A group of nonprofits that receive federal grant money to help survivors of domestic violence a the unhoused sued the HHS and HUD. They alleged the agencies had imposed new conditions on their grants that prohibit the use of grant funds to promote, among other things, gender ideology and diversity, equity, and inclusion (DEI). The grantees requested an injunction, arguing the new conditions on their grants violated the Administrative Procedures Act (APA) and the Constitution.
The federal district court in Rhode Island agreed with the plaintiffs and joined HHS and HUD from imposing the new conditions. The court found the conditions likely violated the APA. The court reasoned the the agencies decision to implement these conditions was baseless and arbitrary. Moreover, the court found that these conditions violated the First Amendment in that the appeared to deny funding to a whole class based on viewpoint alone. Additionally, the court concluded that the new conditions were unconstitutionally vague in violation of the Fifth Amendment.
