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AmeriCorps funding restored after multistate legal fight

A lawsuit by New York and 24 other states just saved hundreds of AmeriCorps programs from being gutted.

New York Attorney General Letitia James announced a major win this week after the federal government agreed to release more than $184 million in AmeriCorps funding. The move reverses a decision by the Trump administration that had canceled most of the agency’s grants and placed hundreds of staff on administrative leave.


“This is an important victory for the dedicated AmeriCorps volunteers across the country and the communities they serve each and every day,” James said in a statement.

The federal Office of Management and Budget (OMB) will now restore the funding, including $14.7 million for New York. That money ensures volunteers will be paid for their current work and allows projects to continue into the next federal fiscal year.

AmeriCorps, created in 1993, supports more than 200,000 volunteers annually. Programs span disaster relief, education, health care, anti-poverty services, and more — mostly delivered through local governments, nonprofits, and universities.

In New York alone, AmeriCorps runs programs at more than 300 sites across the state. Volunteers offer tutoring and mentoring, housing support, legal aid, environmental restoration, services for veterans and military families, and help with opioid addiction.

The coalition filed its original lawsuit in April after the Trump administration abruptly halted about 80% of the agency’s grant awards. In June, the group won a court order blocking the shutdown and ordering the reinstatement of thousands of volunteers. A second legal challenge followed in July.

Faced with a court deadline this week, OMB and AmeriCorps agreed to fully release the withheld funds.

James was joined in the effort by attorneys general from 24 states and the District of Columbia, along with the states of Kentucky and Pennsylvania.



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