Billions of dollars for rural electric cooperatives are stuck in limbo as the Department of Agriculture continues the Trump administration’s funding freeze, despite federal court orders.
The Empowering Rural America program — also known as New ERA, a $9.7 billion grant and loan program created by the Inflation Reduction Act — has been halted, and awardees chosen by the Biden administration have not received funding, according to officials at seven co-ops across the country.
The spending pause for energy projects reflects the volatility of the Trump administration’s stance on funding as several courts have ordered it to reverse the sweeping freeze on government grants. The administration has not complied, with President Donald Trump openly questioning the judiciary’s authority.
Regardless of the legal wrangling, executives of electric co-ops do not expect to get the New ERA funding for at least 90 days — when Trump has ordered agencies to finish a review of spending.
