New York Attorney General Letitia James has successfully obtained a court order preventing the Department of Housing and Urban Development (HUD) from implementing new funding restrictions that would impact services for individuals experiencing homelessness. The ruling, issued by the United States District Court for the District of Rhode Island, follows a legal challenge initiated by James, who was joined by 18 other attorneys general and the governors of Kentucky and Pennsylvania. This coalition aimed to contest policy changes introduced during the Trump administration, which threatened over $3 billion earmarked for the Continuum of Care (CoC) program.
The CoC program plays a vital role in supporting tens of thousands of individuals by providing essential housing and services to vulnerable groups, including families and veterans. In New York alone, 24 regional CoCs rely on more than $320 million in funding, primarily allocated to permanent housing programs that assist over 13,861 households. The proposed changes from the Trump administration would have significantly reduced funding for permanent supportive housing by approximately two-thirds, potentially impacting an estimated 170,000 individuals.
Impact of the Court’s Ruling
The court’s issuance of a preliminary injunction is a significant victory for those advocating for the rights of marginalized populations. It prevents HUD from enforcing new restrictions on funding for organizations that serve transgender and nonbinary individuals, as well as those addressing mental health needs. Attorney General James and the coalition argued that these proposed requirements were not only inconsistent with the Administrative Procedure Act but also exceeded congressional authority regarding federal spending.
This ruling allows current funding criteria to remain in place, ensuring that services for individuals experiencing homelessness continue uninterrupted. The coalition, which includes attorneys general from states such as Arizona, California, Colorado, and others, stands united in its opposition to the restrictive policies proposed by HUD. The governors of Kentucky and Pennsylvania have also lent their support to this legal challenge.
Next Steps in the Legal Battle
As the case progresses, the court’s ruling ensures that the proposed conditions will not be applied to CoC funding, allowing for continued support for critical services. The coalition is committed to advocating for the needs of vulnerable populations, emphasizing the importance of maintaining robust funding for programs that safeguard the well-being of those facing housing instability.
Attorney General James has reiterated the necessity of these funds, stating that they are essential for helping individuals who are at risk of homelessness. The legal challenge reflects a broader commitment to protect essential services and uphold the rights of those who depend on them. The outcome of this case may have lasting implications for housing policy and funding across the United States.
