The Project Turnkey Act authorizes $1 billion in annual funding for states and local organizations to acquire, convert, and operate properties to combat homelessness and expand affordable housing.
Suzanne Bonamici
Representative
OR-1
The Project Turnkey Act establishes a $1 billion annual program to address homelessness and housing instability by providing flexible funding to states, local governments, and nonprofits. These funds support a wide range of activities, including the acquisition and conversion of properties into affordable housing, rental assistance, and essential supportive services. By streamlining requirements and expanding eligible uses, the program aims to rapidly increase housing capacity for vulnerable individuals and families.
Project Turnkey Act Authorizes $1 Billion Annually to Convert Vacant Hotels and Offices into Affordable Housing Through 2035.
The Project Turnkey Act is a massive $1 billion-a-year effort to turn empty buildings into homes. Running through 2035, this bill hands the Secretary of Housing and Urban Development (HUD) a serious war chest to tackle homelessness by getting creative with the real estate we already have. Instead of just building from scratch, the bill focuses on acquiring and retrofitting vacant motels, hotels, schools, and even empty office buildings to create non-congregate shelters and affordable rentals. For the person working two jobs who still can’t afford a security deposit, or the family living out of a car, this bill aims to create actual doors they can lock behind them.
From Vacant Desks to Living Rooms
The core of this plan is about speed and recycling. Under Section 2, the bill allows local governments and nonprofits to buy up properties that are sitting idle—think of that shuttered motel on the edge of town or a suburban office park that hasn’t seen a commuter since 2020—and flip them into housing. This isn't just about putting a roof over someone's head; it covers the 'supportive services' that make housing stick, like mental health counseling and job training. For a local small business owner, this could mean seeing a derelict property on their street finally being put to use, potentially stabilizing the neighborhood and reducing the number of people sleeping on the sidewalk.
Cutting the Red Tape
To get this money moving, the bill hits the 'fast-forward' button on typical government bureaucracy. Section 2 grants HUD the power to waive certain standard requirements of the McKinney-Vento Act and the Cranston-Gonzalez Act if it helps get the funds out faster. While it keeps the 'big' rules in place—like fair housing, environmental protections, and labor standards—it removes several technical hurdles like matching fund requirements. This means a cash-strapped city doesn't have to find its own millions just to qualify for the federal help. However, this flexibility is a double-edged sword: while it speeds things up, it also gives the Secretary broad discretion to decide what counts as an 'appropriate' use of funds, which will require some close watching to ensure the money actually reaches the people who need it most.
Who Gets the Keys?
The bill casts a wide net for who can receive help. It specifically targets 'qualifying individuals,' which includes people currently homeless, those at risk of losing their housing, and people fleeing domestic violence or human trafficking. It also explicitly includes homeless youth, ensuring that young people aging out of foster care or living on the streets aren't left behind. On the flip side, the money flows through a variety of 'eligible entities'—not just big state agencies, but also local nonprofits, public housing authorities, and community development financial institutions. If you’re a worker at a local housing nonprofit, this bill could mean a steady stream of funding for the next decade, allowing for long-term planning rather than the usual year-to-year scramble for grants.