Appeals court sides with EPA on climate grant pause

By Lesley Clark | 08/21/2026 01:42 PM EDT

A divided panel of judges has stopped a lower court from forcing EPA to pay $2.8 billion in climate grants that the Trump administration rescinded.

EPA headquarters in Washington. Flags fly on the building.

EPA headquarters on March 16, 2017, in Washington. Justin Sullivan/AFP via Getty Images

A federal appeals court won’t force EPA to immediately restart its climate justice grant program.

A divided 4th U.S. Circuit Court of Appeals said Thursday it would halt a July 22 order from a lower bench that required EPA to revive the program.

The decision is a preliminary win for the Trump administration, which earlier this month asked the Richmond, Virginia-based appeals court to overturn the ruling, saying the money and staff for the program are already gone. As a result of the 4th Circuit’s order, EPA’s program will remain on hold pending completion of the agency’s appeal.

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Fourth Circuit Judge Allison Jones Rushing, a Trump appointee, entered the order with the concurrence of Judge Paul Niemeyer, a George H.W. Bush appointee. The order said Judge Toby Heytens, a Biden nominee, would deny the Trump administration’s motion, but did not elaborate.