NonprofitsLast Reviewed: June 2026GM-INS-136 // 10 min read // MAY 2026
Grants for Reentry Programs 2026: Second Chance Act, DOJ & Federal Funding
Federal investment in reentry programs exceeded $500 million in FY2026 across DOJ, DOL, SAMHSA, and HUD. This guide covers the major grant streams, who can apply, what services are funded, and how competitive awards are structured.
Quick Answer
The main federal grants for reentry programs are Second Chance Act grants (~$115M, DOJ/BJA), Reentry Employment Opportunities ($1–5M each, DOL), SAMHSA reentry behavioral health grants, and HUD Family Unification Program vouchers. Eligible applicants are state/local governments, nonprofits, and tribal organizations. Second Chance Act NOFOs are posted on Grants.gov under funding agency "Department of Justice" — search "Second Chance Act" for current competitions.
Second Chance Act: The Flagship Reentry Grant
The Second Chance Act (42 U.S.C. § 17501 et seq.) authorizes DOJ's Bureau of Justice Assistance (BJA) to award competitive grants for adult and juvenile reentry programs. In FY2026, Congress appropriated approximately $115 million for Second Chance Act programs — the highest funding level in the program's history.
BJA awards multiple grant categories under the Second Chance Act umbrella:
Adult Reentry Initiative: Core grant for comprehensive reentry services — housing, employment, substance abuse treatment, family support. Awards $750,000–$1.5M over 36 months.
Juvenile Reentry Assistance: For juvenile justice agencies and nonprofits serving youth under 25 exiting juvenile facilities.
Reentry Courts: Supports specialized reentry court dockets with intensive supervision and wraparound services.
Pay for Success Reentry: Pilot grants for outcomes-based reentry financing models.
All Second Chance Act NOFOs are posted on Grants.gov and bja.ojp.gov. Competition cycles typically open in the first quarter of the calendar year with applications due in March–May.
DOL Reentry Employment Opportunities (REO)
The Department of Labor's Reentry Employment Opportunities program funds workforce services for justice-involved individuals through competitive grants to nonprofits, workforce development boards, and local governments. REO is one of the few federal grants that directly funds employment training for people with criminal records — and it emphasizes measurable employment outcomes.
REO grants average $2–3 million over 3–4 years and fund: occupational skills training, paid work experience, on-the-job training, job placement services, and supportive services (transportation, childcare, clothing). Target populations include adults within 2 years of release from state or federal prison, adults on probation or parole, and adults with prior felony convictions.
SAMHSA Behavioral Health Reentry Grants
SAMHSA funds several grant programs that address the behavioral health needs of justice-involved individuals. Key programs in FY2026:
Grants for the Benefit of Homeless Individuals (GBHI): Funds treatment and housing services for homeless individuals with substance use or mental health disorders, many of whom are justice-involved.
Criminal Justice Behavioral Health Integration: Supports integration of behavioral health services into criminal justice settings — jails, prisons, and probation/parole.
First Responder/Co-Responder Programs: Diverts individuals with mental health crises away from incarceration through coordinated behavioral health response.
Frequently Asked Questions
What federal grants fund reentry programs in 2026?
The primary federal grants for reentry programs are: Second Chance Act grants administered by the Bureau of Justice Assistance (BJA) within DOJ, SAMHSA's Grants for Jail Diversion and Reentry programs, DOL's Reentry Employment Opportunities (REO) grants, and HUD's Family Unification Program (FUP). Most of these are competitive grants open to state and local governments, nonprofits, and tribal organizations. The Second Chance Act is the flagship program, appropriated at approximately $115 million in FY2026 and covering adult and juvenile reentry.
Who can apply for Second Chance Act grants?
Second Chance Act grants are available to state, local, and tribal governments; nonprofit organizations; and Indian tribal governments. For adult reentry grants, eligible applicants include state departments of corrections, county jails, probation/parole agencies, and community-based nonprofits providing reentry services. For juvenile reentry, eligible applicants include state juvenile justice agencies and juvenile corrections facilities. Faith-based organizations are also eligible as long as they meet secular grant requirements.
What services can Second Chance Act grants fund?
Second Chance Act grants fund a comprehensive range of reentry services including: transitional housing and housing navigation, employment training and job placement, substance abuse treatment, mental health services, education and vocational training, mentoring, family reunification services, and case management. Grants can also fund reentry planning services delivered inside correctional facilities (pre-release), community supervision support, and evaluation activities. Administrative costs are capped at 10% of the award.
What is DOL's Reentry Employment Opportunities (REO) program?
The Reentry Employment Opportunities program funds workforce development services for justice-involved individuals. DOL awards competitive grants to nonprofits, workforce boards, and local governments to provide job training, work experience, job placement, and supportive services to people recently released from incarceration or at risk of incarceration. REO grants emphasize sector-based training in industries with strong labor demand — healthcare, construction, manufacturing, and logistics. Grant amounts range from $1 million to $5 million over 36–48 months. Eligibility targets adults (18+) within 2 years of release or at imminent risk.
How does HUD's Family Unification Program support reentry?
HUD's Family Unification Program (FUP) provides housing vouchers (Section 8) specifically for two populations: families where children are in foster care or at risk of placement due to inadequate housing, and youth aging out of foster care. FUP vouchers are awarded to Public Housing Authorities (PHAs) through a competitive NOFA. For the justice-involved population, FUP is relevant because many people leaving incarceration also have child welfare involvement. PHAs partner with child welfare agencies to administer the vouchers. Individuals cannot apply directly to HUD — they must contact their local PHA.
Editorial Notice: This article was reviewed by the GrantMetric editorial team. Federal grant programs change frequently — funding amounts, eligibility, and deadlines are subject to annual appropriations. To report an inaccuracy, contact dev@grantmetric.com.
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This article was researched and written by the GrantMetric editorial team using primary sources: official federal Notice of Funding Opportunity (NOFO) documents, the Code of Federal Regulations (CFR), OMB Uniform Guidance (2 CFR Part 200), agency budget justifications, and direct data from the Grants.gov API. Program details — funding amounts, eligibility criteria, deadlines — are cross-referenced against the issuing agency's official website before publication.
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◆ Typical Federal Grant Application Timeline
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◆ Common Questions About Federal Grants
Who is eligible to apply for federal grants?
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Eligibility depends on the specific grant. Most federal grants are open to nonprofit organizations, universities, state and local governments, and small businesses. Some grants (like SBIR/STTR) are exclusively for small businesses, while others (like fellowships) target individuals. Always check the Funding Opportunity Announcement (FOA) for specific eligibility requirements.
How do I apply for a federal grant?
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To apply: (1) Register in SAM.gov and obtain a UEI number, (2) Register on Grants.gov, (3) Find a relevant Funding Opportunity Announcement (FOA), (4) Prepare your application package including project narrative, budget, and required forms, (5) Submit before the deadline. Allow at least 2–4 weeks for system registrations before your first submission.
Are federal grants free money?
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Federal grants do not need to be repaid, but they are not unconditional. Recipients must use funds only for the approved purpose, submit progress and financial reports, comply with federal regulations, and allow audits. Misuse of grant funds can result in repayment requirements and debarment from future federal funding.
How long does it take to receive a federal grant?
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The timeline varies by agency and program. Typically, from submission to award decision takes 3–12 months. NIH review cycles run about 9 months. SBIR Phase I awards may take 5–6 months. Some emergency or formula grants move faster. Budget for at least 6 months between application and funding receipt.
What is the difference between a grant and a cooperative agreement?
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A grant gives the recipient substantial independence to carry out the project with minimal federal involvement. A cooperative agreement involves substantial federal agency involvement in directing or participating in the project activities. Both provide funding that does not need to be repaid, but cooperative agreements require closer collaboration with the funding agency.
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