A labor union, solar installation companies, nonprofits and other organizations are suing the Trump administration over its move to claw back $7 billion in funds that would have put more rooftop solar power in disadvantaged communities.
The funds in question came from the Democrats’ Inflation Reduction Act. The Biden administration granted funds to 60 entities including states, nonprofits, tribes and local governments. It said at the time the funds were slated to provide more than 900,000 households with solar power.
The Trump administration in August said it would rescind the money, saying recipients were still largely in the planning phases and that the Environmental Protection Agency (EPA) no longer has the authority to administer the program.
In the lawsuit against the EPA filed Monday, the plaintiffs say they were harmed by the move and argued it violates both the Administrative Procedure Act and the U.S. Constitution.
They also say in their lawsuit the GOP’s One Big Beautiful Bill Act, which rescinded “unobligated” funds from the program, does not apply because the grant money was already distributed under the previous administration.
A spokesperson for the EPA declined to comment, saying the agency does not discuss current litigation.
The rescission is one of many Biden-era green programs the Trump administration has sought to cancel. Last week, it announced the cancellation of nearly $7.6 billion in Energy Department funds for green projects around the country, largely in Democrat-led states.
It has also moved to recoup $20 billion in “Green Bank” funds that would have gone to climate-friendly projects, sparking a separate legal battle.
