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Democratic lawmakers and advocates are voicing grave warnings after the Trump administration on Thursday unveiled its plan to slash funding for long-term housing programs, cuts that could leave nearly 200,000 people at risk of becoming homeless.
The New York Times reported that the administration’s new proposal for Continuum of Care (CoC) funding “shifts billions to short-term programs that impose work rules, help the police dismantle encampments, and require the homeless to accept treatment for mental illness or addiction.”
“By cutting aid for permanent housing by two-thirds next year, the plan risks a sudden end of support for most of the people the Continuum places in such housing nationwide, beginning as soon as January,” the Times added. “All are disabled — a condition of the aid — and many are 50 or older. The document does not explain how they would find housing.”
Shortly before the administration released its plan, which was first detailed by Politico in late September, a group of more than 40 Senate Democrats wrote in a letter to Housing and Urban Development (HUD) Secretary Scott Turner that the administration “must immediately reconsider these harmful and potentially illegal changes that could result in nearly 200,000 older adults, chronically homeless Americans with disabilities, veterans, and families being forced back onto the streets.”
“HUD’s current path risks causing a dangerous spike in street homelessness,” the lawmakers wrote. “We implore you to make the better choice and expeditiously renew current CoC grants for fiscal year 2025 as authorized by Congress to protect communities and avoid displacing thousands of our nation’s most vulnerable individuals.”
A HUD spokesperson responded dismissively to the letter, telling Politico in a statement that “Senate Democrats are doing the bidding of the homeless industrial complex.”
The Trump administration’s cuts come after more than 771,000 people across the US experienced homelessness on a given night in 2024, an 18% increase compared to 2023 and the highest level ever recorded.
Ann Oliva, CEO of the National Alliance to End Homelessness, said in response to the Trump administration’s plan that “people all over this nation have overcome homelessness and stabilized in HUD’s permanent housing programs.”
“Many are just beginning that process and getting a shot at a new life,” said Oliva. “HUD’s new funding priorities slam the door on them, their providers, and their communities. Make no mistake: Homelessness will only increase because of this reckless and irresponsible decision.”
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