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flag 21 states sue Trump admin over shift from permanent to transitional homeless housing funding.

flag Twenty-one states and D.C., led by Pennsylvania Governor Josh Shapiro, sued the Trump administration on November 26, 2025, over HUD’s overhaul of the Continuum of Care program, which cuts permanent housing funding from 87% to 30% in favor of transitional services. flag The lawsuit claims the change undermines the “housing first” approach, imposes discriminatory eligibility rules, and exceeds executive authority by reallocating billions without Congress. flag Programs at risk include those serving LGBTQ+ people and individuals with mental health or substance use challenges, with over $100 million in Pennsylvania grants affected. flag The case is pending in federal court in D.C.

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