WASHINGTON — Today, Lawyers for Good Government (L4GG) filed an amicus brief as counsel for 40 U.S. Senators and U.S. Representatives, urging the D.C. Circuit Court of Appeals to rehear a case over the Trump administration’s cancellation of the Greenhouse Gas Reduction Fund (GGRF).
The brief argues that the Environmental Protection Agency’s termination of $20 billion in Congressionally mandated clean energy grants, and attempt to claw back already-disbursed funds, is unconstitutional and sets a dangerous precedent.
““Congress created, funded, and directed EPA to deliver this money to build clean energy projects that cut pollution and lower energy bills,” said Jillian Blanchard, Vice President of Climate Change & Environmental Justice at L4GG. “EPA cannot simply undo the law by executive fiat. That’s a violation of the Constitution’s separation of powers.””
The brief, which you can read in full here, argues:
Congress has the exclusive “power of the purse.” Under the Appropriations and Spending Clauses, only Congress decides how federal funds are allocated.
EPA’s termination was a power grab. By nullifying programs after money had already been awarded and transferred, the administration usurped Congress’s authority.
The panel’s decision rewrites precedent. By leaning on a misreading of Dalton v. Specter, the panel ignored clear Supreme Court rulings (Train v. New York, Clinton v. New York) that prohibit the executive branch from refusing to spend funds Congress appropriated.
If allowed to stand, the ruling creates a de facto line-item veto. Any future administration could cancel duly authorized programs and seize funds Congress already appropriated, undermining democracy and destabilizing community investments.
““This is not a routine contract dispute—it is a constitutional power grab,” said Gary DiBianco, counsel at L4GG’s Pro Bono Litigation Corps. “If the executive can claw back billions that Congress has already spent, then Congress’s power of the purse is deemed insignificant.””
The GGRF was created by the Inflation Reduction Act to invest nearly $20 billion in projects that reduce pollution, lower energy costs, and build resilience in disadvantaged communities. Hundreds of organizations have already begun planning and hiring around these funds, which are now in jeopardy. If you’re interested in learning more about some of those communities and projects impacted, we’d be happy to potentially arrange interviews.
