Overview
- U.S. District Judge Mary McElroy granted a preliminary injunction preventing HUD from changing Continuum of Care funding and said a written order will follow early next week.
- A coalition of 20 states and Washington, D.C., joined by local governments and nonprofits, sued to stop the late program overhaul under federal law.
- McElroy indicated HUD’s approach likely conflicted with the McKinney–Vento Act and criticized the agency’s withdrawn notice as appearing to evade judicial review.
- Plaintiffs say the shelved changes would sharply cut permanent supportive housing, steer money to transitional programs with conditions, and jeopardize housing for roughly 170,000 people.
- HUD said it remains committed to reforms in accordance with the law, while Maine officials said the order protects about 1,200 residents from losing housing.