EPA Must Fund Environmental Grants It Illegally Canceled, Judge Rules

A federal judge said the agency “is defying” his previous order voiding the cuts.

Lee Zeldin of Environmental Protection Agency (EPA)

Lee Zeldin is the administrator of the Environmental Protection Agency. Tom Williams/CQ Roll Call via AP

The Environmental Protection Agency must administer the Biden-era Environmental and Climate Justice Grants it illegally canceled last year, a federal judge ordered Wednesday.

Last month, U.S. District Judge Richard Mark Gergel found that the agency’s DOGE-driven cuts to the $2.8 billion block grant program were “arbitrary and capricious and unlawful” and voided the internal guidance that ordered the terminations.

A coalition of cities and nonprofits brought the lawsuit against the EPA after it axed funding to their programs early last year. Following Gergel’s ruling last month, the coalition argued in court that the order compels the agency to restore said funds.

The EPA in turn argued the order “does not compel further action” and refused to reinstate the grants.

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On Wednesday, Gergel handed the coalition a win, writing that “the EPA is defying this Court’s prior order” and clarifying that it must “comply with its statutory obligations to administer the ECJ Program through September 30, 2026” — the date through which Congress funded the programs.

The grants, which were created as part of the Inflation Reduction Act under the Biden administration, went toward programs aimed at curbing carbon emissions, reducing pollution and building climate-resistant infrastructure in underserved parts of the country.

An EPA spokesperson said the agency is “reviewing the decision.”