Court grants TRO to stop HUD from withholding grant money from PHA’s

Court grants TRO to stop HUD from withholding grant money from PHA’s

HUD’s threat against Public Housing Authorities places subsidized low-income housing tenants at risk

By Lynda Carson - October 20, 2025

Oakland, Ca. - A lawsuit (Case No. 25-cv-08859-JST), was filed by the Housing Authority of the City and County of San Francisco, et al., against HUD Secretary Scott Turner a.k.a. Eric Scott Turner, and HUD, to stop HUD from withholding grant money from our nation’s 3,300 Public Housing Authorities (PHAs).

A temporary restraining order (TRO) was granted by U.S. District Judge Jon S. Tigar, on October 18, 2025.

The Department of Housing and Urban Development (HUD) website says, “The Department of Housing and Urban Development (HUD) administers operating funds and capital funds provided by Congress to approximately 3,300 public housing agencies (PHAs) to house eligible low-income tenants.”

According to Court House News, reportedly, HUD funds un-frozen — “A federal court in California granted a temporary restraining order keeping the federal government from withholding grant money to public housing agencies if they do not comply with President Trump’s executive orders concerning DEI, immigration, abortions and “gender ideology,” ruling: “The circumstances here show at least serious issues going to the merits, a high likelihood of irreparable harm to plaintiffs, and little or no prejudice to the government.”

Additionally, according to court documents, in part they say, “Plaintiff public housing agencies bring this case against the U.S. Department of Housing and Urban Development (“HUD”) and HUD Secretary Scott Turner. They allege that HUD has imposed new, unlawful requirements on Plaintiffs to comply with current and future Executive Orders issued by the Trump administration relating to “diversity, equity, and inclusion”; “gender ideology”; immigration; and elective abortions (collectively the “HUD Grant Conditions”). The agencies must either certify that they will comply with said orders or lose federal funding that is necessary for them to maintain their operations. The earliest certification deadline occurs on October 21, 2025 at 5:00 p.m. Eastern Daylight Time.

Plaintiffs allege that these certification requirements are unlawful in that they violate the Separation of Powers Doctrine; violate the Due Process Clause of the Fifth Amendment; violate the Second Amendment; and violate the Administrative Procedures Act. Plaintiffs allege they will suffer irreparable harm because they “are being compelled to agree to vague, ambiguous, and unlawful conditions at the risk of incurring financial penalties and legal liability, or giving up funds already awarded and, in many cases, accounted for in budget and project planning.”

Chicago Housing Authority lawsuit:

According to a different report, in part it says, “The Chicago Housing Authority (CHA) has filed a lawsuit against the US Department of Housing and Urban Development (HUD) over new policies designed to eliminate funding for diversity, equity, and inclusion (DEI) mandates.

According to the Chicago Sun-Times, CHA argued the forced termination of DEI policies could impact up to 13% of the agency’s annual budget. CHA stated it was unable to meet HUD’s Oct. 21 deadline for grant applications because the department “provided no additional information or clarification on these requirements” beyond quoting President Trump’s executive orders calling for an end to DEI government programs.

This lawsuit is intended to secure the future of funding for our 135,000 residents throughout the city of Chicago, including thousands of senior residents and children who rely on us,” said CHA Operating Chairman Matthew Brewer. “We are asking the court to step in and provide guidance on the lawfulness of the conditions HUD is seeking to impose. This intervention is a necessary last resort since our discussions with HUD have been limited due to the government shutdown.”

According to the website for the Council of Large Public Housing Authorities, in part it says, “The Council of Large Public Housing Authorities (CLPHA) is a non-profit organization that works to preserve and improve public and affordable housing through advocacy, research, policy analysis, and public education. Our membership includes more than 85 of the largest and most innovative public housing authorities across the country. The CLPHA membership collectively owns and manages nearly 40 percent of the nation’s public housing stock, administers more than a quarter of the Housing Choice Voucher program, and provides a wide array of other rental assistance. CLPHA members also make vital services available to the more than one million low-income households they serve in federally-assisted housing.”

And according to the Public Housing Authorities Directors Association (PHADA) website, in part it says, “PHADA’s 1,900 member housing agencies represent over 1.9 million low-income housing units throughout the United States.”

Additionally, during February of 2025, the Department of Housing and Development (HUD) announced that it cancelled $4 million in contracts promoting “diversity, equity, and inclusion.”

Reportedly, in a press release HUD Secretary Scott Turner said, "It is inexcusable the American taxpayer was footing the bill for the promotion of DEI propaganda.”

Lynda Carson may be reached at newzland2 [at] gmail.com

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