HUD PIH Notice § 2026-19

Special Attention of:                               Notice PIH 2026-19
Public Housing Directors
Public Housing Agencies that Administer             Issued: July 27, 2026
the Housing Choice Voucher Program
                                                    Expires: This notice remains in effect until
                                                    amended, superseded, or rescinded.

                                                    Supersedes: Notice PIH 2023-04

                                                    Cross References: Notices PIH 2019-20,
                                                    2020-28, 2021-26, 2025-08, and 2026-12


Subject: The Melania Trump Foster Youth to Independence Initiative

I.     PURPOSE
       This notice provides guidance on the process public housing agencies (PHAs) must
       follow to request targeted vouchers under the Melania Trump Foster Youth to
       Independence Initiative (FYI). This notice also sets forth the operating requirements for
       FYI. Through the FYI Initiative, HUD provides housing choice vouchers (HCVs) for
       youth eligible under the Family Unification Program (FUP), subject to funding
       availability. Throughout this notice, these vouchers are referred to as FYI vouchers.
       This notice supersedes Notice PIH 2023-04, Foster Youth to Independence Initiative, and
       makes the following major changes:

          Renames the program to The Melania Trump Foster Youth to Independence
           Initiative, in accordance with the Consolidated Appropriations Act, 2026; however,
           the acronym FYI used to refer to the program remains unchanged
          Revises the definition of “at risk of becoming homeless” for the purpose of
           determining eligibility
          Amends the process by which PHAs may apply for $38.2 million in new incremental
           voucher assistance
          Removes the cap on the number of FYI vouchers that a PHA can request each Federal
           fiscal year, subject to availability of funding
          Clarifies the process by which PHAs may voluntarily return FYI noncompetitive
           vouchers and associated funding that is no longer needed to HUD and that HUD will
           issue future guidance on HUD-initiated recapture of unutilized FYI noncompetitive
           vouchers that are no longer needed




                                          www.hud.gov
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                Describes how HUD will reallocate recaptured funding, in accordance with the
                 application process outlined in section XIV.
                Removes the utilization threshold submission requirement for the award of new
                 vouchers to PHAs currently administering FYI and/or FUP vouchers
                Encourages PHAs to proactively amend their administrative plans to facilitate
                 requesting FYI vouchers
                Clarifies the applicability of the mandatory and optional waivers and alternative
                 requirements established in Notice PIH 2025-08, Statutory and Regulatory Waivers
                 for FUP and FYI Vouchers

II.        BACKGROUND
           The Consolidated Appropriations Act, 2026 (Pub. L. 119-75, approved on February 3,
           2026), referred to hereafter as the “the 2026 Act,” made available $25 million in new
           incremental voucher assistance. The Full-Year Continuing Appropriations and
           Extensions Act, 2025 (Pub. L. 119-4, approved on March 15, 2025), referred to hereafter
           as “the 2025 Act,” authorized $25 million under the terms and conditions of the
           Transportation, Housing and Urban Development, and Related Agencies Appropriations
           Act, 2024 (division F of Pub. L. 118-42). The 2026 Act and the 2025 Act both provided
           that $25 million shall be available on a noncompetitive basis to PHAs that partner with
           public child welfare agencies (PCWAs1) to assist FUP-eligible youth under section 8(x)
           of the U.S. Housing Act of 1937 (42 U.S.C. 1437f(x)). HUD is making the funding under
           the 2026 Act available through this notice. HUD expects approximately $13.2 million in
           carryover from the 2025 Act will also be made available.

           The 2026 Act specified that assistance made available for this purpose shall be known
           and designated as The Melania Trump Foster Youth to Independence Initiative. As stated
           in section I., the acronym “FYI” used to refer to the program remains unchanged. The
           2026 Act also directs HUD to review utilization of the FYI vouchers awarded on a
           noncompetitive basis under the 2026 Act or any prior appropriations act and that any
           unutilized voucher assistance no longer needed based on such review shall be recaptured
           and reallocated through the noncompetitive process. HUD will make any funds
           recaptured through this process available through this notice or any superseding notice.

           Senate Report 118-70 (2024) directs HUD to maximize the availability of FYI vouchers
           based on the identified need and referrals for such assistance and directs HUD to ensure
           that the utilization thresholds for the FYI program do not inadvertently lead to delays and
           preclude identified youth from receiving FYI vouchers. Accordingly, this notice removes
           the cap on the number of FYI vouchers that a PHA can request (see section X.V.) and the
           utilization threshold requirement for requesting new FYI vouchers (see section VI.B.).

1
  Public child welfare agencies (PCWAs) are responsible under applicable State law for determining that a child is at imminent risk of placement
in out-of-home care, that a child in out-of-home care under the supervision of the public agency may be returned to his or her family, or that a
youth is at least 18 years and not more than 24 years of age and left foster care, or will leave foster care within 180 days, in accordance with a
transition plan described in section 475(5)(H) of the Social Security Act, and is homeless or is at risk of becoming homeless at age 16 or older.
For States that have privatized child welfare, the agency designated to conduct child welfare on behalf of the State may be considered a PCWA.
Federally recognized Tribes operating a foster care program are considered a PCWA under the FYI program and can therefore refer eligible
youth to the PHA for an FYI voucher and/or may serve as the PCWA providing supportive services.
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       Further, the Senate Report directs HUD to encourage PHAs to amend their
       Administrative Plans to facilitate requesting FYI vouchers. A PHA may establish an FYI
       program at any time. The benefit of proactively entering into a partnership agreement
       with a PCWA (via a Memorandum of Understanding (MOU) or a letter of intent (LOI))
       and making corresponding updates to its Administrative Plan is that the PHA will be able
       to immediately request FYI vouchers upon receiving a referral of an eligible youth, rather
       than needing to delay the request during these administrative processes. To maximize the
       availability of FYI vouchers, HUD encourages PHAs that do not already have an FYI
       program to consider taking proactive steps to make this resource available in their
       community.

       On April 9, 2025, HUD issued Notice PIH 2025-08, which provides new flexibilities to
       reduce barriers and increase opportunities for FYI and FUP voucher holders to secure and
       maintain housing stability. Through these flexibilities, FYI and FUP participants will
       have more time to secure decent and safe housing with their voucher, providing them
       with a platform to achieve greater self-sufficiency.

III.   ELIGIBLE PHA APPLICANTS
       The PHA must have an existing Annual Contribution Contract (ACC) with HUD for
       HCVs. Nonprofit administrators of HCV Mainstream Vouchers, which by statute are
       classified as PHAs solely for the purpose of administering HCV Mainstream Vouchers,
       are ineligible for FYI. Moving to Work (MTW) agencies must administer FYI vouchers
       consistent with the requirements described in this notice. HUD will not evaluate
       applications from ineligible applicants. Additional eligibility threshold criteria are
       detailed in section VI.

IV.    IMPACT ON AWARDS AND REQUESTS UNDER NOTICE PIH 2023-04
       Requests submitted to HUD by PHAs pursuant to Notice PIH 2023-04 prior to the
       publication of this notice do not need to be resubmitted. However, requests that were
       received prior to the publication of this notice that have not yet been funded will be
       reviewed in accordance with the requirements of this notice.

V.     FUNDING SOURCES
       The 2026 Act provides that, of the $30 million appropriated for FUP, $25 million shall be
       made available for FUP youth on a noncompetitive basis to PHAs that partner with
       PCWAs to identify FUP-eligible youth. HUD makes the full $25 million available on a
       noncompetitive basis through this notice. Additionally, HUD makes available
       approximately $13.2 million from carryover funds from the 2025 Act, for a total of
       approximately $38.2 million. As provided for in section 11303(4) of the 2025 Act, HUD
       utilized $25 million of carryover FUP funds, including those specified for FYI under the
       2024 Act, to address HCV and/or mainstream voucher shortfalls.

       Through this notice, HUD also reallocates any recaptured FYI assistance awarded on a
       noncompetitive basis and is no longer needed. If additional funding is made available for
       this purpose in further appropriation acts under the same terms and conditions, HUD may
       continue to make awards under this notice rather than issue a new notice. If an
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          appropriations act adds additional requirements or establishes new conditions regarding
          this funding, HUD will publish a revised notice.

           Subject to the following conditions, HUD will accept and process PHA requests for FYI
           noncompetitive vouchers under this notice on a rolling basis:

           A. Funding Remains Available
              HUD will use available funding as described above for FYI awards under this notice.
              This means eligible applications will be processed and funded until such funds are
              expended unless additional funds become available through future appropriations acts
              or the recapture of unused assistance (see paragraph B.).

           B. Recapture of FYI Assistance Awarded on a Noncompetitive Basis
              Through this notice, HUD will also reallocate any recaptured FYI assistance awarded
              on a noncompetitive basis.

VI.        PHA ELIGIBILITY THRESHOLD REQUIREMENTS
           A PHA requesting assistance under this notice must meet all the following eligibility
           requirements:

           A. Partnership Agreement
              PHAs applying for assistance under this notice must first enter into a partnership
              agreement with a PCWA. HUD strongly encourages adding other important partners,
              such as State or local governments (including schools), philanthropic and faith-based
              organizations, and the Continuum of Care (CoC),2 or a CoC recipient it designates, to
              the partnership. PHAs may establish an FYI program at any time and HUD
              encourages PHAs to work with their partnering PCWA to make the required
              corresponding updates to their Administrative Plans to facilitate requesting FYI
              vouchers. For example, a PHA may update their Administrative Plan to reflect
              specific policies for partnership structure and agreements, such as defining roles and
              responsibilities. PHAs may also collaborate with their partnering PCWA consistent
              with the provisions in Notice PIH 2025-08 regarding the timing of referral of youth
              leaving foster care. See more details regarding the form partnership agreements may
              take in section XII.

           B. PHA Eligibility Based on Utilization of Existing FYI and/or FUP Awards
              Senate Report 118-70 directs HUD to ensure that the utilization thresholds for the
              FYI program do not inadvertently lead to delays and preclude identified youth from
              receiving FYI vouchers. While the intent of the utilization threshold was to help HUD
              target FYI vouchers where they were most needed, HUD found that the utilization
              threshold caused some confusion for PHAs and other stakeholders and, in some
              instances, posed a barrier to PHAs being able to receive an FYI voucher for an

2
  A Continuum of Care (CoC) is the group organized to carry out the responsibilities required under 24 CFR part 578, composed of organizational
representatives, including nonprofit homeless providers, victim service providers, faith-based organizations, governments, businesses, advocates,
PHAs, school districts, social service providers, mental health agencies, hospitals, universities, affordable housing developers, law enforcement,
organizations that serve homeless and formerly homeless veterans, and homeless and formerly homeless persons, to the extent these groups are
represented within the geographic area and are available to participate.
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          eligible youth. Accordingly, this notice removes the utilization threshold for PHAs
          administering FYI and/or FUP vouchers to help streamline access to the FYI
          program.

          Nevertheless, HUD generally expects PHAs to utilize their existing FYI and/or FUP
          vouchers to serve eligible youth before requesting new FYI vouchers. If a PHA
          requests new vouchers despite having low FYI and FUP utilization and existing
          leasing capacity, HUD may require additional justification. A PHA’s justification
          may include, for example, data showing that all FYI and/or FUP vouchers have either
          been issued or leased up. A PHA may also justify its request for new FYI vouchers by
          demonstrating that the FYI and/or FUP vouchers that it has on hand are needed to
          meet other community needs (e.g., a PHA may want to hold a small number of FUP
          vouchers for families referred by the PCWA, hold a small number of FYI vouchers
          for youth referred through coordinated entry, or hold some of its existing FUP or FYI
          vouchers for a project-based voucher project). A PHA may also justify its need for
          new FYI vouchers if there are circumstances that prevent the PHA from being able to
          lease its existing FYI or FUP vouchers. HUD may deny a request if the additional
          information does not support the need for new FYI vouchers.

       C. Received Referral
          A request for assistance may not be made until the PHA has received a referral of an
          eligible youth from the partnering PCWA. If the PHA receives a referral from another
          organization outside the PCWA, the PHA must confirm eligibility with its partnering
          PCWA of the youth’s prior qualifying foster care involvement (see section VII.C.).

VII.   PCWA ROLES AND RESPONSIBILITIES
       The partnering PCWA must meet all the following requirements:

       A. Identify Eligible Youth
          The PCWA must have a system for identifying eligible youth within the agency’s
          caseload and for reviewing referrals from the PHA or a third party, such as a State,
          local governments (including schools), philanthropic, faith-based organizations, CoC,
          or a CoC recipient it designates.

       B. System of Prioritization
          Given the limited nature of this resource, the PCWA may need to implement a system
          of prioritization for eligible youth based upon level of need and appropriateness of the
          intervention. For youth still involved in the child welfare system, the PCWA should
          consider the young person’s permanency goals. The PHA must ensure any
          prioritization criteria for referral to FYI comply with Federal fair housing and civil
          rights requirements.

       C. Written Certification
          The PCWA must provide written certification to the PHA that a youth is eligible.
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       D. Supportive Services
          The PCWA must either directly provide or secure a commitment from partners for the
          provision of supportive services that are required to be offered to youth. PCWAs
          should consider creating partnerships with other community organizations that offer
          these supportive services.

VIII. REQUIRED SUPPORTIVE SERVICES
      Eligibility to receive funding under this notice to administer FYI vouchers requires the
      PCWA, as stated above, provides or secures a commitment for the provision of
      supportive services for participating youth to assist the youth in achieving self-
      sufficiency. The services listed in (A) through (E) below must be secured and made
      available for a period of 36 months to eligible youth receiving rental assistance through
      this notice. HUD encourages full participation in self-sufficiency services as appropriate
      for participating youth.

       A. Basic life skills information/counseling on money management, use of credit,
          housekeeping, proper nutrition/meal preparation, and access to health care (e.g.,
          doctors, medication, and mental and behavioral health services)
       B. Counseling on compliance with rental lease requirements and with HCV program
          participant requirements, including assistance/referrals for assistance on security
          deposits, utility hook-up fees, and utility deposits
       C. Providing such assurances to owners of rental property as are reasonable and
          necessary to assist eligible youth to rent a unit with a voucher
       D. Job preparation and attainment counseling (e.g., where to look/how to apply, dress,
          grooming, and relationships with supervisory personnel)
       E. Educational and career advancement counseling regarding attainment of GED and
          attendance/financing of education at a technical school, trade school, or college,
          including successful work ethic and attitude models

       The PHA or another partnering entity may provide some or all the supportive services if it
       has the resources and expertise to do so.

       Administrative fee reserves may be used to cover costs for the supportive services listed
       above (A-E) with HUD approval. Refer to Notice PIH 2026-12 for information on 2026
       Act provisions on administrative fees.

       PHAs may contact PIHFinancialManagementDivision@hud.gov and copy
       Miguel.A.FontanezSanchez@hud.gov with additional questions and to request approval
       to use their administrative fee reserves for this purpose.

       Notice PIH 2022-18 provides guidance on the use of HCV and Mainstream Voucher
       ongoing administrative fees for expenses related to assisting HCV and Mainstream
       Voucher families to lease units, including other eligible activities should the PHA have
       the resources available to do so.
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             In addition to the above required supportive services, the PCWA or other partners are
             encouraged to provide guidance to youth regarding accessing Federal, State, and local
             programs and services that further support their self-sufficiency and success.

IX.          YOUTH ELIGIBILITY
             The population eligible to be assisted with funding under this notice are youth certified
             by the PCWA as meeting the following conditions:

                  Has attained at least 18 years and not more than 24 years of age (have not reached
                   their 25th birthday);
                  Left foster care, or will leave foster care within 180 days,3 in accordance with a
                   transition plan, described in section 475(5)(H) of the Social Security Act; and
                  Is homeless4 or is at risk of becoming homeless at age 16 or older.

             In this notice, HUD changes the definition of “at risk of becoming homeless” to mean:

                  An individual or family who has an annual income below 50 percent of median
                   family income for the area, as determined by HUD, and meets one of the following
                   conditions:
                   o Is living in the home of another because of economic hardship;
                   o Has been notified in writing that their right to occupy their current housing or
                     living situation will be terminated;
                   o Lives in a hotel or motel and the cost of the hotel or motel stay is not paid by
                     charitable organizations or by Federal, State, or local government programs for
                     low-income individuals;
                   o Lives in a single-room occupancy or efficiency apartment unit in which there
                     reside more than two persons or lives in a larger housing unit in which there
                     reside more than 1.5 persons reside per room, as defined by the U.S. Census
                     Bureau;
                   o Is exiting a publicly funded institution, or system of care (such as a health-care
                     facility, a mental health facility, foster care or other youth facility, or correction
                     program or institution); or
                   o Otherwise lives in housing that has characteristics associated with instability and
                     an increased risk of homelessness, as identified in the approved Consolidated Plan
                     for the relevant jurisdiction.
                  A child or youth who does not qualify as “homeless” under this section, but qualifies
                   as “homeless” under section 387(3) of the Runaway and Homeless Youth Act (42
                   U.S.C. 5732a(3)), section 637(11) of the Head Start Act (42 U.S.C. 9832(11)), section
                   41403(6) of the Violence Against Women Act of 1994 (formerly 42 U.S.C. 14043e-
                   2(6), transferred to 34 U.S.C. 12291), section 330(h)(5)(A) of the Public Health

3
    Notice PIH 2025-08 established an alternative requirement extending from 90 to 180 days when an otherwise eligible youth may be referred.
4
    “Homeless” refers to the population included in the definition of this term at 24 CFR 578.3.
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           Service Act (42 U.S.C. 254b(h)(5)(A)), section 3(m) of the Food and Nutrition Act of
           2008 (7 U.S.C. 2012(m)), or section 17(b)(15) of the Child Nutrition Act of 1966 (42
           U.S.C. 1786(b)(15)); or
          Child or youth who does not qualify as “homeless” under this section but qualifies as
           “homeless” under section 725(2) of the McKinney-Vento Homeless Assistance
           Act (42 U.S.C. 11434a(2)), and the parent(s) or guardian(s) of that child or youth if
           living with her or him.

       This new definition of “at risk of becoming homeless” applies to all vouchers awarded
       under this notice. Further, this new definition must be used for all FYI noncompetitive
       vouchers awarded under the following notices upon turnover: Notices PIH 2020-28,
       2021-26, and 2023-04.

       This new definition does not apply to FUP or to FYI vouchers awarded competitively
       under the 2021 FYI-Competitive Notice of Funding Availability (FR-6400-N-41), the
       2022 FYI-Competitive Notice of Funding Opportunity (FR-6600-N-41), or the 2024 FYI-
       Competitive Notice of Funding Opportunity (FR-6800-N-41). Additional information
       about the definition of “at risk of becoming homeless” as used for FUP and FYI vouchers
       awarded competitively will be provided at a later date.

X.     LENGTH OF ASSISTANCE
       As required by statute, an FYI voucher may only be used to provide housing assistance
       for youth for a maximum of 36 months. However, youth who first lease a unit with an
       FYI voucher after December 27, 2020, the date of enactment of the Fostering Stable
       Housing Opportunities (FSHO) amendments, may receive an extension of the 36-month
       time limit of assistance for up to an additional 24 months if they meet the requirements of
       FSHO. See HUD’s FSHO implementation notice published in the Federal Register on
       January 24, 2022 (87 FR 3570).

XI.    ROLE OF THIRD PARTIES
       HUD strongly encourages participation of State, local governments (including schools),
       philanthropic, faith-based organizations, and the CoC, or a CoC recipient it designates.
       These parties may play a critical role in identifying eligible youth in the community at
       risk of or experiencing homelessness that are no longer part of the child welfare system.
       Further, these parties may provide or leverage supportive services on behalf of the youth.

       Youth who are part of the PCWA's active caseload do not have to be added to the CoC's
       coordinated entry process, nor do youth identified by other third parties have to be added
       to the CoC’s coordinated entry, to be referred for FYI.

XII.   FORMS OF PARTNERSHIP AGREEMENT
       The partnership agreement may take the form of an MOU or LOI between the parties. If a
       PCWA is authorized under State law to contract out its functions and has done so, both
       the official representative of the PCWA and the official representative of the contractor
       organization must sign the MOU. At a minimum, the partnership agreement must clearly
       address the following:
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             A. Define Eligible Youth
                Define youth eligible to receive assistance under this notice using the criteria in
                section IX.

             B. Identify Supportive Services
                List the supportive services provided to eligible youth receiving rental assistance
                through this notice. All services in section VIII. must be provided for a period of 36
                months. The organization(s) to provide these services must be identified.

             C. Address PHA Responsibilities
                The following PHA responsibilities must be identified:

                       If the PHA uses the HCV waiting list: The PHA, upon receipt of a referral(s) from
                        the PCWA of an eligible youth, must compare the name(s) with youth already on
                        the PHA's HCV waiting list. Any youth on the PHA's HCV waiting list that
                        matches with the PCWA's referral must be assisted in the order of their position
                        on the waiting list in accordance with PHA admission policies. Any youth
                        certified by the PCWA as eligible and not on the HCV waiting list must be placed
                        on the waiting list (pending HCV eligibility determination). If the PHA has a
                        closed HCV waiting list, it must reopen the waiting list and place on the waiting
                        list an FYI applicant youth who is not currently on the PHA's HCV waiting list.
                        The PHA may reopen the waiting list to accept an FYI eligible youth without
                        opening the waiting list for other applicants. The requirements at 24 CFR 982.206
                        for giving public notice when opening and closing the waiting list apply.
                       If the PHA uses a separate FYI and/or FUP waiting list: If the PHA has a
                        separate FYI and/or FUP waiting list,5 FYI applicants must be placed on the
                        separate FYI and/or FUP waiting list. The youth may also be placed on the PHA’s
                        general HCV waiting list even though they are being placed on the separate FYI
                        and/or FUP waiting list. This facilitates the PHA’s selection of youth from the
                        general HCV waiting list upon expiration of the FYI voucher if necessary to
                        maintain stable housing.
                       Document that youth are informed of their eligibility for supportive services and
                        the duration of the availability of those services.
                       Amend the Administrative Plan in accordance with applicable program
                        regulations and requirements.

             D. Address PCWA Responsibilities
                The following PCWA responsibilities must be identified:

                       The PCWA must have a system for identifying eligible youth within the agency’s
                        caseload and review referrals from the PHA, and other important partners, such as
                        the State, local governments (including schools), philanthropic, faith-based
                        organizations, and CoC, or CoC recipient it designates, as applicable.

5
    Notice PIH 2025-08 describes an optional waiver where a PHA may maintain a separate waiting list for FUP and FYI vouchers.
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             The PCWA may have a system for prioritization of referrals to ensure that youth
              are prioritized for an FYI voucher based upon level of need and appropriateness
              of the intervention.
             The PCWA must provide written certification to the PHA that a youth is eligible.
              The certification must specify how the youth meets the eligibility requirement
              outlined in section IX.
             The PCWA must provide or secure a commitment for the provision of required
              supportive services.

       E. Address Third-Party Responsibilities
          Where other partners, such as the State, local governments (including schools),
          philanthropic, faith-based organizations, and the CoC, or a CoC recipient it
          designates, will be party to the partnership agreement, the responsibilities of the entity
          must be identified, such as:

             Whether the integration of the prioritization and referral process for eligible youth
              will be included in the third party or coordinated entry process, as applicable.
             Identify services, if any, to be provided using third party or CoC program funds to
              youth who qualify for third party or CoC program assistance.
             Make referrals of eligible youth to the PCWA.

XIII. VALUE OF VOUCHER
      The value of the FYI voucher is dependent on the Per Unit Cost (PUC) identified by
      HUD for the PHA. If a PHA has concerns regarding the sufficiency of the funding based
      on the PUC, the PHA can request higher funding within 12 months of the award’s
      effective date based on actual costs. Direct inquiries about PUC increases to PIH’s
      Financial Management Division mailbox at PIHConversionActions@hud.gov.

XIV. APPLICATION PROCESS
     PHAs must apply through the process described below.

       A. Content of the Application
          A PHA’s request for vouchers under this notice must be submitted via a completed
          DocuSign application. The application is available on the FYI webpage at
          https://www.hud.gov/hud-partners/public-indian-housing-fyi.

          The DocuSign version of the FYI form requests the following information:

             PHA code (exclude spaces when entering the PHA code, e.g., SA002)
             PHA name
             Name and contact information of the individual completing the form
             Primary PHA point of contact (POC) and information
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      Type of submission (new or an update to a prior submission)
      Name of partnering PCWA responsible for making eligibility determinations and
       referrals to the PHA
      Name of third-party partners, as applicable
      Name of entity(ies) providing the required supportive services
      Number of vouchers being requested in numeric form
      Identity of the eligible youth by code, alias, initials, or full name
      Upload of the funding application (Form HUD-52515) with only the first page
       completed

   Upon completion of all required DocuSign fields and uploaded documentation, the
   PHA is required to sign a certification stating it is complying with all submission
   requirements under this notice, including receiving certification of eligibility for the
   referred youth(s) named above and entering into a partnership agreement with the
   PCWA, and any third party(ies) it designates (as applicable).

B. Processing of Applications
   Before HUD approves a PHA’s request for assistance, the following must occur.

      Eligibility Review. HUD will review to verify that:
       o The PHA has submitted all required information identified in section XIV.A.;
         and
       o The PHA meets the eligibility requirements of this notice.
      Eligibility Determination. After reviewing the application, HUD will either:
           o Advise the PHA to modify its request, if necessary, to provide the
             information required in section XIV.A., or provide a justification in
             accordance with section VI.B.;
           o Deny the request if:
                  The PHA is not eligible under section III.;
                  The PHA does not have a partnership agreement with the PCWA, in
                   accordance with section VI.;
                  The PHA has not received a referral of an eligible youth from its
                   partnering PCWA;
                  HUD has requested that the PHA justify its request for new FYI
                   vouchers despite having low FYI and FUP utilization and existing
                   leasing capacity and determined that the information provided does not
                   demonstrate a need for new FYI vouchers, in accordance with section
                   VI.B.; or
                  HUD does not have funds available to fulfill the request.
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                                 If denied, HUD will notify the PHA by email; or
                           o Determine that the request meets the requirements of this notice.

           C. Funding Process
              Approved requests will be referred to PIH’s Financial Management Division (FMD)
              and Financial Management Center (FMC) for further processing. The funding process
              is intended to result in issuance of an amended ACC to the PHA to administer the
              FYI voucher(s) within 60 business days. FYI funds are not eligible for MTW PHAs
              to use flexibility through funding fungibility.

                In accordance with Notice PIH 2026-12 and any subsequent Funding Implementation
                Notice(s) for the HCV program with the same authorization as Notice PIH 2026-12,
                additional Special Fees may be provided for PHAs administering FYI vouchers.
                PHAs may use these funds to assist youth to lease units by conducting FYI initiative
                administrative activities, such as FYI landlord recruitment, housing search assistance
                activities, and landlord/tenant mediation activities, or other FYI expenses, such as
                owner incentives, retention payments, and security deposits. PHAs must follow
                requirements under Notice PIH 2022-18.

XV.       MINIMUM AND MAXIMUM REQUEST LIMITS DURING THE FEDERAL
          FISCAL YEAR
          A PHA’s minimum request size for FYI vouchers may be as small as one voucher. To
          ensure that vouchers are available where youth need assistance, HUD previously limited
          the number of FYI vouchers that a PHA may request in a Federal fiscal year to 50 FYI
          vouchers.6 Senate Report 118-70 directs HUD to maximize the availability of FYI
          vouchers based on the identified need and referrals for such assistance. Therefore, HUD
          is eliminating the cap of 50 FYI vouchers and the maximum number of FYI vouchers that
          a PHA may request will generally be the number of FYI referrals received minus the
          number of turnover FYI and/or FUP vouchers available to the PHA. As stated in section
          VI.B., PHAs are generally expected to use their turnover FYI and/or FUP vouchers to
          serve eligible youth prior to requesting new FYI vouchers and HUD may request that the
          PHA provide a justification if it requests new FYI vouchers despite having low FYI and
          FUP utilization and existing leasing capacity. HUD may deny a request if the additional
          information does not support the need for new FYI vouchers.

          An application for vouchers under this notice may not occur until the PHA has received a
          referral of an eligible youth from the partnering PCWA. The request for FYI vouchers
          must be based on a referral(s) of eligible youth.

XVI. RECAPTURE

           A. Voluntary Recapture
              If a PHA, after consulting with its partnering PCWA, determines that it no longer
              needs some or all of its FYI noncompetitive vouchers that it received either through
6
 An initial maximum cap of 25 FYI vouchers in the Federal fiscal year, with the ability to request up to an additional 25 FYI vouchers if the PHA
had validated VMS data showing at least 90 percent utilization of FYI vouchers.
                                                                                                    13


                  this notice or through previous FYI noncompetitive notices,7 the PHA may request
                  that such vouchers and any associated funding be recaptured and returned back to
                  HUD. The PHA may make this request at any time by emailing FYI@hud.gov,
                  FMC_Funding_Team@hud.gov, and the PHA’s respective FMC Financial Analyst.
                  Any recaptured amounts will be reallocated through the FYI Noncompetitive Process
                  set forth in this notice or any superseding notice.

             B. HUD-Initiated Recapture
                The 2026 Act provides that HUD will review PHAs’ utilization of FYI
                noncompetitive vouchers allocated through this notice or through previous FYI
                noncompetitive notices and recapture unutilized voucher assistance that is no longer
                needed. The 2026 Act further provides that HUD will reallocate any recaptured
                amounts through the FYI noncompetitive process set forth in this notice or any
                superseding notice. HUD will implement these provisions through guidance at a later
                date.

XVII. ADDITIONAL PROGRAM REQUIREMENTS
      The following program requirements also apply:

             A. Youth Failure to Use Voucher/Turnover
                Should a youth fail to use the voucher, the PHA must issue the voucher to another
                eligible youth if one has been identified.

                  PHAs must continue to use FYI vouchers awarded under this notice for eligible
                  youth upon turnover.

             B. Reporting
                PHAs must maintain a special program code for FYI voucher participants in line 2n
                of the Family Report (form HUD-50058), line 2p of the MTW Family Report (form
                HUD-50058 MTW), or line 2n of the MTW Expansion Family Report (form HUD-
                50058 MTW Expansion), as applicable. The special program code is “FYI.” PHAs
                must also properly record the date the PHA issues the voucher to youth and the date
                of admittance to the program. Lines 2b, for the effective date, and 2h must be used to
                report the date the PHA initially admitted the youth into the program. PHAs should
                also be responding to the homeless at the admission field (line 4c) of the form.

                  PHAs must also report leasing and expense information for these vouchers in VMS,
                  form HUD-52681B. The “Foster Youth to Independence – HAP and Leasing” or
                  “MTW Foster Youth To Independence HAP and Leasing” category, as appropriate,
                  must be used.

                  The total number of vouchers leased for all FYI vouchers awarded, including FYI
                  tenant protection vouchers (TPV) vouchers, should no longer be reported in the FUP
                  field. This went into effect in March 2022 for the February 2022 data submission.


7
    Notices PIH 2020-28, 2021-26, or PIH 2023-04.
                                                                                                14


       A. Administrative Plan
          The PHA Administrative Plan must be amended in accordance with applicable
          program regulations and requirements at 24 CFR 982.54. PHAs should ensure to
          include 24 CFR 982.54(d)(1), which addresses selection and admission of applicants
          from the PHA’s waiting list(s).

       B. Lead-Based Paint Requirements
          When providing education or counseling on renting housing that may include pre-
          1978 housing you must inform participating youth of their rights under the Lead
          Disclosure Rule (24 CFR part 35, subpart A) and the Lead Safe Housing Rule
          (subparts B, R, and, as applicable, F-M).

       C. Statutory and Regulatory Waivers
          Notice PIH 2025-08 establishes both mandatory and optional waivers, and alternative
          requirements for both FYI and FUP vouchers. These mandatory and optional waivers,
          and alternative requirements apply to FYI vouchers awarded under this notice.

XVIII. FYI TPV ADMINISTRATION
       Awards of FYI TPVs continue to be administered under the requirements of Notice PIH
       2019-20. This includes turnover requirements and the requirement to inform HUD when
       a youth does not use a voucher or leaves the program. FYI TPVs awarded under Notice
       PIH 2019-20 “sunset” when a youth leaves the program. This means that the PHA cannot
       reissue FYI TPV assistance issued under that notice to another youth when an initial
       youth exits the program. HUD does not have authority to allow the voucher to be used for
       a youth other than the one identified in the request.

XIX. POST-AWARD REQUIREMENTS AND ADMINISTRATION

       A. Regulatory and Administrative Requirements
          The General Administrative, National, and Departmental Policy Requirements and
          Terms for HUD’s Financial Assistance Programs and the General Statutory and
          Regulatory Requirements Affecting Eligibility for HUD’s Financial Assistance
          Programs are posted on the HUD Policies and Regulations webpage. To receive an
          award, you must adhere to the applicable requirements at the time of application. You
          must also adhere to the applicable requirements for the life of the award to remain
          eligible for the award.

          All recipients of Federal financial assistance are responsible for ensuring activities
          funded by Federal awards comply with existing and future executive orders and other
          Presidential actions as part of the administrative requirements, whether the recipients
          carry out those activities directly or use contractors or subrecipients. Review these
          directives on the White House’s Presidential Actions webpage.

          If any part or provision of the grant agreement or terms of this notice are enjoined or
          held to be void or unenforceable in any jurisdiction, they shall be ineffective as to
          such jurisdiction and only to the extent of such prohibition or enjoinment and shall
                                                                                               15


         not invalidate or affect the legality or enforceability of the remaining provisions and
         applications of the agreement and notice. In the event the enjoinment of such
         provisions is stayed, dissolved, or reversed, the full terms of the grant agreement and
         notice, including such provisions, will automatically become effective. This clause is
         self-executing and will become effective, binding, and enforceable automatically
         upon issuance of this notice.

      B. Remedies for Noncompliance/Termination
         HUD may terminate all or a part of your award as described under 2 CFR 200.340-
         343, including to the extent authorized by law:

            If an award no longer effectuates the program goals or agency priorities; or
            In the case of a partial termination, if HUD determines that the remaining portion
             of the award will not accomplish the purposes for which the HUD award was
             made.

         HUD may also impose specific conditions on your award or take other remedies as
         described by 2 CFR 200.339-343 if you do not comply with your award terms and
         conditions.

      C. Reporting
         Further, the recipient hereby acknowledges that HUD is in the process of
         implementing new grants management and reporting tools for all records pertinent to
         the Federal award. The recipient agrees to report on grant performance and financial
         activities (including vendor and cash disbursement supporting details for the recipient
         and its subrecipients) using these new tools when they are released and to satisfy
         occasional requests for records pertinent to the Federal award, consistent with the
         requirements for recordkeeping, access to records, and reporting laid out in 2 CFR
         part 200, which may be amended from time to time. HUD will work with the
         recipient to support its transition to the new reporting tools. HUD reserves the right to
         exercise all its available rights and remedies for any noncompliance with these grants
         management and financial reporting requirements, to include, without limitation,
         requiring additional or more detailed financial reports, suspension of disbursements,
         and all other legally available remedies, to the furthest extent permitted by law.

      D. Environmental Requirements
         In accordance with 24 CFR 50.19(b)(11) and (12), and 58.35(b)(1) and (2), activities
         funded under this notice are exempt or categorically excluded from environmental
         review under the National Environmental Policy Act of 1969 (42 U.S.C. 4321) and
         are not subject to environmental review under related laws and authorities.

XX.   PAPERWORK REDUCTION ACT
      The information collection requirements contained in this notice are approved by the
      Office of Management and Budget (OMB) under the Paperwork Reduction Act (PRA) of
      1995 (44 U.S.C. 3501, et. seq.). In accordance with the PRA, HUD may not conduct or
      sponsor, and a person is not required to respond to a collection of information unless the
                                                                                         16


      collection displays a currently valid OMB Control Number. The active information
      collections in this notice include OMB Control Number(s) 2577-0169.

XXI. CONTACT
     Direct questions about this notice to the Housing Voucher Management and Operations
     Division at FYI@hud.gov.




                                                 Benjamin Hobbs
                                                 Assistant Secretary
                                                  for Public and Indian Housing