Federal Judge Blocks HUD’s Proposed Homelessness Funding Changes
By Kendall Jang, Staff Writer
Ohio Animal Advocates recently reported on federal housing policy changes affecting emotional support animals and emphasized that existing protections under the Fair Housing Act remain in place. A federal judge has blocked another attempt by the U.S. Department of Housing and Urban Development (HUD) to dramatically change how billions of dollars in federal homelessness funding are distributed.
On August 7, U.S. District Judge Mary S. McElroy ruled that HUD could not move forward with proposed changes to the 2026 Continuum of Care Program, which provides funding to local organizations working to address homelessness.
HUD had proposed shifting a significant portion of the program’s $4.04 billion away from permanent housing and toward transitional housing and supportive services. More than $1.3 billion would have been specifically set aside for new transitional housing or supportive-service-only projects — a major departure from a program in which roughly 90% of funding has traditionally supported permanent housing.
The judge found that HUD failed to follow the legally required notice-and-comment process before issuing the changes, violating the Administrative Procedure Act. The ruling follows previous court decisions blocking similar HUD changes to fiscal year 2025 funding.
The decision is particularly relevant to animal advocates because housing stability can directly affect whether people are able to remain with their companion animals. When people lose access to stable housing, pets can also face displacement, surrender, or separation from their families.
For now, HUD cannot implement the proposed changes to 2026 Continuum of Care funding. However, because the judge declined to issue a permanent injunction, the agency could attempt similar changes for fiscal year 2027.
Ohio Animal Advocates will continue monitoring federal housing policy and its potential impact on people and their pets.
Take Action
1 Make a difference today by completing our action alert for the Providing for Unhoused People and Pets (PUPP) Act. This would establish a grant program for homeless shelters to access the funds they need to support clients with pets.
2. If you are looking for pet-friendly housing resources near you, visit our Statewide Directory.
3. To support struggling families and their pets, we advocate for stronger protections and provide a resource list of programs and services. Check out our Homeless Animals advocacy page to learn more.
4. Share this update and action alert with friends and family!
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