Maryland Attorney General Anthony G. Brown has joined a coalition of attorneys general in suing the U.S. Department of Housing and Urban Development over changes to funding for permanent housing projects.
The lawsuit challenges a June 1 HUD funding notice that creates a $1.3 billion set-aside for new projects, including transitional housing. The coalition argues the change creates a de facto cap on funding for permanent housing through the Continuum of Care program.
The Continuum of Care program funds housing and services for people experiencing homelessness or housing instability. Most program funding has traditionally supported permanent housing and related projects.
According to the National Alliance to End Homelessness, the funding change could threaten housing for at least 97,000 residents nationwide. Maryland officials said as many as 2,000 Maryland residents could lose housing.
The lawsuit follows a separate case in which Brown and other attorneys general challenged HUD conditions on billions of dollars in Continuum of Care funding. A federal court in Rhode Island ruled against those conditions last month.
The states argue that HUD violated the Administrative Procedure Act by failing to use a notice-and-comment rulemaking process and by acting arbitrarily and capriciously. The coalition is asking the court to declare the conditions unlawful and block HUD from implementing them.
Joining Brown in the lawsuit are the attorneys general of Arizona, California, Colorado, Connecticut, Delaware, Illinois, Maine, Massachusetts, Michigan, Minnesota, New Jersey, New Mexico, New York, Oregon, Rhode Island, Vermont, Virginia, Washington and Wisconsin, along with the District of Columbia and the governors of Kentucky and Pennsylvania.
