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Trump administration can proceed with homelessness program overhaul, US court rules
The panel said HUD was likely to prevail on appeal, allowing $1.3 billion to be redirected from permanent housing to transitional grants.
- On Wednesday, the Boston-based 1st U.S. Circuit Court of Appeals cleared the way for the Trump administration to proceed with an overhaul of a $4 billion homelessness program by shifting funding away from permanent housing assistance.
- The Department of Housing and Urban Development aims to redirect $1.3 billion toward transitional housing and supportive services, departing from the housing-first model that prioritizes permanent placement without preconditions like sobriety or employment.
- U.S. District Judge Mary McElroy had twice blocked the changes in lawsuits brought by 22 mostly Democratic-led states and advocacy groups, but the appeals panel ruled the administration is likely to succeed in its legal arguments.
- HUD Secretary Scott Turner called the ruling a "win for taxpayers," while the court noted HUD faces a December 1, 2026 deadline to distribute Continuum of Care funds, underscoring the urgency for the stay.
- Advocacy groups, including the National Alliance to End Homelessness, warned the policy could "push 100,000 Americans into homelessness" by defunding permanent solutions; the panel included Democratic appointees U.S. Circuit Judges Lara Montecalvo and Seth Aframe, plus Trump-appointed judge Joshua Dunlap.
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Trump administration can proceed with homelessness program overhaul, US court rules
A US appeals court cleared the way on Wednesday for President Donald Trump's administration to reshape a $4 billion homelessness program by shifting funding away from permanent housing assistance toward temporary housing and supportive services.
·London, United Kingdom
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Total News Sources7
Leaning Left0Leaning Right1Center5Last UpdatedBias Distribution83% Center
Bias Distribution
- 83% of the sources are Center
83% Center
C 83%
R 17%
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