The Centers for Medicare & Medicaid Services (CMS) issued guidance and waiver approvals that broaden and clarify how states can use Medicaid funds to help pay for clinically appropriate, evidence-based services that address health-related social needs (HRSN), including affordable housing. States may use Section 1115 demonstrations to cover: 

  • Up to six months of transitional housing including rent;  
  • Pre-tenancy and tenancy-sustaining services, including tenant rights education and eviction prevention;  
  • One-time transition and moving costs, including security deposit, utility activation fees, movers, relocation expenses, application and inspection fees, fees to meet identification requirements, etc.; and 
  • First month’s rent, as a transitional service, among other housing supports.  

Read more from the Center on Budget and Policy Priorities.