Kentucky State Seal

OFFICE OF GOVERNOR ANDY BESHEAR








*FOR IMMEDIATE RELEASE*




*Contact:  *

 

*Scottie Ellis
502-401-6933*
"[email protected]" <[email protected]>






Gov. Beshear: Trump’s Dangerous Policy Changes Will Increase Homelessness in Kentucky, Across Country

"$15 million in federal support at risk; Kentuckians could lose housing"

*FRANKFORT, Ky. (Nov. 25, 2025)* – Today, Gov. Andy Beshear joined leaders from 19 other states and the District of Columbia in a lawsuit [ [link removed] ] challenging the Trump administration’s decision to unlawfully end support through the U.S. Department of Housing and Urban Development (HUD), which will result in more homeless Kentuckians and Americans. The drastic policy changes would gut more than $15 million in federal funding to the commonwealth, putting 700 households at risk of returning to homelessness and 1,200 Kentuckians at risk of losing their housing.

“These illegal and cruel policy changes will cause more people – like veterans and families – to go homeless and make our communities less safe, with more people forced to live on the streets,” said *Gov. Beshear*. “We should be helping people get back on their feet through a safe place to call home, not barring them from any chance of success. These policy changes are wrong and dangerous, and they will set our commonwealth and country back.”

The lawsuit is focused on proposed changes to the Continuum of Care (CoC) program, which directs federal dollars to keep families with children, seniors, veterans and disabled persons housed. The changes would put a 30% cap on funding that states can receive for permanent supportive housing projects and would require states to re-apply for money previously approved by Congress and awarded in 2024. Without the changes, Kentucky expected to have its total award of over $21 million to keep people housed and to provide homeless services.

With a 30% cap, Kentucky would lose 70% of the more than $15 million currently approved that supports permanent supportive housing in 118 of the state’s 120 counties. The cap would also negatively impact more than $20 million in federal funding going toward rental assistance and supportive assistance for homeless Kentuckians.

Eight of the grants currently awarded are specifically for Permanent Supportive Housing (PSH), which serve around 324 Kentuckians, including 69 survivors of domestic violence and 205 individuals with at least one disability.

*Amanda Couch, CEO of Welcome House Inc.*, an organization that helps with housing services across Northern Kentucky, shared what is at risk if this grant funding ends: “In 2025, Welcome House has already served 99 households, 122 adults and 69 children through our two Rapid Re-Housing grants and six Permanent Supportive Housing programs. These grants, totaling nearly $2.4 million, are the backbone of housing stability across multiple rural regions in the Kentucky Balance of State. Behind every number is a real family – parents trying to keep their children safe, individuals living with chronic health conditions, and people who simply need a stable home to begin rebuilding. If this funding disappears, these households will be pushed back into homelessness, and communities will lose the very programs proven to reduce crisis system costs and improve long-term outcomes. The need will not go away, but without this funding, our ability to respond will be severely diminished.”

None of these requirements received Congressional approval, and they are in direct contrast to previous guidance.

The other states represented in the challenge are Arizona, California, Colorado, Connecticut, Delaware, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, New Jersey, New York, Oregon, Pennsylvania, Rhode Island, Vermont, Washington and Wisconsin, along with the District of Columbia.

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