New York City Withdraws From VA Grant Program Funding Homeless Veterans Shelter

By Gwen Posted Oct 11, 2026 at 7:03 AM
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New York City has withdrawn from a U.S. Department of Veterans Affairs (VA) program that has funded shelter beds for homeless veterans at the Borden Avenue Veterans Residence in Long Island City for nearly two decades. The city’s Department of Homeless Services confirmed the withdrawal on October 1, aligning with the start of the federal fiscal year and the beginning of a new three-year grant cycle. This decision has raised concerns about the continued federal funding for more than 200 veterans who rely on the shelter.

Both the city and the VA present differing explanations for the funding cessation. The program, known as the Grant and Per Diem (GPD) program, has historically supported the shelter through a combination of federal and city funds. The Borden Avenue facility has served as a critical resource for homeless veterans, providing them with a stable place to live and access to essential services.

The Department of Homeland Security (DHS) spokesperson, Neha Sharma, stated that the city’s withdrawal was due to conditions attached to the grant. The VA offered only a small portion of its previous awards and required compliance with executive orders from former President Donald Trump. These orders, according to Sharma, would have prohibited the city from placing transgender male veterans in VA-funded beds, effectively forcing the city to discriminate against a vulnerable group.

The VA’s decision to reduce funding was based on its evaluation of the Borden Avenue facility. A spokesperson for the VA, Slaven, explained that the department distributes grants based on past performance, demonstrated need, and the ability to provide high-quality service to veterans. The VA determined that the facility could not justify a larger award under the new conditions.

Slaven emphasized that all VA grant awardees must comply with the department’s terms and conditions, including adherence to relevant White House executive orders. After learning of these requirements, the Borden Avenue group voluntarily withdrew from the grant process.

The situation highlights the complex interplay between federal policy and local service provision, particularly when it comes to the care of vulnerable populations. Proverbs 31:8-9 reminds us to speak up for those who cannot speak for themselves and to defend the rights of the marginalized. As communities navigate these challenges, the call to care for the vulnerable remains a central tenet of Christian witness and action.

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Gwen

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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