State & Local News
New York State Awards Supportive Housing Contracts
March 25, 2026
On March 24, 2026, New York State announced a $42 million funding award to establish 200 units of scattered-site supportive housing across New York City, targeting individuals experiencing chronic homelessness and mental health challenges. This investment supports seven community-based organizations delivering integrated housing and mental health services in Brooklyn, Bronx, Manhattan, and Queens, advancing the Housing First model and state mental health initiatives.
- The funding is distributed through contracts with community organizations such as Options for Community Living, Comunilife Inc., and others, emphasizing scattered-site housing rather than congregate facilities.
- Procurement professionals should note the focus on integrated supportive services alongside housing, indicating opportunities for providers with mental health and social service capabilities.
- This initiative reflects New York State's strategic priority to address homelessness through housing stability combined with health services, signaling potential future procurements in this domain.
- Contractors and service providers operating in New York City should evaluate partnerships with awardees or prepare for upcoming solicitations aligned with Housing First and mental health support models.
Stable housing is the foundation of good health and wellbeing, and our $42 million investment in scattered-site supportive housing is a vital step toward ensuring that New Yorkers experiencing chronic homelessness have a place to call home.
— State Senator Brian Kavanagh
Supportive housing provides not just a safe home but also access to critical mental health services that help individuals remain housed and stay connected to the community.
— Assemblymember Jo Anne Simon
Access to housing can enable New Yorkers to get off the streets and connect with needed mental health services.
— Governor Kathy Hochul
Agencies
New York State Office of Mental Health, New York State Homes and Community Renewal, New York State Senate, New York State Assembly
Vendors
Options for Community Living, Comunilife Inc., CLUSTER, Venture House, ACMH Inc.
Contracts
$42 million