UPDATE: In a twist in Nashville’s legal fight with the Trump administration, HUD has withdrawn its 2025 Continuum of Care Notice of Funding Opportunity — just minutes before a judge was set to hear the city’s request for a temporary restraining order.
Metro Legal Director Wally Dietz said this is a sign HUD knew it couldn’t defend its changes:
“In the face of our lawsuit, HUD recognized today it could not defend the indefensible; the 2025 CoC NOFO is contrary to law. By trying to withdraw the NOFO minutes before a hearing on a temporary restraining order, HUD admitted defeat, at least temporarily. The open question is whether HUD is just retreating to fight another day or is planning to reinstate the funding that was promised. We appreciate the Court's concerns about possible gamesmanship and will continue to fight for a court order that HUD must honor prior year commitments for this fiscal year. We will learn more when HUD responds in writing to our motion and the Court’s questions next Monday, December 15.”
Mayor Freddie O’Connell called the withdrawal good news, but far from a resolution:
“While I’m pleased the U.S. Department of Housing and Urban Development today withdrew the 2025 Continuum of Care Notice of Funding Opportunity that would have devastated our housing crisis resolution system for people experiencing homelessness, it’s not clear what HUD’s next steps are. I’ve asked our Department of Law to continue working to defend our programs. We’ll persist until we’re confident the federal government is upholding its funding obligations under the law.”The court will review HUD’s written response next Monday — a decision that will determine whether promised funding for Nashville’s housing programs is restored or if the legal battle continues.
ORIGINAL STORY:
Nashville is joining a national legal battle against the Trump administration over changes to a federal housing program that officials warn could force hundreds of people, including domestic violence survivors, to lose their homes.
Metro Nashville is leading a lawsuit with multiple other groups against the U.S. Department of Housing and Urban Development over what they call illegal changes to the Continuum of Care program. The lawsuit states the new rules undermine proven practices like Housing First — dating back to the George W. Bush era — by cutting their priority in funding decisions by more than 60%.
"This is a life-or-death situation," Nashville Mayor Freddie O'Connell said. "We are taking them to court to stop it."
The lawsuit argues that HUD is illegally trying to change the program. Metro's Legal Director Wally Dietz says the changes violate federal law because the government missed the June deadline to make such modifications.
"The federal government simply cannot lawfully pull the rug out from under us with this change. It's against the law. It's contrary to law, it's chaotic and it's cruel," Dietz said.
Nashville's mayor says around 10 local nonprofits will be affected, including Safe Haven and the Mary Parrish Center. The program helps non-profits provide housing for people experiencing homelessness, veterans, children, seniors and survivors of domestic violence.
Mary Katherine Rand, executive director of the Mary Parrish Center, described the severity of cases they handle.
"Among the 246 survivors and children that we housed last year all had experienced stalking. More than eight out of 10 had been strangled, and every single one believed their abuser was capable of killing them. This is who is at risk," Rand said.
Officials say if this funding disappears, 826 people in Nashville could be pushed back into unstable housing or forced onto the streets.
"Returns to homelessness are traumatic for families, especially the children who show increased rates of depression, anxiety and negative impacts on school attendance and performance," Safe Haven Chief Program Officer Grant Winter said.
HUD's new rules require cities to reapply for grants under stricter conditions. The scoring system gives preference to programs that require support services — like counseling or treatment — before providing housing.
However, under federal law, programs helping domestic violence survivors, like the Mary Parrish Center, cannot do that. Laws such as the Violence Against Women Act say the single most important thing is getting someone out of danger and into a safe environment.
At the Mary Parrish Center, Dietz says almost all victims choose to use health care, counseling and other supports — but they cannot make it mandatory. Under the new system, Dietz says the nonprofit would not receive funding.
"If they lose their funding, they have two choices, they can go back to their abuser, or they can go live on the street. And so it's not hyperbole to say that it could be a life and death situation there," Dietz said.
HUD is also penalizing those using a non-binary definition of sex.
HUD says the changes will restore accountability, promote self-sufficiency and align with the president's agenda.
Nashville received more than $11 million from the program last year. The rest of those grants were expected in January — but now, the earliest they will go out is next May.
Do you have more information about this story? You can email me at Patsy.Montesinos@NewsChannel5.com
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