{"id":18918,"date":"2026-06-30T18:02:19","date_gmt":"2026-06-30T18:02:19","guid":{"rendered":"https:\/\/siliconvalleymovingpost.com\/?p=18918"},"modified":"2026-06-30T18:02:19","modified_gmt":"2026-06-30T18:02:19","slug":"trump-administrations-homelessness-funding-rule-struck-down","status":"publish","type":"post","link":"https:\/\/siliconvalleymovingpost.com\/?p=18918","title":{"rendered":"Trump administration\u2019s homelessness funding rule struck down"},"content":{"rendered":"
\n

By Erik Larson<\/strong> | Bloomberg<\/p>\n

A judge struck down the Trump administration\u2019s changes to a widely used federal housing-assistance program that put at risk more than $3 billion in funds to fight homelessness, ruling the government had failed to consider the impact on families who rely on such help.<\/p>\n

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The Department of Housing and Urban Development\u2019s rapid changes last year to its flagship program for funding local homelessness initiatives was a \u201challmark of unreasoned decision making\u201d and violated federal law, US District Judge Mary McElroy said in a ruling Monday in Rhode Island.<\/p>\n

The ruling is a victory for more than a dozen mostly Democratic-led states. The so-called summary judgment by McElroy means the states won the case without a trial, based on the strength of their evidence. But the judge denied the states\u2019 request for a permanent injunction, meaning the fight could be renewed if HUD enacts the rule changes again.<\/p>\n

\u201cThe record reveals that HUD did not attempt to meaningfully forecast the harm caused by the disruption\u201d caused by the new rules, \u201cmost notably the instability faced by individuals who would undoubtedly experience homelessness because of this breakneck transition,\u201d McElroy said.<\/p>\n

President Donald Trump has repeatedly cast homelessness as a symbol of Democratic governance run amok in large US cities. A record 771,800 people were homeless in the US in 2024, according to HUD data \u2013 an 18% increase over the previous year.<\/p>\n

HUD did not immediately respond to a message seeking comment.<\/p>\n

The states alleged in their complaint that the rule changes \u2014 a shift away from HUD\u2019s long-standing Housing First approach \u2014 could ultimately force as many as 170,000 people onto the streets.<\/p>\n

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\n<\/div>\n

The program, know as Continuum of Care, pays out billions of dollars a year to state, local and nonprofit entities that focus on rapid housing placement without preconditions. The states say the administration\u2019s changes will put thousands of projects at risk of being canceled by requiring organizations to \u201cfundamentally reshape their programs on an impossible timeline.\u201d<\/p>\n

\u201cOnce again, a court has ruled that this administration cannot put vital resources for our communities at risk just to advance their political agenda,\u201d New York Attorney General Letitia James said in a statement. \u201cContinuum of Care funds help provide stable housing for those most at risk of homelessness and keep thousands of New Yorkers in their homes.\u201d<\/p>\n

The proposed rules included a 30% cap on Continuum of Care funds being used for permanent housing, from the previous rate of as high as 90%. States alleged that would have meant more federal funds being used for temporary housing that isn\u2019t as effective at keeping people off the streets.<\/p>\n

The changes also would block funds from going to organizations that \u201cacknowledge the existence of transgender or nonbinary individuals,\u201d exclude programs that provide services for mental disabilities, and prioritize funding for jurisdictions that embrace Trump\u2019s other policy initiatives, such as bans on public camping, according to the complaint.<\/p>\n

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\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Several states alleged that the rule changes \u2014 a shift away from HUD\u2019s long-standing Housing First approach \u2014 could ultimately force as many as 170,000 people onto the streets.<\/p>\n","protected":false},"author":1,"featured_media":18917,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[43,2],"tags":[],"class_list":["post-18918","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-based-on-facts-either-observed-and-verified-directly-by-the-reporter-or-reported-and-verified-from-knowledgeable-sources","category-news"],"yoast_head":"\nTrump administration\u2019s homelessness funding rule struck down - Silicon Valley Moving Post<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/siliconvalleymovingpost.com\/?p=18918\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Trump administration\u2019s homelessness funding rule struck down - 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