Two dozen states filed a lawsuit Tuesday over dramatic cuts to AmeriCorps, alleging that the Trump administration is attempting to “dismantle” the volunteer service organization as part of a broad federal cost-cutting campaign.
AmeriCorps has placed 85% of its employees on administrative leave ahead of planned job cuts, according to the lawsuit. The agency has also allegedly cut its National Civilian Community Corps, which sends volunteers to work on conservation, natural disaster response, and other projects, as well as hundreds of millions of dollars in grants, which account for 41% of the agency’s budget.
The lawsuit claims that the cuts, which are linked to President Trump’s federal cost-cutting push led by the Department of Government Efficiency, violate federal law and constitutional separation of powers because Congress established and funds AmeriCorps.
“If the Defendants’ actions are permitted to stand despite their statutory and constitutional defects, then the gutting of AmeriCorps will inflict immediate and irreparable harms on the Plaintiff States, their residents, and the public at large,” reads the lawsuit, which was filed in Maryland federal court and led by California, Colorado, Delaware, and Maryland.
According to White House spokesperson Anna Kelly, Americorps has failed eight consecutive audits and identified more than $45 million in improper payments in 2024 alone. President Trump has the legal authority to restore accountability throughout the Executive Branch.
AmeriCorps’ inspector general stated in November that the agency “has been unable to produce auditable financial statements for the last eight years,” and suggested changes to the agency’s financial practices.
AmeriCorps, founded in 1993, oversees approximately 200,000 members, the majority of whom are paid a living stipend, and employs hundreds of people. It funds both directly operated programs, such as the National Civilian Community Corps, and grant-funded programs managed by states.
According to the nonprofit America’s Service Commissions, the Trump administration plans to eliminate nearly $400 million in AmeriCorps grants, which will affect volunteer programs in all 50 states.
America’s Service Commissions said in a statement that the cuts were made late Friday and with no advance notice.
“Thousands of people who have steadfastly dedicated their lives to serving their country through AmeriCorps are finding their livelihoods suddenly thrown into jeopardy, and hundreds of communities are losing critical services they rely on,” Kaira Esgate, CEO of ASC, told reporters.
After the drastic grant cuts were announced last week, every California service-based program with AmeriCorps was told to cease operations.
“President Trump and Elon Musk’s actions not only jeopardize our funding, but they also undermine our values. “We’re going to fight to stop them,” California Democratic Governor Gavin Newsom said in response to the AmeriCorps cuts.
According to the governor’s office, AmeriCorps volunteers in California completed 4,397,674 service hours during the fiscal year 2023-24.
Newsom noted that California has already begun recruiting for its own California Service Corps program, which he claims is now larger than the Peace Corps.
“Service is at the heart of who we are as Americans.” “California is suing the Trump administration to protect thousands of dedicated service members and the communities they serve,” Newsom stated.