February 4, 2025
2 min learn
Trump EPA Spending Freeze Continues regardless of Courtroom Orders
Two judges have ordered the Trump administration to elevate a freeze on spending, together with on the Environmental Safety Company. However nonprofits and states nonetheless can’t get cash for contracts which might be backed by the Inflation Discount Act
Grid Options staff hoist a photo voltaic panel as they set up no-cost photo voltaic panels on the rooftop of a low-income family on Oct. 19, 2023, in Pomona, California.
CLIMATEWIRE | The Trump administration continues to be freezing many local weather and infrastructure grants regardless of two federal court docket orders barring it from doing so.
Nonprofits and state businesses nonetheless lacked entry Monday to EPA grant awards funded by way of the Inflation Discount Act. Two district court docket judges have issued orders to reverse such spending freezes — with U.S. District Decide Loren AliKhan reinforcing her order Monday.
EPA administers a number of main grant packages underneath the local weather legislation, together with the practically $5 billion Local weather Air pollution Discount Grant program and the $7 billion Photo voltaic for All program, which helps neighborhood and rooftop photo voltaic initiatives in low-income neighborhoods. The overwhelming majority of these grants have been ultimate when former President Joe Biden left workplace final month, and the Trump EPA has few clear choices to tug again funds or repurpose the awards.
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EPA shouldn’t be the one company that has halted payouts from the IRA and the 2021 bipartisan infrastructure legislation, stated Jillian Blanchard, vp for local weather change and environmental justice with Attorneys for Good Authorities. She stated grant recipients on the Agriculture and Vitality departments are additionally reporting that they can not entry funds.
“People cannot get into their accounts. They can’t access funding. They’re waiting on invoices to be paid. No one will call them back,” she stated.
EPA program recipients informed POLITICO’s E&E Information on Monday that the shortcoming to entry funds was already having an impression after one week. The recipients, granted anonymity to keep away from retribution, stated they’ve needed to lay out cash for bills, like payroll or hire, with out understanding if and when it will be reimbursed. The freeze has additionally prompted some recipients to pause hiring — and fear about how lengthy they may pay present workers.
The Justice Division in a submitting Monday acknowledged AliKhan’s order and pledged to tell businesses of it. But it surely argued that the order “contains several ambiguous terms and provisions that could be read to constitute significant intrusions on the executive branch’s lawful authorities and the separation of powers.”
EPA’s appearing Common Counsel Sean Donahue despatched an company “mass mailer” to all staff earlier than 9 a.m. Monday morning that linked to the non permanent restraining order. He promised “additional EPA-specific guidance on agency financial assistance,” which sources stated was not despatched as of Monday night.
EPA declined to answer an inquiry from E&E Information about why the funds remained frozen, referring inquiries to DOJ. EPA didn’t acknowledge questions on whether or not the delay was attributable to a technical issue or whether or not the company believed it was complying with the court docket order.
DOJ declined to remark.
Zealan Hoover, former director of implementation at Biden’s EPA, stated the Trump administration gave the impression to be making an attempt to dodge the order.
“I am very concerned that this illegal action will force state and local governments to pause construction, lay off staff and slow their work to provide cleaner air and water,” he stated.
Blanchard echoed that concern.
“It looks like this executive is considering just completely flouting a court’s direct order,” she stated.
Reprinted from E&E Information with permission from POLITICO, LLC. Copyright 2025. E&E Information gives important information for power and setting professionals.
