The Senate Finance Committee on April 30, 2026, adopted its working document for House Bill 265 (mental health budget) and reported out a committee substitute that incorporates a $5,150,000 capital addition for a homeless assistance program; the measure advances with individual recommendations and technical-authority provisions.

Service providers, advocates and shelter directors from across Alaska told the House Finance Committee that cutting HAP would destabilize shelters and prevention services; many asked the committee to maintain FY '26 funding of $10,150,000.

The committee adopted the Senate committee substitute for HB 265 and voted without objection to add $5,150,000 for the Homeless Assistance Program, restoring a request from the Alaska Mental Health Trust; members praised cross-agency partnerships in Anchorage.

Continuum of Care leaders told a Juneau ‘lunch and learn’ that Alaska’s two CoCs manage HUD-mandated systems, and that statewide shortages — an estimated 27,000 units over 10 years and just 36 affordable units for every 100 extremely low‑income households — are the primary driver of homelessness, with overcrowding especially acute in rural communities.