This session will highlight the work of Oregon and Illinois in building capacity and financing the development of new fixed-site Permanent Supportive Housing (PSH) to meet the needs of vulnerable populations. Specific topics and strategies explored will include policy changes, legislation, and funding mechanisms aimed at increasing housing production, the impact of greater coordination across state government, and capacity building through the CSH-led Supportive Housing Institute. Presenters will discuss successful approaches, ongoing challenges, and potential lessons that may be replicated by other states, cities, and counties as they work to scale PSH.