Senator Ruben Gallego (D-AZ) spearheaded the filing of an amicus brief challenging the Trump Administration's attempt to divert funds from the Fair Housing Initiatives Program (FHIP).
The Context
In late August, U.S. District Judge Myong Jun blocked the Trump Administration from taking $46 million awarded to non-profit groups that investigate housing discrimination, arguing that the Department of Housing and Urban Development (HUD) failed to provide an adequate explanation for the diversion of funds.
With the case still being challenged, Sen. Gallego joined fellow Democratic Senators in filing an amicus brief in support of the judge's decision, writing, "Congress intended FHIP to foster a nationwide network of private organizations, like Plaintiffs, that can aid the federal government in uncovering and eliminating housing discrimination."
"HUD's July 2, 2026, Notices of Funding Opportunity ('NOFOs') endanger fair housing organizations and their vital work. The NOFOs deviate from FHIP's authorizing statute, decades of FHIP practice, and Congress's intent," the amicus continues. "For the first time since FHIP's codification in 1992, the FY2025 NOFOs provide no new awards for PEI or EOI—the lifeblood of fair housing organizations—nor do they fulfill existing multi-year PEI awards. These unprecedented actions have no lawful justification and would seriously harm the nation's fair housing enforcement infrastructure. The district court rightly vacated HUD's unlawful notices and directed funding to flow under the prior framework. HUD's request to stay that well-founded order should be denied."
Gallego vs Trump's HUD
This is not the first time Sen. Gallego has challenged reforms to HUD under Trump, writing against three proposals issued in May.
The first concerned dilutions to the disparate impact standard, which Gallego wrote would "ultimately make housing less equitable, less affordable, and less accessible for generations to come."
Second, he and Senator Mark Kelly (D-AZ) railed against proposals to cut funds to HUD's housing counseling programs, arguing, "Narrowing eligible counseling services and allowing funding gaps of this magnitude abandons Americans at the two moments they need help the most: when they are trying to buy their first home, and when they are at risk of losing it."
Finally, Gallego challenged tightened rules on rental assistance, saying, "The proposed rule would weaken the nation's social safety net without meaningfully addressing the fundamental barriers to workforce participation and economic stability."
