16 Blue States Sue HUD to Prevent Defunding of Gender Ideology, Abortion

Fred Lucas •   March 17, 2026

A group of 16 Democrat state attorneys general sued to block the Trump administration’s policy on fair housing. 

The coalition, led by California Attorney General Rob Bonta and Illinois Attorney General Kwame Raoul, filed the lawsuit against the Department of Housing and Urban Development in the U.S. District Court for the Northern District of California, San Francisco Division. 

Last September, HUD’s Office of Fair Housing and Equal Opportunity issued funding guidance for the Fair Housing Assistance Program. The guidance barred funding for state and local agencies promoting gender ideology, and further withheld funding for state or local agencies that fund abortions, issue disparate impact studies, or promote or facilitate illegal immigration.

The Democrats’ lawsuit alleges the guidelines threatened to defund state and local agencies that enforce fair housing beyond what is specified in the seven protected classes under federal law. 

The Fair Housing Act bans discrimination based on race, color, national origin, religion, sex, familial status, and disability.

Several state and local agencies wanted to enforce the act’s protections for sexual orientation, gender identity, and criminal records, sometimes withholding aid—often pass-through federal funds—to housing or shelters they determined did not comply with these protections.

The lawsuit said the Trump administration’s guidance “dramatically undermines the program” and enforces a “narrow conception” of the Fair Housing Act protections.

Joining California and Illinois in the lawsuit are Arizona, Colorado, Connecticut, Delaware, the District of Columbia, Hawaii, Maine, Maryland, Massachusetts, Michigan, New Jersey, Rhode Island, Vermont, and Washington.

The blue state attorneys general allege the Trump funding conditions exceed HUD’s statutory authority and violate the spending clause by imposing vague conditions on federal grants.

HUD Secretary Scott Turner was dismissive of the legal challenge in a post on X.

“Leftist state attorneys general have run to a San Francisco courthouse in a desperate attempt to obstruct President [Donald] Trump’s America First agenda through political lawfare,” Turner said in the post.

“Their latest stunt will not succeed. As secretary, I will continue enforcing the Fair Housing Act as written and intended,” Turner added. “That is to ensure equal rights under the law, not extra rights for politically favored groups.”

California provides housing protections based on gender, gender identity, sexual orientation, marital status, ancestry, source of income, and veteran or military status.

“All levels of government—local, state, and federal—should be laser focused not only on building more housing, but also ensuring that everyone can access a home free from discrimination,” Bonta said in a public statement.

“Unfortunately, the Trump administration thinks otherwise. HUD, without legal authority, is effectively undermining state laws that offer stronger protections than federal law,” Bonta added.

“My fellow attorneys general and I are united in our answer: not on our watch. HUD’s guidance is unlawful and would only roll back the progress we’ve made to keep our families safe from discrimination that limits where they can live.”

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Fred Lucas
Fred Lucas | Senior Investigative Reporter
Fred Lucas is senior investigative reporter for the Daily Signal. He is the author of “The Myth of Voter Suppression: The Left’s Assault on Clean Elections.”
You can send tips to fred.lucas@dailysignal.com and follow him on X FredLucasWH
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