Democratic-led states sue to block Trump administration's USDA funding restrictions

By Nate Raymond

BOSTON, March 23 (Reuters) - Several Democratic-led states on Monday sued to block the U.S. Department of Agriculture from withholding tens of billions of dollars in federal funds unless the states comply with U.S. President Donald Trump's policies on immigration enforcement, transgender people and other issues.

Democratic attorneys general from 20 states and the District of Columbia alleged in a lawsuit filed in Boston federal court that the Trump administration's new requirements jeopardize funding already approved by Congress that would be used to feed low-income families and support farmers.

The case is the latest in a series of lawsuits since Trump took office last year to challenge new conditions on grant funding that would align funding with the Republican president's priorities, leading to several court rulings blocking the administration from adopting such restrictions.

"This attack on vital programs is just another line item in the president's long list of failed attempts to weaponize essential funding as a political bargaining chip," California Attorney General Rob Bonta said in a statement. "It was illegal before, and it's still illegal now."

The USDA declined to comment.

At issue are new requirements the USDA introduced on December 31, stating that in order to receive federal funding from nearly all USDA programs, states must certify compliance with federal “policies."

The lawsuit said the requirement was broad and vague and would require them to comply with unrelated policies outlined in Trump executive orders concerning "gender ideology," immigration, transgender athletes and diversity, equity and inclusion.

The USDA has not confirmed which grants or programs would be covered by the new conditions, the attorneys general said. But the lawsuit said the agency plans to apply its new restrictions to the maximum extent permitted by law.

The states said the USDA's conditions could affect nutrition programs such as the Supplemental Nutrition Assistance Program, the anti-poverty food stamp program, as well as the school lunch program and the Special Supplemental Nutrition Program for Women, Infants, and Children.

The plaintiff states receive over $74 billion annually from the USDA, all of which could be affected by the USDA’s new conditions, according to the lawsuit.

The attorneys general said the policy could also affect grant programs that support farmers, agricultural research and wildfire prevention.

The states alleged the USDA lacked authority to impose the new conditions, which they say are vague in violation of the U.S. Constitution's Spending Clause and were adopted without following required legal procedures.

The case is Commonwealth of Massachusetts, et al., vs. U.S. Department of Agriculture, U.S. District Court for the District of Massachusetts, No. 1:26-cv-11396.

For the states: Nita Klunder of the Office of the Massachusetts Attorney General, Vikas Didwania of the Office of the Illinois Attorney General and Brian Bilford of the California Department of Justice