Two dozen states, plus the District of Columbia, filed a federal lawsuit Tuesday against the Trump administration over the gutting of AmeriCorps and the cancellation of hundreds of millions of dollars in community project grant funding. The Democratic state officials allege that President Trump's Department of Government Efficiency (DOGE) is illegally dismantling AmeriCorps, a 30-year-old federal agency for volunteer service that serves as the domestic version of the Peace Corps, and reneged on previously approved grants, the AP reports. AmeriCorps' State and National program had a congressionally-approved budget of $557 million this year. The New York Times reports that the sudden termination of grants puts the future of many community service projects across the US in danger.
Late Friday, the agency notified grantees that "the award no longer effectuates agency priorities" and directed them to shut down projects. These cuts impacted hundreds of millions of dollars in grants for 52 state and territory volunteer commissions. Commissions in Wisconsin, Alabama, Wyoming, Oregon, and Maine report their entire grant program portfolios were cut. The funding cuts affect after-school programs, veterans' services, food pantries, child abuse prevention, and home-building efforts. At least 85% of AmeriCorps staff had already been placed on administrative leave earlier this month, and some were told last week that their positions would be terminated, Reuters reports.
Even some Republicans were criticizing the Trump administration's move: "I support improving efficiency and eliminating waste, but I would have to object to cutting AmeriCorps grants like those that support Louisiana's veterans and organizations that provide crucial support after hurricanes and natural disasters," wrote Republican Sen. Bill Cassidy, of Louisiana, on social media. (This content was created with the help of AI. Read our AI policy.)