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New GOP bill would cut off housing funds to sanctuary cities defying Trump DHS

17 Jun 2025 By foxnews

New GOP bill would cut off housing funds to sanctuary cities defying Trump DHS

FIRST ON FOX: A new bill from congressional Republicans would halt housing grants to sanctuary cities like Los Angeles that do not comply with federal law and immigration authorities.

"Cities that encourage illegal immigration shouldn't be rewarded with federal housing subsidies," said Sen. Bill Hagerty, R-Tenn. "The Trump administration has made it clear that illegal immigration will not be tolerated anywhere in the United States, and cities that defy American sovereignty will face the consequences."

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Hagerty's bill, which he previously introduced last year with then-Sen. JD Vance, R-Ohio, would specifically target federal housing grants provided by the community development block grant program.

The decades-old grant program, which is run by the Department of Housing and Urban Development, provides a flow of grant funding each year to states, cities and counties to "develop viable urban communities by providing decent housing and a suitable living environment," according to the agency.

The measure comes amid a broader push by President Donald Trump to crack down on sanctuary cities that includes threats of revoking federal funding to those that do not comply with his administration's immigration agenda.  

Hagerty's bill, which is also being sponsored by Rep. Ralph Norman, R-S.C., in the House, comes as ongoing unrest and violence continue to rage in Los Angeles, as people take to the streets to protest ICE raids in the area and around the country.

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"It's simple: if you're going to ignore federal immigration law, don't expect to get a dime of federal tax dollars," Norman said.

"Sanctuary cities are putting politics over public safety, and that's unacceptable," he continued. This bill makes clear that cities choosing to harbor illegal immigrants at the expense of public safety will no longer receive taxpayer money."

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Their bill outlines that any sanctuary jurisdiction that has a law, local ordinance or policy that impedes or prevents the sharing of information that identifies the immigration status of individuals, or laws that block compliance with requests from the DHS would see the federal grant funding revoked.

The housing grants were already in the White House's crosshairs. Indeed, Trump's skinny budget that he unveiled to Congress last month included a provision that would nix federal community development block grants entirely. 

The program accounts for over $3 billion in grant funding at the federal level. The administration argued in its budget proposal that the community development block grant program "is better funded and administered at the state and local level."

In all, the president has proposed roughly $5 billion in cuts to community development programs. 

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