Federal Judges Rule Trump Administration Obligated to Use Contingency Fund for Food Assistance Payments, LIHEAP Funding Remains Stuck as Government Shutdown Reaches Day 34

By Kim Johnson, NLIHC Senior Director of Policy

Two federal judges issued rulings asserting the Trump Administration is legally required to use contingency funding for the U.S. Department of Agriculture (USDA) to continue at least partial assistance payments to recipients of the Supplemental Nutrition Assistance Program (SNAP). SNAP provides food assistance to about 42 million people with low incomes, about one in eight people in the U.S. As with housing assistance, the vast majority of those served by SNAP are families with children, people with disabilities, older adults, caregivers, students, and workers paid low wages. 

A federal judge in Boston issued a ruling on October 31 stating the Trump administration’s refusal to use USDA’s contingency fund to continue SNAP assistance is “contrary to law,” and calling the administration’s argument that they could not use the fund for SNAP payments during a government shutdown “erroneous.” The judge gave USDA until November 3 to provide a plan for how the department will issue at least partial payments to SNAP recipients.  

In a separate ruling later on October 31, a federal judge in Rhode Island granted the states and nonprofit agencies suing the Trump administration a temporary restraining order, effectively ordering the Administration to make at least partial payments to SNAP recipients. The judge in the second ruling gave the Trump administration until the end of the day on November 3 to make full payments to recipients, or until November 5 to come up with a way of administering partial benefits. 

November 1 marked a critical point on the ongoing government shutdown, now reaching its 34th day, and with no meaningful negotiations taking shape, expected to pass the current 35-day record for the longest government shutdown. Congress has not passed funding bills for fiscal year (FY) 2026, which began on October 1, or a continuing resolution (CR) to temporarily maintain funding for federal programs and services. Democrats are withholding support of a CR to pressure Republicans into agreeing to an extension of “Affordable Care Act” (ACA) tax credits slated to expire at the end of the year.  

Open enrollment for ACA coverage in 2026 began on November 1; without an extension in place, health insurance premiums are slated to increase an average of 114% from the previous year. 

Home Energy Assistance Payments Delayed  

The mass layoff of federal workers, and furlough of many remaining federal employees during the shutdown, is causing delays in the Department of Health and Human Services’ (HHS’s) ability to administer funding for the Low-Income Heating and Energy Assistance Program (LIHEAP). LIHEAP serves 6.2 million households with low incomes—many of whom are older adults, people with disabilities, families with children, and workers paid the lowest wages—helping them afford home heating and cooling costs.  

In April, the Trump Administration fired the entire staff responsible for administering LIHEAP to states. At the time, advocates expressed concern for how shutting down the LIHEAP office would impact HHS’s ability to distribute funds and respond to technical assistance or other requests from states. Remaining staff at HHS who would have been tasked with administering the program have been furloughed during the shutdown; as a result, there is effectively no one at HHS to get LHEAP funding to states to serve the people who rely on LIHEAP to cool their homes in the summer and keep them warm in the winter.  

In an October 27 letter, Representative Brian Fitzpatrick (R-PA) urged HHS Secretary Robert F. Kennedy, Jr. and Office of Management and Budget (OMB) Director Russell Vought to ensure that LIHEAP funding is distributed without delay, particularly as the winter months set in and temperatures drop.  

“I urge the Administration to prioritize continuous funding of the Low-Income Home Energy Assistance Program (LIHEAP) through the government shutdown,” wrote Rep. Fitzpatrick. “No household should have to choose between keeping their homes safe temperatures, basic health care, or having food on the table.” 

Shutdown Risks for HUD-Assisted Households   

Households who receive HUD rental assistance — including Housing Choice Vouchers, Project-Based Rental Assistance, and public housing — should have their rent paid at least through November. However, the longer a shutdown continues, the greater the risk to assisted households, and the greater the disruption to essential federal services and programs. The National Housing Law Project (NHLP) published two updated shutdown resources, one for tenants outlining the legal rights of households receiving HUD assistance, and the other providing an overview of the impacts of a government shutdown for legal aid attorneys.  

NLIHC will continue working with our partners to monitor the shutdown, its potential effects on HUD programs, and the people and communities they serve.