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Judge Strikes Down Trump EPA’s “Unlawful” Cancellation of $2.8 Billion Climate and Environmental Justice Grant Program

June 17, 2026 36d ago 3 min read
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A federal judge has ruled that the Trump administration acted unlawfully when it terminated the $2.8 billion Environmental and Climate Justice Block Grant Program, one of the largest pots of environmental funding ever created for communities on the front lines of pollution.

U.S. District Judge Richard Gergel of the District of South Carolina found that the Environmental Protection Agency’s decision to cancel the program was “arbitrary and capricious and unlawful,” and he vacated the action. The ruling came in a case brought by the Southern Environmental Law Center and the Public Rights Project, who argued that the EPA pulled the money without any lawful justification.

What the Program Was Supposed to Do

The Environmental and Climate Justice Block Grant Program was designed to channel billions of dollars to the communities hit hardest by pollution — often lower-income neighborhoods and areas that have long borne the brunt of industrial contamination, poor air quality, and aging infrastructure. The grants were meant to fund local projects: cleaner air monitoring, pollution reduction, resilience against extreme weather, and similar efforts in places that rarely see that kind of investment.

When the administration moved to terminate the program, it didn’t just pause the spending. It dismantled the machinery behind it, including the staff responsible for administering the grants. That detail would later shape how far the court was willing to go.

The Ruling

Judge Gergel’s decision was blunt about the legality of the cancellation. Calling the termination “arbitrary and capricious and unlawful” — the standard language courts use when an agency acts without a reasoned, lawful basis — he vacated the EPA’s action outright. In plain terms, the court declared that the move to kill the program did not hold up under the law.

But the judge stopped short of ordering the EPA to fully restart the program. Gergel described a complete reinstatement as “impractical,” pointing to the fact that the staff who ran the program had already been fired. So while the cancellation itself was struck down as illegal, the court did not order the $2.8 billion to simply start flowing again. The practical path forward remains uncertain.

Why It Matters

The decision is a pointed rebuke of how the administration went about dismantling the program — cutting the funding and the people behind it first, and dealing with the legal questions later. The plaintiffs argued that this approach skipped the lawful process an agency must follow before unwinding a congressionally backed program of this size, and the court agreed.

The Southern Environmental Law Center and the Public Rights Project framed the case as a question of accountability: whether an agency can erase billions in environmental-justice funding without following the rules. The ruling answers that question clearly. What it does not answer is what happens next — whether the EPA will attempt to rebuild the program it gutted, appeal the decision, or leave the funding in limbo.

What This Means for Americans

For the communities that were counting on this money, the ruling is a validation but not yet a payout. A court has confirmed the cancellation was illegal, but with the program’s staff gone, the people who were promised cleaner air and pollution relief may still be waiting. The case underscores a larger reality: when a program is dismantled quickly, even a favorable court ruling can’t instantly put it back together.

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