A federal court in Rhode Island ruled late yesterday that the U.S. Department of Housing and Urban Development (HUD) and HUD Secretary Scott Turner violated the law through their “slapdash imposition of political whims” when approving new funding restrictions that would have unlawfully conditioned access to federal housing grants on compliance with the Trump-Vance administration’s partisan agenda.

The decision, issued by Judge Mary S. McElroy in National Alliance to End Homelessness v. Turner, et al., is a victory for the NAEH and Rhode Island’s Women’s Development Corporation, which filed a lawsuit last September challenging the grant restrictions. The groups are represented by Democracy Forward, National Homelessness Law Center, Lawyers’ Committee for Rhode Island, and the ACLU Foundation of Rhode Island

The lawsuit asserted that HUD’s newly imposed criteria for “Continuum of Care (CoC) Builds” grants were unlawful. This is the third time that HUD has issued this same grant opportunity, even after grant awards had already been announced to Congress. In doing so, HUD introduced extreme political criteria to the application.

Under the new funding application rules, service providers and communities were blocked from applying for federal housing funds for new permanent supportive housing for individuals and families experiencing homelessness if they operate in jurisdictions with policies the Trump-Vance administration disfavors. This includes states and cities with sanctuary protections and cities that fail to criminalize public camping. The new funding criteria also would have disqualified organizations that provide services considered “harm reduction,” such as drug injection sites, and those that have inclusive policies for transgender people.

Yesterday’s ruling declares the notice announcing the funding opportunities, the new political criteria used by HUD when deciding to issue grants, and a one-week application period for the grants all to be unlawful under the federal Administrative Procedures Act and orders the policies vacated and set aside. The court additionally ordered the already-appropriated funding to remain available for award under a new application process.

“The solution to homelessness is stable, predictable, permanent housing,” said Frank Shea, Executive Director of Women’s Development Corporation. “Organizations providing this housing also need fair, predictable programs that are free of politicized criteria. We are glad the court agrees. Our neighbors in need of housing deserve nothing less.”

“The Lawyers’ Committee for Rhode Island will continue to fight for Rhode Islanders whenever and however the Trump Administration threatens them with unlawful actions,” said Amy Romero, Chief Legal Counsel of Lawyers’ Committee for Rhode Island. “We are pleased with this court’s decision that recognizes that this Administration violated the law by imposing their political whims on federal funds intended to address the needs of individuals and families experiencing homelessness.”

“The federal government’s distortion of the grant process for blatant political and ideological gains put funding for life-saving services at risk,” said Steven Brown, executive director of the ACLU of Rhode Island. “We are extremely gratified that Rhode Island organizations like the Women’s Development Corporation will be allowed to receive federal funding thanks to the court’s decision."

The plaintiffs are represented by Kristin Bateman, Yenisey Rodríguez, Kristen Miller, and Robin Thurston from Democracy Forward; Amy Romero and Kevin Love Hubbard for the Lawyers’ Committee for Rhode Island; Antonia Fasanelli from the National Homelessness Law Center; and Lynette Labinger for the ACLU Foundation of Rhode Island .

Read the order here and the original filing here. Find quotes from the national plaintiffs and participating attorneys and organizations here.

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