Overview

• U.S. District Judge Tanya Chutkan issued a preliminary injunction preventing the Trump administration from halting or clawing back $20 billion in Biden-era climate grants.
• The ruling requires Citibank to release frozen funds to nonprofit groups by Thursday, enabling them to resume clean energy and climate resiliency projects.
• Judge Chutkan found the EPA's actions to freeze the grants arbitrary, citing a lack of evidence supporting claims of waste, fraud, or abuse.
• The Greenhouse Gas Reduction Fund, established in 2022, was designed to finance clean energy initiatives, particularly in low-income communities.
• The EPA and DOJ have appealed the decision, leaving the long-term status of the grants uncertain as litigation continues.