Attorney General Dan Rayfield, along with attorneys general from 20 other states, has joined a lawsuit challenging the Trump Administration’s decision to cut federal funding to state programs. The legal action, filed in the U.S. District Court for the District of Massachusetts, contests a federal regulation allowing agencies to end grants that no longer support agency priorities.
According to a statement from the Oregon Department of Justice, the lawsuit argues that the federal government’s recent terminations of state grants—under guidance from the Office of Management and Budget (OMB)—exceed lawful authority and bypass Congressional intent. The affected programs include those related to public safety, education, healthcare, infrastructure, and scientific research.
The regulation in question permits agencies to cancel grants if they determine the funding no longer aligns with their priorities. The lawsuit alleges that this interpretation has led to the cancellation of longstanding grant programs without prior notice, impacting funds previously considered reliable by states.
The coalition’s complaint names multiple federal agencies as defendants, including the Departments of Agriculture, Commerce, Defense, Homeland Security, Justice, Labor, and State, as well as the Environmental Protection Agency, FEMA, the National Endowment for the Humanities, and the National Science Foundation.
States involved in the lawsuit represent a wide geographic range, including California, New York, Illinois, Hawaii, Colorado, Michigan, and Arizona. The attorneys general are seeking a declaratory judgment to clarify the limits of federal authority in terminating state grants.
