administer awards using the Community Development Block Grant (CDBG) framework, meaning the program operates under familiar CDBG rules and priorities, especially the requirement that assistance primarily benefit low- and moderate-income people and households. Even though the program emphasizes regulatory reform and production outcomes, it still sits within the CDBG universe of eligible activities, compliance expectations, and the overall mission of community development and housing affordability.
To be competitive, applicants need to show three things HUD explicitly says it will look for in selecting grantees. First, they must demonstrate progress and a sustained commitment to eliminating local barriers that block affordable housing production and preservation, particularly through enacting or implementing less restrictive zoning, land-use, or permitting laws and regulations. Second, they must show an acute need for housing that is affordable to households below 100 percent of area median income, which is a relatively broad affordability band that includes many working households who are priced out in high-cost markets. Third, they must commit to creating new homeownership units before the end of the funding performance period, signaling that HUD expects tangible, unit-producing outcomes and not just planning or policy work.
HUD lays out four main goals for the FY26 competition. The first is to decrease the cost and increase the supply of affordable housing, with special emphasis on housing located in Opportunity Zones and in rural communities. The second is to remove barriers where doing so will predictably lead to more construction or rehabilitation, shorten the time it takes to bring units online, and unlock additional land that can be used for affordable housing. The third is to reward jurisdictions that have already enacted laws and regulations that are expected to increase affordable housing production and preservation, reinforcing the idea that this program favors demonstrated action rather than promises alone. The fourth is to increase opportunities for affordable homeownership by reducing administrative and structural barriers, aligning the competition with the broader policy priority of expanding ownership options, not only rental supply.
Eligible applicants are governmental and regional entities, including state governments, counties, cities or townships, and other eligible public bodies identified by HUD, specifically including Metropolitan Planning Organizations (MPOs) and multijurisdictional entities (with detailed definitions referenced in Appendix I of the NOFO). HUD also encourages coordination where jurisdictions overlap geographically, such as a county and a city within that county, suggesting that a unified regional application may be stronger than competing submissions that cover the same housing market. Individuals, foreign entities, and sole proprietorships are explicitly ineligible.
On key logistics, this is a discretionary grant opportunity (Funding Opportunity Number CPD 2600 DC 0098; CFDA 14.023). HUD anticipates making about 10 awards, with an award ceiling of $10,000,000. The application closing date is August 3, 2026 (original closing date listed), and the NOFO was created June 3, 2026. HUD also points applicants to its PRO Housing website for ongoing updates, FAQs, and webinars, which is often where clarifications and common compliance questions get answered as the competition progresses.
Finally, the NOFO includes an explicit reminder that PRO Housing funding is subject to the Administration’s Executive Orders on Ending Illegal Discrimination and Restoring Merit-Based Opportunity (dated January 221, 2025, as written in the provided text) and Ending Radical and Wasteful Government DEI Programs and Preferences (January 20, 2025). HUD states that PRO Housing funds may not be used to support what it describes as “illegal and immoral discrimination programs” associated with DEI, so applicants are expected to design programs and activities that align with those directives as part of overall eligibility and compliance.Apply for CPD 2600 DC 0098
- The Department of Housing and Urban Development in the community development, housing, oz sector is offering a public funding opportunity titled "FY26 Pathways to Removing Obstacles to Housing (PRO Housing)" and is now available to receive applicants.
- Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 14.023.
- This funding opportunity was created on 2026-06-03.
- Applicants must submit their applications by 2026-08-03. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
- Each selected applicant is eligible to receive up to $10,000,000.00 in funding.
- The number of recipients for this funding is limited to 10 candidate(s).
- Eligible applicants include: State governments, County governments, City or township governments, Others.
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FY26 PRO Housing (Pathways to Removing Obstacles to Housing) Grant - FAQs
What is the FY26 PRO Housing grant program?
The FY26 Pathways to Removing Obstacles to Housing (PRO Housing) notice of funding opportunity (NOFO) is a competitive HUD grant program intended to help communities reduce local regulatory and administrative barriers that make housing slower and more expensive to build. It is framed as a reward-and-accelerate program that prioritizes jurisdictions that have already made meaningful reforms (such as zoning, land use, and permitting changes) and supports them in going further to increase affordable housing supply and expand homeownership opportunities.
What is the policy context for this competition?
The program is tied to the March 13, 2026 Executive Order on Removing Regulatory Barriers to Affordable Home Construction. The NOFO description emphasizes that layered regulations, slow permitting, and mandates across levels of government can restrict development and raise costs, pushing homeownership and affordability further out of reach.
How much total funding is available?
The Consolidated Appropriations Act, 2026 provides a total of $50 million for this competition.
How many awards does HUD expect to make?
HUD anticipates making about 10 awards under this NOFO.
What is the maximum award amount?
The award ceiling listed is $10,000,000.
Is this a discretionary or formula grant?
This is a discretionary (competitive) grant opportunity, not a formula allocation.
What are the identifying numbers for this funding opportunity?
The Funding Opportunity Number is CPD 2600 DC 0098, and the CFDA number is 14.023.
When was the NOFO created and when is the application due?
The NOFO was created on June 3, 2026. The application closing date listed is August 3, 2026 (original closing date as provided).
Who is eligible to apply?
Eligible applicants are governmental and regional entities, including state governments, counties, cities or townships, and other eligible public bodies identified by HUD. The NOFO specifically includes Metropolitan Planning Organizations (MPOs) and multijurisdictional entities (with definitions referenced in Appendix I of the NOFO).
Who is not eligible to apply?
Individuals, foreign entities, and sole proprietorships are explicitly ineligible.
What is meant by "multijurisdictional entities" in this NOFO?
The NOFO indicates that multijurisdictional entities are eligible and references detailed definitions in Appendix I of the NOFO. The provided information does not include the full definition, but it signals that certain entities spanning more than one jurisdiction may qualify under HUDs definition.
Does HUD encourage joint or coordinated applications?
Yes. HUD encourages coordination where jurisdictions overlap geographically (for example, a county and a city within that county). The NOFO suggests a unified regional application may be stronger than competing submissions that cover the same housing market.
How will HUD administer PRO Housing funds?
HUD will administer awards using the Community Development Block Grant (CDBG) framework. That means the program operates under familiar CDBG rules and priorities, including the expectation that activities align with CDBG eligibility and compliance requirements.
Does the program require benefits for low- and moderate-income households?
Yes. Because PRO Housing is administered under the CDBG framework, the NOFO highlights the requirement that assistance primarily benefit low- and moderate-income people and households.
What are the three main things HUD says it will look for when selecting grantees?
The NOFO description identifies three selection focus areas: (1) demonstrated progress and sustained commitment to eliminating local barriers that block affordable housing production and preservation, especially through enacting or implementing less restrictive zoning, land-use, or permitting laws and regulations; (2) an acute need for housing affordable to households below 100 percent of area median income (AMI); and (3) a commitment to creating new homeownership units before the end of the funding performance period.
What kinds of local reforms are emphasized as evidence of progress?
The NOFO emphasizes reforms such as less restrictive zoning, land-use changes, and permitting laws and regulations that reduce barriers to affordable housing production and preservation.
What does the NOFO mean by an "acute need" for affordable housing?
The NOFO describes need in terms of housing affordable to households below 100 percent of area median income (AMI). This is characterized as a relatively broad affordability band that can include many working households priced out in high-cost markets.
Is PRO Housing only about planning and policy work?
No. While the program emphasizes regulatory reform, the NOFO also signals an expectation of tangible outcomes. In particular, applicants must commit to creating new homeownership units before the end of the funding performance period, indicating the competition is not intended to be limited to planning-only work.
What are the four main goals HUD lists for the FY26 PRO Housing competition?
The NOFO description lists four main goals: (1) decrease the cost and increase the supply of affordable housing, with special emphasis on housing located in Opportunity Zones and in rural communities; (2) remove barriers where doing so will predictably lead to more construction or rehabilitation, shorten the time to bring units online, and unlock additional land for affordable housing; (3) reward jurisdictions that have already enacted laws and regulations expected to increase affordable housing production and preservation; and (4) increase opportunities for affordable homeownership by reducing administrative and structural barriers.
Are Opportunity Zones and rural communities priorities in this competition?
Yes. One of the stated goals is to decrease cost and increase supply of affordable housing, with special emphasis on housing located in Opportunity Zones and in rural communities.
Does the NOFO prioritize jurisdictions that have already enacted reforms?
Yes. The NOFO frames PRO Housing as rewarding jurisdictions that have already enacted laws and regulations expected to increase affordable housing production and preservation, favoring demonstrated action rather than promises alone.
Does the program emphasize homeownership as well as rental housing?
Yes. The competition includes a specific goal to increase opportunities for affordable homeownership by reducing administrative and structural barriers, and it also requires a commitment to creating new homeownership units within the performance period.
How does the CDBG framework affect what activities can be funded?
The NOFO states that PRO Housing operates under the CDBG framework, meaning funded activities are expected to fall within CDBG-eligible activities and comply with CDBG rules and priorities, alongside the programs emphasis on regulatory reform and housing production outcomes.
Where can applicants find official updates, FAQs, and webinars?
HUD directs applicants to its PRO Housing website for ongoing updates, FAQs, and webinars. The NOFO description indicates that clarifications and common compliance questions are often addressed there as the competition progresses.
Are there executive order compliance restrictions mentioned in the NOFO?
Yes. The NOFO includes a reminder that PRO Housing funding is subject to the Administrations Executive Orders on Ending Illegal Discrimination and Restoring Merit-Based Opportunity (dated January 221, 2025, as written in the provided text) and Ending Radical and Wasteful Government DEI Programs and Preferences (January 20, 2025).
Can PRO Housing funds be used to support DEI programs?
The NOFO states that PRO Housing funds may not be used to support what it describes as "illegal and immoral discrimination programs" associated with DEI. Applicants are expected to design programs and activities that align with those directives as part of overall eligibility and compliance.
Does the NOFO indicate the performance period length?
The provided information does not state a specific performance period length, but it does indicate applicants must commit to creating new homeownership units before the end of the funding performance period.
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| Funding Opportunity |
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| Self-Help Homeownership Opportunity Program (SHOP) Apply for CPD 2600 DC 0019 Funding Number: CPD 2600 DC 0019 Agency: Department of Housing and Urban Development Category: Community Development, Housing, OZ Funding Amount: $12,000,000 |
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