News

HUD Publishes Revision of Operations Notice for MTW Expansion

By: Steven Molinari, Policy Analyst

September 1, 2026 — Today, HUD published a revised Operations Notice for the Expansion of the Moving to Work (MTW) Demonstration program.

According to HUD, the MTW Operations Notice establishes requirements for the implementation and continued operation of the program. Since 2017, HUD has made numerous updates to the notice titled “Operations Notice for the Expansion of the Moving to Work Demonstration Program.”

In the latest revision, HUD makes several changes to the notice, which include:

General Changes

  • Changing the deadline to designate MTW agencies from 2022 to 2028;
  • Changing references from the “MTW Supplement” to the “MTW Plan-Expansion;”
  • Changing several areas of MTW Funding Flexibility.

Changes to Appendix I

  • Increasing the maximum work hours per individual to 40 hours per week;
  • Eliminating the Safe Harbor that set maximum hours per household;
  • Decreasing the required notice period for work requirements to three months;
  • Decreasing the minimum term of assistance to two years;
  • Eliminating the 10% limit on Local Non-Traditional activities;
  • Removing the requirement that stepped rent (rent that changes as household income change) be tied to unit size;
  • Allowing the Alternative Income Inclusions/Exclusions, Safe Harbor policy to apply to elderly and/or disabled individuals when there is no detrimental effect;
  • Eliminating language regarding the consideration of disparate impact.

Changes to Appendix II

  • Eliminating element to consider disparate impact in impact analyses.

The public comment period for this notice is open until November 2, 2026.

To view the full notice and or submit a comment, see here.

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