FAQ: Change to Tenant Portion
BUDGET DEFICIT
At this time, Home Forward has a $31 million dollar budget deficit. To continue operating our housing programs in the future, we need to take several cost-saving measures.
The budget deficit exists because the funding Home Forward receives to operate its programs has not kept up with program expenses.
Federal funding makes up about 70% of Home Forward’s budget. Over the years, federal funding has not increased enough to meet the increasing operating costs of our housing programs.
INCREASE IN TENANT RENT PORTION
One of the cost-saving measures that Home Forward plans to take is to increase the tenant rent portion for our federally subsidized housing programs. This will reduce the budget deficit by around $6 million. The rest will be addressed through other cost-saving measures.
A landlord charges a fixed amount of rent to the tenant, called “contract rent.” Based on the tenant’s income, Home Forward calculates how much of that contract rent Home Forward pays (the Housing Assistance Payment or HAP) and how much the tenant pays (tenant rent portion). The tenant portion of the rent is a percentage of the tenant’s income.
Tenants in the following programs are subject to this increase:
- Housing Choice Vouchers (Section 8)
- Public Housing
- Project-Based Voucher program
- VASH and other special purpose vouchers
Tenants in programs funded locally or through the Continuum of Care and soon-expiring federal program are not subject to this increase.
Those programs are:
- Shelter Plus Care and Project-Based Rental Assistance
- Regional Long Term Rent Assistance
- Emergency Housing Vouchers
Tenants who live in Home Forward housing that is affordable, but not subsidized, are also not subject to this increase. “Affordable housing” is when the rent is set at specific limits but is not based on a percentage of the tenant’s income.
No earlier than February 1, 2027.
Your portion of rent is calculated as a percentage of your income. If you are subject to the increase, Home Forward will increase that percentage by no more than 3% of your income.
The exact increase in your portion of rent depends on your income and other factors. Home Forward will send you the new calculation of your portion of the rent 90 days before the change.
Example Rent Increase: In all examples, Home Forward subtracts the household’s utility allowance from the total tenant portion amount to get the total rent to the landlord
- Senior or Person with a Disability Household: If your total monthly income is $1,000 and your rent is based on 28.5% of your income, then your 2026 total tenant portion would be $285.
- If the tenant portion of rent is increased by 3% to 31.5% of your income, then your 2027 total tenant portion would be $315.
- Work-focused Household: If your total monthly income is $2,000 and your rent is based on 31% of your gross income, then your 2026 total tenant portion would be $620.
- If the tenant portion of rent is increased by 3% to 34% of your income, then your 2027 rent portion would be $680.
No. You pay your portion of rent the same way you always have. Only the amount will change.
Home Forward will send a notice 90 days before the tenant needs to start paying the new amount.
The notice will include:
- the new amount of the tenant rent portion
- the difference between the old and the new amount of tenant rent portion
- the date the new tenant rent portion goes into effect
We do not know. It may take more than one year to balance the budget. Future funding is unknown and operating costs continue to rise. We will know more as time goes on.
Report the change to Home Forward as soon as possible using the normal processes within your program. This increase may still apply to you, but a decrease in income could lower your tenant rent portion.
OTHER WAYS TO REDUCE THE DEFICIT
Home Forward already made several cost-saving measures in 2025 and 2026, including staff layoffs, staff furlough days, and reducing administrative and program costs. This increase to tenant portion of the rent is one of several additional measures Home Forward is planning for 2027. Home Forward is considering other additional measures including staffing impacts, lowering administrative and program costs, and changing agency operations.
Not currently. Home Forward is a public agency and even though fundraising is not strictly prohibited, it raises complicated legal and ethical issues.
For 2026, Home Forward did not approve rent increases for landlords participating in our project-based and tenant-based voucher programs as a cost-saving measure. However, we are not going to ask landlords to take on additional cost-saving measures at this time.
Yes. Home Forward sold two small properties and is exploring whether other properties or parcels of land could be sold without negatively affecting current tenants. We are also pursuing grants, loan forgiveness, and other funding opportunities.
STAYING CONNECTED & QUESTIONS
Home Forward has two leadership bodies that hold public meetings with time for public testimony.
- The Tenant Advisory Council (TAC) is made up of tenant leaders, and its purpose is to improve policies and programs at Home Forward. The TAC meets the last Tuesday of every month at 6 pm. You can learn more about the TAC and how to attend their meetings at: https://www.homeforward.org/tenant-advisory-council/
- The Home Forward Board of Commissioners (BOC) establishes Home Forward policy, approves the annual budget, and hires the Executive Director. The BOC meets every fourth Tuesday of the month at 5:30 PM (in November and December, the meeting is held on the third Tuesday). You can learn more about the BOC and how to attend their meetings at: https://www.homeforward.org/board-of-commissioners/
- Questions about your own rent or housing: Contact your Home Forward staff person
- As a reminder, your staff person will not know the exact amount of your new rent before you receive your written notice in the mail.
- General questions about the budget: Email budget@homeforward.org
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