BALTIMORE, Md. - A federal judge has temporarily halted efforts to dismantle AmeriCorps programs, issuing an order to restore hundreds of millions of dollars in grants and reinstate employees and volunteers nationwide.
The ruling comes after a coalition of nonprofit organizations, AmeriCorps employees, and program participants sued over sweeping cuts announced earlier this year. In April, AmeriCorps canceled $400 million in grants, terminated all National Civilian Community Corps service projects, and placed more than 600 employees on leave, citing directives to reduce spending.
The plaintiffs argued the shutdown violated federal law, including the Administrative Procedure Act, by bypassing notice-and-comment rulemaking required before making major changes to service delivery. They also contended the agency exceeded its legal authority by ending congressionally funded programs without clear justification.
U.S. District Judge Michael J. McMahon agreed the plaintiffs were likely to succeed on their claims. In his 63-page opinion, the judge noted that the abrupt terminations caused widespread disruption, leaving nonprofit groups without funding to support education, housing assistance and community development programs.
The preliminary injunction requires AmeriCorps to pause further cuts, reinstate grants and funding, restore access to offices and computer systems and return service members to their assignments, pending the outcome of the case.