San Francisco joins national lawsuit to block HUD rules threatening housing support

San Francisco, California – San Francisco is suing the federal government over what it deems unlawful new requirements linked to essential homelessness assistance. City Attorney David Chiu said San Francisco has sued the U.S. Department of Housing and Urban Development (HUD) with seven other city and county governments, alleging the agency politically motivated criteria on grants supporting homeless housing.
At the center of the issue is the Continuum of Care (CoC) grant program, a major federal funding source that supplies San Francisco with more than $50 million each year. By financing services like permanent supportive housing, rental help, transitional housing, and crisis resources for those fleeing domestic abuse, this money supports initiatives meant to end homelessness.
Chiu claims the most recent round of HUD grant renewals include stipulations that reflect the ideological priorities of former President Donald Trump beyond what Congress has permitted. These include measures the city characterizes as anti-immigrant, anti-LGBTQ+, anti-choice, and anti-equity. Chiu underlined that these circumstances endanger lives by threatening programs supporting the city’s most vulnerable people as well as violate constitutional boundaries.
“HUD’s Continuum of Care grant program provides tens of millions in funding for housing and related services for thousands of our most vulnerable,” said City Attorney David Chiu in a statement. “These new grant conditions blatantly violate the Constitution and endanger people’s lives. This is part of Trump’s strategy to push his ideology by threatening local programs and budgets. We will continue to oppose these efforts and stand up in court for San Francisco’s values, funding, and communities.”
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This government help allows San Francisco to assist more than 1,400 households. Losing access to these funds might set off extensive evictions and limit access to essential supportive services at a time when the city is already under growing financial strain. Many of the people assisted by CoC-funded initiatives are coping with complicated problems including mental health concerns, drug abuse disorders, and long-term disability, so permanent housing and ongoing assistance are crucial for their welfare.
The lawsuit contends that the new grant conditions breach several fundamental rights including the Spending Clause, the Tenth and Fifth Amendments, and the Separation of Powers. It further contends that HUD’s activities violate the Administrative Procedure Act by imposing unapproved requirements via legislative or regulatory channels.
Apart from San Francisco, the lawsuit’s plaintiffs include various other municipal governments around the nation: Martin Luther King Jr. County in Washington, Santa Clara County in California, Boston, New York City, Columbus, Ohio, Pierce County, Washington, and Snohomish County, Washington. The case has been filed in the U.S. District Court for the Western District of Washington.
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Along with a court statement confirming the conditions are unconstitutional and illegal, officials from these jurisdictions are looking for an injunction to prevent HUD enforcing the disputed ones. The result of the case might for now decide not just the destiny of federal housing funding in San Francisco but also establish a precedent for how far the federal government can influence local policy under grant conditions.