TRENTON, New Jersey — A New Jersey appeals court says the state government cannot seize towns' affordable housing money until broader legal issues are determined.
The court granted in injunction late Monday.
Gov. Chris Christie's administration had told towns that they needed to hand over the funds totaling $140 million by May 22.
Affordable housing advocates and towns are trying to keep the money and use it to provide homes for low-income, people with disabilities and those hurt by Superstorm Sandy.
Christie's administration says it has the right to take the money set aside for housing projects because the towns never got their housing plans approved.
A hearing is scheduled for June 5.