The federal government quietly transferred more than $3 million away from a homelessness program for veterans after officials claimed they could not find enough former military members eligible to receive the funding.Blacklock's Reporter says internal records obtained through Access to Information show Housing Minister Gregor Robertson’s department moved the money while warning the decision could spark backlash from veterans groups and housing advocates.“Lapsed funding is likely to generate negative stakeholder reactions considering persistent homelessness needs,” stated a February 27 briefing note prepared for the deputy minister.The memo, titled Unallocated Veteran Homelessness Program Funds 2025-2026, said the department had exhausted all options for distributing the money because organizations participating in the program struggled to identify veterans who met eligibility requirements or lacked the capacity to take on additional funding.“Organizations have struggled to identify eligible veterans experiencing or at imminent risk of homelessness,” the document stated.Officials did not explain why the unused funds were not redirected to the Department of Veterans Affairs, which operates an emergency grant program that has repeatedly reported funding shortages.The transferred amount — $3,017,014 — was nearly double the annual spending of the Veterans Emergency Fund, which provides rapid financial assistance for essentials such as food, shelter and clothing.That program offers tax-free grants of up to $2,500 for veterans in crisis. Internal departmental records have previously acknowledged chronic underfunding, forcing officials to shift money internally to keep the fund operating..A 2021 evaluation of the emergency fund included testimony from a Veterans Affairs employee who said the grants could mean the difference between life and death during harsh winter conditions.“I can use the Veterans Emergency Fund to provide a veteran a hotel room on a night when it is minus 40 and all the shelters are full,” the employee stated in the audit. “I could literally save their life.”Auditors found the emergency program was heavily oversubscribed. Of 2,576 funding requests submitted over a two-year period, 1,902 were approved, with many payments processed within 48 hours for urgent necessities.Case reviews showed 59% of applicants were homeless or dealing with addiction or mental health challenges. Most applicants were unmarried men under the age of 50.