Updating eligible uses for the essential needs and housing support program.

2025-2026 Regular Session Introduced by Noel Frame and 5 co-sponsors

Expands HEN to allow direct cash and flexible funding (debit cards, vouchers) for housing stability, including certain elderly/disabled transitioning from Social Security.

Effective date 7/27/2025.

Purpose

Update eligible uses and administrative rules for the Essential Needs and Housing Support (HEN) program and align HEN rules with programs funded from the Home Security Fund (HSF). The changes aim to increase flexibility for local providers to preserve housing stability for very low‑income, elderly, and disabled people, and to reduce administrative burden.

Key provisions

Expanded discretionary eligibility:

Commerce may use HEN funds to assist low- or extremely low‑income elderly or disabled adults who are transitioning off HEN and are receiving federal Social Security benefits but still have an immediate housing need. These individuals do not require a referral from DSHS.

Cash and flexible funding authorized:

HEN and HSF-funded programs may provide direct cash assistance when it addresses a need identified in the client’s housing stability plan. Direct cash may be delivered via debit cash cards.
Other flexible funding mechanisms are expressly permitted in addition to debit cards (e.g., transportation vouchers, gift cards, direct vendor payments).

Administrative rate alignment:

The maximum administrative allowance for HEN support entities is aligned with the HSF grantee rate (raising it from 7% to the HSF rate of 15%).

Verification and reporting changes:

Housing support providers must verify DSHS HEN referrals for rental assistance at least every 12 months (replaces the prior 3‑month reverification requirement).

Eligibility documentation changes:

The enacted bill removes statutory requirements that a HEN referral recipient must, in addition to other criteria, be a U.S. citizen or a lawful permanent resident (or otherwise “under color of law”) and must have furnished a Social Security number or application. (A House amendment proposal to reinstate those requirements was not adopted.)

Who is affected

Primary beneficiaries: people referred to HEN (those eligible under RCW 74.04.805), and—at Commerce’s discretion—elderly/disabled adults transitioning to federal Social Security with immediate housing need.

Service providers and local HEN support entities: will have greater flexibility in benefit delivery and a higher allowable administrative rate.

Department of Commerce and DSHS: adjusted roles for referrals, eligibility verification, reporting, and fund distribution.

Counties and community-based organizations that receive HEN/HSF grants.

Implementation and procedural notes

No new appropriation in the bill. A fiscal note was prepared.

Effective date: July 27, 2025 (90 days after adjournment as enacted; reflected in chapter law as PV).

The bill moved through Human Services, Early Learning & Human Services, and Appropriations; passed both chambers and was partially vetoed by the Governor.

Potential impacts

Increases program flexibility (cash and flexible funds) to meet individualized housing stability needs.

Raises allowable administrative funding for local providers (potentially reducing front-line dollars per dollar of appropriation but intended to align administrative support with other HSF programs).

Expands the practical reach of HEN to certain Social Security recipients transitioning from benefits, and broadens access by removing certain identity/SSN documentation requirements.

Bill