Overview

• U.S. District Judge Mary McElroy issued a temporary restraining order halting HUD’s new Sept. 5 criteria for awarding Continuum of Care funds.
• The ruling bars HUD from distributing $75 million under the disputed rules and prevents the funds from expiring on September 30 as the case proceeds.
• The lawsuit by the National Alliance to End Homelessness and the Women’s Development Corporation argues HUD exceeded its statutory and constitutional authority.
• The challenged criteria would penalize sanctuary jurisdictions and require applicants to affirm a statement about a sex binary, changes the judge criticized as rushed and unlawful.
• Justice Department attorney Joshua Schopf said HUD has broad discretion to set grant conditions, and HUD did not immediately comment as the case moves toward further briefing.