Attorney General Kwame Raoul announced on Apr. 2 that a federal appeals court has rejected the U.S. Department of Housing and Urban Development’s request to impose new restrictions on grant funding for housing assistance programs, which could have limited access to long-term housing and services for many Americans facing homelessness or housing insecurity.
The decision is significant because it preserves vital federal support for those experiencing homelessness in Illinois and across the country. The ruling follows a legal challenge led by Raoul and supported by a coalition of attorneys general from several states, who argued that the proposed changes would negatively impact vulnerable populations.
“I am pleased with the court’s decision today to prevent the Trump administration’s illegal changes that would throw thousands of previously unhoused Illinois residents back into homelessness,” Raoul said. “Congress established vital grants to address the growing problem of housing insecurity; yet, the president continues to attempt to make illegal and illogical changes to housing programs that hurt our most vulnerable residents. I will not stand for these actions and will continue to push back with my colleagues.”
In November 2025, Raoul and attorneys general from 20 other jurisdictions filed suit against HUD after it changed its Continuum of Care program—the largest source of federal funding for homelessness assistance—by reducing available funds for permanent housing and placing new conditions on access. A preliminary injunction was issued in December 2025 by U.S. District Court Judge Mary McElroy, who found HUD’s actions would cause irreparable harm if allowed.
The appeals court affirmed this view, stating that implementing HUD’s planned restrictions would be “immediately destabilizing and disastrous” for affected constituents.
According to the official website, the Illinois Attorney General advocates for vulnerable groups such as workers, immigrants, seniors, handles thousands of consumer complaints annually, protects consumers’ rights, promotes safer communities, addresses environmental issues, extends advocacy statewide, partners with law enforcement in supporting crime victims and open government initiatives, and offers services like complaint filing related to consumer fraud or civil rights.
In Illinois alone during 2024, more than $182 million in federal funds were allocated through regional continuums of care programs aimed at addressing homelessness through various supportive services including permanent supportive housing. State-level funding has also increased significantly over recent years.
