AG Tong Joins Coalition Challenging HUD Fair Housing Actions
Summary
Connecticut Attorney General William Tong joined 16 other state attorneys general in filing a lawsuit against the Department of Housing and Urban Development (HUD). The lawsuit challenges HUD's actions that threaten to withhold funding from state and local fair housing enforcement agencies for adhering to state laws and for imposing illegal conditions on HUD funding.
What changed
Connecticut Attorney General William Tong, alongside a coalition of 16 other state attorneys general, has filed a lawsuit challenging actions taken by the Department of Housing and Urban Development (HUD) under the Trump administration. The core of the challenge is HUD's September 2025 guidance, which threatens to decertify and cut off funding to state and local fair housing enforcement agencies if they continue to enforce state laws protecting against discrimination based on sexual orientation, gender identity, language, criminal records, and source of income. The lawsuit also contests HUD's attempt to impose vague and unlawful conditions on program funding, arguing these actions undermine the Fair Housing Assistance Program (FHAP) partnership and will increase the costs and confusion associated with enforcing fair housing laws.
Regulated entities, particularly those involved in housing and fair housing enforcement at the state and local levels, should be aware of this legal challenge. While the lawsuit itself does not impose immediate new obligations, it signals a significant dispute over the scope of federal and state fair housing enforcement. Compliance officers should monitor the litigation's progress, as its outcome could impact funding and enforcement priorities for fair housing agencies. The attorneys general argue that the administration's actions are an unlawful attempt to weaken fair housing protections, which could lead to increased housing discrimination if successful.
What to do next
- Monitor the progress of the lawsuit filed by the coalition of attorneys general against HUD.
- Review state-specific fair housing laws and HUD guidance to understand potential impacts on enforcement and funding.
- Assess internal compliance policies related to fair housing to ensure alignment with both federal and state requirements.
Source document (simplified)
The Office of the Attorney General William Tong
Press Releases
03/17/2026
Attorney General Tong Joins Coalition Challenging Trump Administration Attack on Fair Housing Laws
(Hartford, CT) – Attorney General William Tong joined a coalition of 16 attorneys general filing a lawsuit challenging unlawful actions by the Department of Housing and Urban Development (HUD), including threats to withhold funding from state and local fair housing enforcement agencies for abiding by state laws and to impose illegal conditions on HUD funding. These actions threaten to weaken America’s fair housing enforcement system and undermine states’ ability to ensure equal access to housing. If unchallenged, discrimination in housing is almost certain to increase.
“People deserve fair access to safe, affordable housing regardless of who they love, how they identify, the language they speak or the rental assistance they may receive. But the Trump Administration is threatening to defund Connecticut and other states unless we allow landlords to discriminate based on sexual orientation, gender, language, source of income, and a bunch of other practices clearly prohibited under state law. We need housing to be more affordable and more accessible, and we’re suing to stop Donald Trump from making that even harder,” said Attorney General Tong.
Sixty years ago, Congress enacted the Fair Housing Act to address pervasive housing discrimination. Congress also created a robust partnership between HUD and state and local agencies, known as the Fair Housing Assistance Program (FHAP), to enforce this landmark civil rights law in tandem with state fair housing laws. The FHAP has had strong bipartisan support in Congress and stable funding since it was established in 1980.
In their lawsuit being filed today, Attorney General Tong and the coalition allege that the Trump administration is seeking to illegally undermine this partnership by attacking states’ ability to combat housing discrimination under their own democratically enacted state laws.
Through the FHAP, HUD refers allegations of housing discrimination to state and local partner agencies for investigation and enforcement. These agencies receive HUD funding, which they use to process housing discrimination complaints, train staff, and support community outreach and education.
In September 2025, HUD issued guidance to states, threatening to decertify them from the program and cut off funding unless they stop enforcing crucial protections against housing discrimination based on sexual orientation, gender identity, language, criminal records and source of income. The guidance also bars agencies from pursuing claims targeting housing practices that may appear neutral but, in reality, are discriminatory and have a disparate impact on certain populations. In Connecticut and many other states, these fair housing protections are enshrined in state law.
In addition to the threat to decertify partner agencies, HUD is attempting to impose vague, ideologically motivated, and unlawful conditions on program funding.
In their complaint, Attorney General Tong and the coalition assert that the administration’s actions will raise the costs of enforcing state and federal fair housing laws in their states. They also argue that HUD’s vague conditions will sow confusion over enforcement.
The attorneys general note that this unlawful ultimatum comes after HUD gutted its own fair housing enforcement capabilities by slashing its headcount and significantly reducing the number of housing discrimination cases it charges. The agency also fired employee whistleblowers after they publicly sounded the alarm about its decimation of fair housing enforcement.
The coalition’s lawsuit alleges that HUD’s guidance violates the Spending Clause of the U.S. Constitution and the federal Administrative Procedure Act, which governs how federal agencies implement rule changes.
California Attorney General Rob Bonta and Illinois Attorney General Kwame Raoul are leading the coalition. Joining Attorney General Bonta, Attorney General Raoul and Attorney General Tong in filing the lawsuit are the attorneys general of Arizona, Colorado, Delaware, the District of Columbia, Hawaii, Maine, Maryland, Massachusetts, Michigan, New Jersey, Rhode Island, Vermont and Washington.
Twitter: @AGWilliamTong Facebook: CT Attorney General
Media Contact:
Elizabeth Benton
elizabeth.benton@ct.gov
Consumer Inquiries:
860-808-5318
attorney.general@ct.gov
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