New York City Mayor Zohran Mamdani’s administration is walking away from a federal program that houses homeless veterans rather than accept grant terms the city says would mean “excluding transgender veterans” from VA-funded beds.
The Department of Homeless Services (DHS) is exiting the VA’s Grant and Per Diem program as of October 1 after the award required compliance with Trump administration orders barring “gender ideology," according to The City Reporter.
City officials also complain the VA offered only a fraction of prior funding.
“The 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,” a DHS spokesperson told the outlet.
“As 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."
NEW: Mayor Zohran Mamdani’s admin is pulling out of a federal program meant to help veterans transition out of homelessness, saying the Trump admin would've required NYC to discriminate against trans vets seeking shelter to get the funding (via @THECITYNY) https://t.co/mC8NQWYJO9
— Andrew Giambrone (@AndrewGiambrone) September 24, 2026
The Borden Avenue Veterans Residence in Long Island City houses more than 200 veterans and was slated to keep 125 to 150 of those beds thanks to around $4 million in annual funding from the VA’s Grant and Per Diem.
To demonstrate how absurd the decision is, based on trying to protect woke gender ideology, let's run the numbers.
HUD’s (the U.S. Department of Housing and Urban Development) own count puts transgender veterans at about 0.3 percent of the homeless veteran population — roughly 110 people nationwide on a given night. At a 200-bed Queens shelter, that works out to maybe one resident, and Mamdani just walked away from 125 to 150 federally funded beds rather than risk “excluding” that one person — and he did it as the city heads into winter.
Mamdani Refuses Millions of Dollars for Homeless Vets Over Federal Rule To House Them Based on Biological Sex, Not How They Identify
— joe t (@jtinaglia) September 28, 2026
That money previously funded dozens of warm shelter beds as temperatures begin to drop. pic.twitter.com/iQ3n8zoce8
City Councilmember Joann Ariola (R-Queens) argued withdrawal from the grant program is unnecessary.
“This should not be an either-or choice,” Ariola told The City Reporter. “We can make sure transgender veterans have a place to stay without walking away from millions of dollars that could help other veterans in need.”
NYC, after all, is a right-to-shelter city. That one transgender individual would still presumably be entitled to that right.
The VA has countered city officials' claims, saying New York voluntarily withdrew after being told it would get less money and calling the discrimination claim “false.”
“VA has limited resources and distributes these awards based on past performance, demonstrated need and ability to provide high-quality service to veterans,” press secretary Quinn Slaven said. “With these factors in mind, VA evaluated the Borden Avenue facility and determined that it could not justify a larger award.”
The DHS spokesperson did acknowledge the funding cuts in their statement. So why argue it's about "excluding transgender veterans" other than to give a wink and a nod to the administration's woke base? Playing silly games while homeless veterans suffer seems reprehensible.