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An appeals court ruled against nonprofits seeking $16 billion in frozen climate grants, upholding the Trump administration's actions. The court lacked jurisdiction, deeming the government's actions legal. The nonprofits plan to continue their legal fight.
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Biden\u2019s signature climate law, the Environmental Protection Agency last year awarded eight nonprofit groups a total of $20 billion in climate and clean energy grants for things like financing solar installations and retrofitting buildings for energy efficiency.", "simplified_text": "EPA awarded eight nonprofit groups $20 billion climate grants under Biden's climate law last year", "claim_maker": "Claire Brown", "claim_subject_tags": [ "government", "environmental", "financial" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895cc-a057-439b-9447-b5d1adfc902a", "text": "But in February the money was frozen at the Trump administration\u2019s request after Lee Zeldin, the E.P.A. administrator, suggested that the grants were vulnerable to fraud.", "simplified_text": "Money was frozen at Trump administration's request after Lee Zeldin suggested grants were vulnerable to fraud in February", "claim_maker": "Claire Brown", "claim_subject_tags": [ "climate", "grants", "politics" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895ce-3a9b-40e3-8eb2-b6f55ac8d348", "text": "At stake are billions in grant dollars, a total that amounts to roughly double the E.P.A.\u2019s annual budget.", "simplified_text": "Billions in grant dollars are at stake roughly double the EPA's annual budget", "claim_maker": "Claire Brown", "claim_subject_tags": [ "financial", "government" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895cf-33ca-4851-87d4-a5e1e91298bd", "text": "The funds were made available through the 2022 Inflation Reduction Act and the grants were legally committed before the November election.", "simplified_text": "Funds were available through 2022 Inflation Reduction Act grants legally committed before November election", "claim_maker": "Claire Brown", "claim_subject_tags": [ "financial", "legal" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d0-284a-45d0-8842-dcf7974c23ff", "text": "The grant dollars were deposited into recipients\u2019 accounts at Citibank, which agreed to act as an intermediary between the government and the grant recipients.", "simplified_text": "Grant dollars were deposited into recipients' accounts at Citibank Citibank agreed to act as intermediary", "claim_maker": "Claire Brown", "claim_subject_tags": [ "financial", "banking" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d1-2860-4b33-be00-1e867dfda3fd", "text": "Citibank froze the recipients\u2019 bank accounts at the government\u2019s request, and several of the grant recipients sued the E.P.A. and Citibank for access to the funds in March.", "simplified_text": "Citibank froze recipients' bank accounts at government's request grant recipients sued EPA Citibank in March", "claim_maker": "Claire Brown", "claim_subject_tags": [ "banking", "legal" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d2-206a-4628-8b21-7ddb7edcfa51", "text": "The Justice Department and the E.P.A.\u2019s acting inspector general opened investigations into the grants, but so far the agency has not provided evidence to substantiate Mr. Zeldin\u2019s claims.", "simplified_text": "Justice Department EPA opened investigations into grants agency has not provided evidence to substantiate Zeldin's claims", "claim_maker": "Claire Brown", "claim_subject_tags": [ "government", "legal" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d3-16af-42f3-ae3d-243f433738e3", "text": "The government could legally recoup the money if it found evidence of fraud.", "simplified_text": "Government could legally recoup money if it found evidence of fraud", "claim_maker": "Claire Brown", "claim_subject_tags": [ "legal", "financial" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d4-0cf0-4e5a-ae3c-7f38192f686f", "text": "On Tuesday, the court determined that the case should be heard in the Court of Federal Claims, which would decide whether the nonprofit groups are owed any money by the government.", "simplified_text": "Court determined case should be heard in Court of Federal Claims Court of Federal Claims would decide if nonprofit groups are owed money", "claim_maker": "Claire Brown", "claim_subject_tags": [ "legal" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d4-fea5-4d94-b4b9-18ae7a3f20ea", "text": "The decision vacated a previous District Court ruling that would have temporarily given the grant recipients access to some of their funds.", "simplified_text": "Decision vacated previous District Court ruling that would have given grant recipients access to funds", "claim_maker": "Claire Brown", "claim_subject_tags": [ "legal", "financial" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d5-f57d-4eaa-baa9-f49faa60104b", "text": "The two judges who made up the majority vote, Neomi Rao and Gregory Katsas, both worked in the first Trump administration and were appointed to the bench by President Trump.", "simplified_text": "Judges Neomi Rao Gregory Katsas worked in Trump administration appointed by President Trump", "claim_maker": "Claire Brown", "claim_subject_tags": [ "legal", "political" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d6-f4f9-41ec-909c-a31953cedb47", "text": "The grants in question were part of the Greenhouse Gas Reduction Fund, sometimes known by the shorthand \u201cgreen bank\u201d funding.", "simplified_text": "Grants were part of Greenhouse Gas Reduction Fund also known as green bank funding", "claim_maker": "Claire Brown", "claim_subject_tags": [ "environmental", "financial" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d7-f217-47bc-a66f-454b966f5c1c", "text": "The eight selected nonprofit groups were expected to act as financing hubs, sending much of the federal money to smaller community banks and other lenders.", "simplified_text": "Eight nonprofit groups were expected to act as financing hubs sending federal money to smaller banks lenders", "claim_maker": "Claire Brown", "claim_subject_tags": [ "financial", "government" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d8-e212-47c7-ab14-8f0f770e626b", "text": "The grants were intended to finance low-interest loans and investments for projects like solar installations and home-efficiency upgrades.", "simplified_text": "Grants were intended to finance low-interest loans investments for solar installations home-efficiency upgrades", "claim_maker": "Claire Brown", "claim_subject_tags": [ "environmental", "financial" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895d9-d18c-4dbf-893d-3abefff8ae9a", "text": "Many of the nonprofit organizations hired new staff members in anticipation of the influx of funding.", "simplified_text": "Nonprofit organizations hired new staff members in anticipation of funding", "claim_maker": "Claire Brown", "claim_subject_tags": [ "financial", "employment" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895da-b82f-4938-8218-48f51122b42d", "text": "Some have laid off or furloughed employees in the months since the money has been frozen.", "simplified_text": "Some laid off or furloughed employees since money has been frozen", "claim_maker": "Claire Brown", "claim_subject_tags": [ "financial", "employment" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895db-abaf-4aea-8e25-a7135b679253", "text": "Green banks are typically funded with government resources at first, which can \u201ceffectively create the market,\u201d meaning the government funding is used for an initial round of loans, Kenneth Gillingham, economics professor at Yale University, said.", "simplified_text": "Green banks are funded with government resources at first government funding is used for initial loans Kenneth Gillingham said", "claim_maker": "Kenneth Gillingham", "claim_subject_tags": [ "environmental", "financial" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895dc-b1a7-43a1-9417-8e6eb6eb002b", "text": "The proceeds from those loans are then used to fund more projects, creating a self-replenishing pool of money.", "simplified_text": "Proceeds from loans are used to fund more projects creating self-replenishing pool of money", "claim_maker": "Claire Brown", "claim_subject_tags": [ "financial", "environmental" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null }, { "uuid": "9fc895dd-b08b-44f7-a29b-c47208bdf91c", "text": "That could include asking for the case to be reheard by the full appeals court or appealing to the Supreme Court, Mr. Super said.", "simplified_text": "Plaintiffs could ask for case to be reheard by appeals court or appeal to Supreme Court Mr Super said", "claim_maker": "Mr. Super", "claim_subject_tags": [ "legal" ], "confidence": 1, "context_type": "News Article", "similarity_found": false, "linked_to": null, "similarity_score": null } ], "improved_author": "Claire Brown", "suggested_reeval_at": "2026-09-02 18:42:08" } }
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<html lang="en" class="story nytapp-vi-article nytapp-vi-story story nytapp-vi-article " data-nyt-compute-assignment="fallback" xmlns:og="http://opengraphprotocol.org/schema/" data-rh="lang,class"><head> <meta charset="utf-8"> <title>Court Hands a Loss to Groups Seeking Billions in Frozen Climate Funds - The New York Times</title> <meta data-rh="true" name="robots" content="noarchive, max-image-preview:large"><meta data-rh="true" name="description" content="The nonprofit organizations are fighting a Trump administration effort to claw back climate and clean energy grants."><meta data-rh="true" property="twitter:url" content="https://www.nytimes.com/2025/09/02/climate/climate-grants-frozen.html"><meta data-rh="true" property="twitter:title" content="Court Hands a Loss to Groups Seeking Billions in Frozen Climate Funds"><meta data-rh="true" property="twitter:description" content="The nonprofit organizations are fighting a Trump administration effort to claw back cli...
Court Hands a Loss to Groups Seeking Billions in Frozen Climate Funds By Claire Brown Sept. 2, 2025, 1:58 p.m. ET An appeals court on Tuesday ruled against several nonprofit groups that had $16 billion in climate grants frozen this year by the Trump administration. In a 2-1 ruling, the U.S. Court of Appeals for the District of Columbia Circuit found that it did not have jurisdiction in the case and that the Trump administration acted legally in its attempts to claw back the funds, dashing the environmental groupsβ hopes of immediately accessing money they were awarded more than a year ago. βWhile some grantees may be forced to shutter their operations during the litigation, their harms do not outweigh the interests of the government and the public in the proper stewardship of billions of taxpayer dollars,β the court wrote in the majority opinion. As part of President Joseph R. Bidenβs signature climate law, the Environmental Protection Agency last year awarded eight nonprofit gro...
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