Attorney General Kwame Raoul has allied with 16 other states and filed a lawsuit against the Trump administration. This legal action, filed on Thursday, challenges the administration's decision to end access to U.S. Department of Education funds under the American Rescue Plan Act (ARPA). These funds were earmarked to support programs for low-income and unhoused students and to aid education systems impacted by the COVID-19 pandemic.
The U.S. Department of Education had initially approved access to these grants until March 2026. However, on March 28, the department informed states of its new decision to terminate access to the funds, which Illinois Attorney General Raoul claims will negatively impact Illinois by cutting off more than $77 million.
Raoul commented, “Congress distributed funding to states and school districts across the country to ensure classrooms have the necessary resources to deal with the unprecedented demands the COVID-19 pandemic created.” He added that the Trump administration's decision could be "catastrophic" for schools, particularly those with fewer financial resources.
ARPA funds three key programs – Homeless Children and Youth (HCY), Elementary and Secondary School Emergency Relief (ESSER), and Emergency Assistance to Nonpublic Schools (EANS). These programs were designed to assist schools in overcoming the challenges posed by the pandemic, offering resources for teacher support, infrastructure improvements, and aid for unhoused students.
Raoul and the participating states claim the department’s sudden halt of funding violates the Administrative Procedure Act. They argue that the department has not provided adequate justification for the fund revocation. Furthermore, they contend that Congress did not intend for these funds to be restricted to the pandemic's timeframe and that the decision contradicts the legislative intent as Congress did not act to retract these funds after the end of the pandemic was declared in 2023.
The lawsuit seeks to secure a court order to prevent the department from enforcing the change, allowing states continued access to these funds. In addition to Raoul, attorneys general from Arizona, California, Delaware, Washington, D.C., Hawaii, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon, and the governor of Pennsylvania have joined in this legal effort.