Clarity Cast: How Communities Can Survive Federal Funding Changes

Clarity Cast by Bitfocus is our new webinar series that brings together leading voices in the fight against homelessness. Our inaugural episode, “Adapting to Federal Change to Protect Funding and Maximize Impact,” featured three top experts in the field:
- Tamera Kohler, CEO, Regional Task Force on Homelessness
- Cynthia Nagendra, Strategic Homelessness Solutions Consultant
- David Eberbach, Executive Director, Institute for Community Alliances
Here's what we learned from our expert panelists’ insights.
Understanding the Current Landscape
The panel addressed HMIS funding and community advocacy and gave actionable recommendations on how to succeed with both topics.
HMIS funding will survive proposed federal changes
The biggest concern for most communities centers on whether their data systems will have continued funding support.
Thankfully, the panel reassured attendees about HMIS funding.
Tamera Kohler explained that HMIS data has become deeply embedded in federal and state reporting requirements. Even if funding streams shift from CoC grants to state block grants through the Emergency Solutions Grant, the data infrastructure remains essential.
States already require HMIS for their own funding streams, and you can't report on previous grants without the historical data.
HMIS also provides accountability data that shows whether interventions work. Without it, federal agencies can’t make informed decisions.
The window for advocacy is narrowing
Most communities have more time than they realize before funding changes take effect. Communities are currently working with 2023-2024 funding and signing 2024-2025 contracts this year.
But that doesn't mean that CoCs should sit and wait.
David Eberbach emphasized that timing matters for advocacy. The moment to act is before proposed changes gain momentum in House committees.
Broaden your coalition beyond typical allies
Eberbach shared insight about expanding partnerships. He explained that recent uncertainty has sparked conversations with people who never engaged before.
Local chambers of commerce, downtown business associations, realtors, and foundations are asking questions about what happens if federal funding disappears. Beyond homelessness concerns, they’re also worried about healthcare cuts and rent burdens impacting their community.
Why not partner with these groups to advocate for change?
This larger coalition might open doors to elected officials who typically would not listen to homeless service providers on their own.
Suggestions for Strategic Responses
The panelists also offered concrete strategies communities can implement regardless of federal funding outcomes.
Create local investment stability
Communities with dedicated local funding sources weather federal budget changes better than those relying solely on federal grants.
The panelists pointed to two communities that have prepared for these changes.
- Miami-Dade County created a dedicated tax for homelessness response. This provides consistent revenue that doesn't depend on federal appropriations or competitive grant cycles.
- San Diego pulled $1.5 million in philanthropic funding for diversion programs. These dollars came from partners who asked how they could do more and put more money into proven strategies.
Spark innovation during uncertainty
During COVID, communities developed some of their most effective approaches because they had to move fast and think creatively.
Cynthia Nagendra suggested brainstorming in a similar way. Remove all constraints and encourage your team to imagine your ideal programs.
What would you create if you could start fresh? This thinking generates solutions even when circumstances remain uncertain.
If change is coming anyway, this moment offers a chance to design better approaches.
Flip your messaging strategy
When people see homelessness getting worse despite years of funding, they assume programs don't work.
That puts advocates on defense, frantically listing statistics about people housed and services provided. But these defensive responses confirm what critics already think: current approaches are failing.
Nagendra recommended a different approach.
Instead of justifying past spending, describe what success looks like for everyone.
When someone says, "Homelessness programs aren't working," respond with a more positive, "Here's what our community looks like when everyone has housing. Here's how we get there."
This shifts from defending homelessness programs to building support for more holistic, community-wide benefits, such as:
- Reduced emergency room visits
- Safer public spaces
- Stronger local economy
Protect client data
With uncertainty comes increased scrutiny and potentially problematic data requests. Kohler shared practical guidance from her border community experience. When someone requested HMIS data claiming public records access, her organization sought HUD clarification and pushed back appropriately.
Her team also avoids collecting unnecessary information like citizenship status.
The panelists gave additional advice about sharing client data:
- Make sure your team knows your organization’s protocols, especially for after-hours requests.
- Ask for a warrant.
- When in doubt, consult legal counsel before sharing anything.
Build on proven strengths
Although federal priorities are shifting, stay focused on housing people and improving community health.
Your HMIS system sits at the center of these efforts. It provides the accountability data that funders require, the performance metrics that demonstrate impact, and the coordination platform that makes efficient service delivery possible.
If you're curious how Clarity can support your community through these uncertain times, we'd love to chat with you about your specific needs and challenges.
What’s Next
Stay tuned for our upcoming Clarity Casts, a series of conversations featuring people who know what it takes to end homelessness and keep communities moving forward.
Thank you to all who joined our inaugural Clarity Cast webinar. Your questions, engagement, and shared experiences made for an incredibly rich conversation, and they will help shape future Clarity Cast topics.
Special thanks to our expert panelists who brought decades of combined experience and practical wisdom to help us navigate uncertainty with confidence.