EPA faces class action lawsuit over canceled environmental justice grants

A coalition of nonprofits, tribes, and local governments is suing the U.S. Environmental Protection Agency after it abruptly canceled $3 billion in environmental justice grants awarded under the Biden administration.

Tracy J. Wholf reports for CBS News.


In short:

  • The EPA under Administrator Lee Zeldin terminated grants from the Environmental and Climate Justice program, cutting funds to 350 groups without notice, affecting projects addressing pollution, climate resilience, and public health.
  • Air Alliance Houston, a small nonprofit that received a $3.1 million grant to expand air pollution permit tracking in Texas, is one of 23 plaintiffs seeking class action status to restore funding and protect similar groups.
  • The lawsuit, filed with support from EarthJustice and others, argues the funding cuts were unlawful and destabilize community-led environmental efforts, particularly in low-income and heavily polluted areas.

Key quote:

“We believe that our contract was illegally terminated. There was nothing in our terms and conditions that allows an administration — Trump or otherwise — to cancel a federal contract because they don’t like what the contract is about.”

— Jennifer Hadayia, executive director of Air Alliance Houston

Why this matters:

Environmental justice grants help communities on the front lines of pollution track emissions, clean up water systems, and prepare for extreme weather. Cutting these funds guts the ability of local groups to monitor and respond to environmental risks that threaten public health. Programs like the one in Houston empower residents to know when polluting industries plan to expand operations nearby. Without that transparency, communities can be blindsided by toxic emissions or contaminated water. The rollback also raises questions about how federal agencies allocate and rescind funding, and whether political shifts can erase legally binding contracts aimed at safeguarding health and the environment.

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