New Jersey helped lead lawsuit challenging termination of federal grants

A federal judge has ruled that the Trump administration cannot terminate billions of dollars in congressionally approved grant funds based solely on changing agency priorities, siding with a coalition of 24 states led by New Jersey, Massachusetts, and New York.

U.S. District Judge Indira Talwani of Massachusetts found that federal regulations do not give agencies broad authority to revoke grants simply because an administration changes its policy priorities after the funding has been awarded.

The lawsuit challenged the administration’s use of Office of Management and Budget regulations to end grants supporting programs including public safety, disaster preparedness, scientific research, clean water, and public health.

According to the New Jersey Attorney General’s Office, the administration has canceled millions of dollars in federal funding for programs in the state.

New Jersey Attorney General Jennifer Davenport said the ruling confirms the administration exceeded its legal authority by terminating previously awarded grants.

“The president and his allies cannot hold critical programs hostage to their personal whims and political ideologies, destabilizing the country by yanking essential federal funding that was already awarded to the states,” Davenport said.