On April 15, 2025, U.S. District Judges Mary McElroy and Tanya Chutkan issued rulings requiring the immediate disbursement of funds previously frozen under the Inflation Reduction Act (IRA) and the Infrastructure Investment and Jobs Act (IIJA). These funds, totaling an estimated $20b, support clean energy and infrastructure projects nationwide.
Judge McElroy’s decision addressed a nationwide freeze on IRA and IIJA grants, asserting that federal agencies, including the EPA, lacked the legal authority to halt these congressionally approved funds. She emphasized that such actions were “arbitrary and capricious,” undermining the legislative process.
Similarly, Judge Chutkan ruled against the EPA’s attempt to terminate $20 billion in climate grants, including those managed by nonprofits like Climate United Fund, Coalition for Green Capital, and Power Forward Communities. She criticized the EPA for failing to provide adequate evidence of misconduct or mismanagement to justify the fund cancellations.
These judicial actions have been welcomed by environmental and nonprofit organizations, which argue that the funding freeze jeopardized critical projects aimed at reducing greenhouse gas emissions and promoting sustainable infrastructure. Beth Bafford, CEO of Climate United Fund, described the rulings as “a step in the right direction,” expressing hope for a resolution that will enable investment in energy-saving projects and job creation.
The court’s decisions underscore the importance of adhering to legislative intent and ensuring that funds allocated by Congress are utilized effectively to address climate change and infrastructure needs.