{"id":356183,"date":"2026-09-24T23:38:18","date_gmt":"2026-09-24T23:38:18","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/356183\/"},"modified":"2026-09-24T23:38:18","modified_gmt":"2026-09-24T23:38:18","slug":"nyc-ditches-federal-homeless-veterans-program-citing-concern-for-transgender-vets","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/356183\/","title":{"rendered":"NYC Ditches Federal Homeless Veterans Program, Citing Concern for Transgender Vets"},"content":{"rendered":"

Mayor Zohran Mamdani\u2019s administration is pulling out of a federal program meant to help veterans transition out of homelessness, alleging the Trump administration would have required New York City to discriminate against transgender vets seeking shelter to receive the funding.\u00a0<\/p>\n

But federal officials are denying that claim, and say the city walked away from the program after the veterans agency notified the Mamdani administration the city would receive less money than\u00a0it had in the past.<\/p>\n

The size of the funding discrepancy was not immediately clear, but the city will no longer participate in the U.S. Department of Veterans Affairs\u2019 Grant and Per Diem program as of Oct. 1, the start of the federal fiscal year. The Borden Avenue Veterans Residence shelter in Long Island City<\/a> has benefited from the program for nearly two decades and was not on the list of GPD grantees released last week<\/a>. The department announced $318 million in those grants to hundreds of organizations nationwide for three-year periods beginning next month.<\/p>\n

In response to The City Reporter\u2019s inquiries, the city Department of Homeless Services confirmed it is dropping out of the program \u2014 introducing uncertainty around future funding for the Borden Avenue shelter, which serves more than 200 veterans through a combination of federal and city dollars.<\/p>\n

\u201cThe agency did apply for the grant, but the U.S. Department of Veterans Affairs only awarded a small portion of the previous awards while requiring that the agency discriminate against certain veterans by excluding transgender veterans from seeking shelter in VA-funded beds,\u201d DHS spokesperson Neha Sharma said in a statement late Tuesday. \u201cAs a right-to-shelter city, we decided it was in the best interest of the veterans we serve to ensure access to shelter for all veterans experiencing homelessness.<\/p>\n

\"VeteransVeterans Day parade goers move up Fifth Avenue in Manhattan, Nov. 11, 2025. Credit: Alex Krales\/THE CITY<\/p>\n

\u201cThere has been no disruption to critical services for veterans residing at this site, and the city is actively assessing and planning next steps,\u201d she added.<\/p>\n

The city\u2019s longstanding right to shelter generally guarantees a bed for anyone who needs one. DHS did not directly answer specific follow-up questions, including how the VA was purportedly requiring the department to discriminate against trans vets and whether DHS raised any concerns about this with federal officials.\u00a0<\/p>\n

Quinn Slaven, press secretary for the VA, said in a statement that the city\u2019s allegation \u201cis false.\u201d<\/p>\n

\u201cVA has limited resources and distributes these awards based on past performance, demonstrated need and ability to provide high-quality service to veterans,\u201d he said. \u201cWith these factors in mind, VA evaluated the Borden Avenue facility and determined that it could not justify a larger award.\u201d<\/p>\n

An Aug. 7 letter obtained by The City Reporter and signed by the acting executive director of the VA\u2019s Veterans Health Administration said the city\u2019s grant would end on Sept. 30, as DHS had \u201cchosen not to pursue continuation of the grant.\u201d According to the VA, the city agency relayed that intention after U.S. officials provided a preliminary award amount for the next grant period.<\/p>\n

The revelations follow a cordial meeting between Mamdani and President Donald Trump at Gracie Mansion on Monday<\/a>, after which the mayor said they had spoken about \u201chow to improve the lives of New Yorkers,\u201d especially when it comes to the city\u2019s high living costs \u2014 a key driver of local homelessness.<\/p>\n

Lawmaker Demands Answers<\/p>\n

City Councilmember Joann Ariola (R-Queens) sent a letter Tuesday afternoon to DHS Commissioner Erin Dalton, demanding answers about the agency\u2019s decision to quit the GPD program.<\/p>\n

\"CouncilmemberCouncilmember Joann Ariola (R-Queens) attends a full Council meeting, Oct. 10, 2025. Credit: Ben Fractenberg\/THE CITY<\/p>\n

\u201cThe city has a responsibility to pursue every reasonable resource available to support our veterans,\u201d Ariola wrote. \u201cFederal funding opportunities should not be disregarded without a compelling, transparent justification, and the burden should not fall on veterans who depend on these services.\u201d<\/p>\n

Ariola\u2019s office estimates the current amount at around $4 million a year for between 125 and 150 beds. It is unclear whether the Borden Avenue shelter is the only city shelter that currently benefits from the GPD program.<\/p>\n

\u201cThis should not be an either-or choice,\u201d Ariola told The City Reporter in a statement Wednesday. \u201cWe can make sure transgender veterans have a place to stay without walking away from millions of dollars that could help other veterans in need.\u201d<\/p>\n

In her letter to Dalton, the councilmember requested a \u201cdetailed written response\u201d within two weeks about why the department was ditching the program, including supporting documentation and whether DHS \u201cintends to reconsider its decision and pursue future federal grant opportunities.\u201d<\/p>\n

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