That's not the problem, that's a vague wave at a generic class of innuendo that could be used just as easily to rationalize not allowing your child to eat ice cream or Japanese internment. You have to make the case why Google changing their 2FA system is so much more important than the homeless having phone service, you can't just say "sometimes, empathy can be bad."
I'm not getting that from the rest of the comment, which seems like a gish gallop around a bunch of other things that we're also not going to do for the homeless, and about which you or somebody else can say "it's only human to be worried about other people going through these issues, but empathy can be bad. The answer isn't that HUD should change the second line of the third section of Form B, it's that we should fix the homeless problem completely."
edit: We can't use as an excuse for not making small changes that we should be making larger changes. The excuses that one makes to avoid making small changes will apply more so to larger changes.