U.S. Democratic-led states on Tuesday filed a lawsuit alleging that the Trump administration had effectively dismantled AmeriCorps.
They claimed that the president carried out the action by abruptly canceling grants and cutting 85% of the workforce of the federal agency for national service and volunteering.
In a lawsuit filed in federal court in Baltimore, 24 Democratic-led states and the District of Columbia argued that Trump does not have the authority under the U.S. Constitution to gut AmeriCorps, which was created by Congress.
The move to eliminate the agency’s grants and cut its workforce is said to be part of the push by Trump and the Department of Government Efficiency (DOGE), spearheaded by his billionaire adviser Elon Musk, to shrink the federal government’s spending and workforce.
AmeriCorps is said to have a roughly $1 billion budget and more than 500 employees when Trump took office on January 20.
Its grants fund local and national organizations that offer community services related to education, disaster preparedness, conservation, and more.
Its programs place more than 200,000 volunteers nationally to help provide services ranging from assisting with after-school programs to delivering meals to seniors to responding to local disasters.
In a statement, California Attorney General Rob Bonta, who is co-leading the lawsuit, accused DOGE of dismantling AmeriCorps without any concern for the thousands of people ready and eager to serve their country, or for those whose communities are stronger because of this public service.
Meanwhile, White House spokesperson Anna Kelly said in a statement that AmeriCorps had failed eight consecutive audits and identified over $45 million in improper payments in 2024 alone.
“President Trump has the legal right to restore accountability to the entire executive branch,” Kelly said.
In February, Trump signed an executive order instructing federal agencies to plan to reduce the size of their workforces and prepare for mass layoffs.
Since then, AmeriCorps has placed at least 85% of its employees on administrative leave and notified them that they would be terminated effective June 24.
The agency, last week, began issuing notices that it was terminating nearly $400 million worth of AmeriCorps grant programs, which support volunteer and service efforts.
According to the lawsuit, grant cancellations and program termination notices were sent to 1,031 programs.
