Dec. 19 — A federal judge has barred the Trump administration from enforcing newly proposed restrictions on more than $3 billion in grants that fund permanent housing and services for people experiencing homelessness. The order preserves the current terms of the grants while the legal challenge continues. The ruling, reported by Reuters, temporarily prevents the administration from changing how these federal funds are distributed.
Judge Halts Trump Administration's New Conditions on $3 Billion Homelessness Grants
A homeless person sleeps on a bench near the National Mall after U.S. President Donald Trump federalized the Metropolitan Police Department under the Home Rule Act and deployed National Guard to assist in crime prevention in the nation’s capital, in Washington, D.C., U.S., August 15, 2025. REUTERS/Elizabeth Frantz
Dec. 19 (Reuters) — A federal judge on Friday blocked the Trump administration from imposing new restrictions on more than $3 billion in grant funding that supports permanent housing and related services for people experiencing homelessness.
What the Ruling Says
The court order prevents the administration from enforcing the newly proposed conditions on the grants while the underlying legal challenge moves forward. The funds affected are used to provide long-term housing solutions and supportive services to individuals and families experiencing homelessness.
Scope and Impact
Those grants are a major source of federal support for programs aimed at transitioning people out of homelessness and into stable housing. By blocking the new restrictions, the judge's action preserves the existing terms under which the funding is distributed, at least temporarily.
The decision, first reported by Reuters on Dec. 19, does not resolve the broader legal dispute; it instead bars immediate implementation of the administration's conditions while the case proceeds through the courts.
