CHICAGO – A federal judge has ordered the U.S. Department of Housing and Urban Development to temporarily halt changes to its Continuum of Care grant program after Attorney General Kwame Raoul and a coalition of 20 states and two governors challenged the changes in court, saying they were illegal and would leave tens of thousands without housing. The ruling prevents HUD from implementing new conditions that would reduce funding for permanent housing, penalize providers that support diversity, and restrict access to programs for people with mental health or substance use challenges. The lawsuit argued HUD violated congressional intent, ignored program timelines, and failed to follow required rulemaking procedures. In Illinois, 19 regional Continuums of Care received more than $182 million in 2024 to support permanent supportive housing, rapid rehousing, transitional housing, and other services, with state funding increasing 154% over the last two years to address homelessness.
Attorney General Raoul Secures Court Order Blocking HUD Changes That Could Leave Thousands Homeless
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