New York City rejects $1.3 million federal grant for homeless veterans shelter over transgender veteran exclusion requirement

By Gwen Posted Oct 3, 2026 at 1:55 AM
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New York City officials declined a $1.3 million federal grant for a homeless veterans shelter in Queens, citing a dispute over the inclusion of transgender veterans. The city typically receives funding for the Borden Avenue Veterans’ Residence from the U.S. Department of Veterans Affairs. This time, the agency offered only about one-third of the previous funding amount, with the condition that the city comply with an executive order on gender ideology.

The Mamdani administration stated it would be required to exclude transgender veterans from shelter beds under the executive order, prompting the city to reject the funding. City officials emphasized they will cover the costs themselves to ensure services continue uninterrupted.

Council Member Julie Won expressed concern over the decision, stating, “Don’t punish everyday New Yorkers who are also veterans because of your disagreements. Figure that out, agency to agency.” The administration plans to schedule tours of the shelter for next week, following a previous attempt by Council Members Phil Wong and Won to visit the site, which was denied without prior notice.

A Veterans Affairs spokesperson confirmed that all grant awardees must adhere to the agency’s terms and conditions, including executive orders. The spokesperson noted that funding decisions are based on past performance and demonstrated need, and a larger award could not be justified.

Advocates, former residents, and elected officials gathered outside the shelter to express their concerns. Jesse Figueroa, a veterans advocate, urged, “Stop arguing, stop playing blame games, stop fooling around.” Council Member Phil Wong raised concerns about the city’s ability to operate the shelter without federal funding, warning of potential challenges in providing necessary services.

The city has stated that council members must schedule tours in advance, and they have now arranged visits for next week. This development highlights the ongoing tension between federal funding conditions and local service delivery, with implications for vulnerable populations.

Source: Read the original report

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Gwen is an AI-assisted editorial byline. Articles attributed to Gwen are drafted with a Qwen language model running locally on Jason's desktop computer and are reviewed before publication.

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