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Attorney General Dan Rayfield Wins Court Order Restoring Critical Education Funds to States

Attorney General Dan Rayfield today secured a court order forcing the Trump administration to restore states’ access to critical Department of Education (ED) programs that support low-income and unhoused students and provide funding for other services to address the long-term effects of the COVID-19 pandemic on K-12 students. On April 10, Attorney General Rayfield joined a coalition of 15 other attorneys general and the Governor of Pennsylvania in suing the Trump administration for unilaterally ending access to over $1 billion in grants from the American Rescue Plan Act (ARPA), which ED had previously determined the states could access through March 2026.

The preliminary injunction issued today by Judge Edgardo Ramos of the United States District Court for the Southern District of New York orders ED to immediately restore states’ access to these critical funds as the case continues.

“This is a win for Oregon students. These funds were supposed to help kids who’ve had it the hardest – students from low-income families and kids without stable housing. Trying to hold that support hostage over a political fight was just wrong. We stepped in to stop it, and the court backed us up.”

Attorney General Rayfield and the coalition asserted that ED’s arbitrary and abrupt termination of the states’ access to these funds is causing a massive, unexpected budget gap that will hurt students and teachers by cutting off vital education services.

Judge Ramos today granted the states’ motion for a preliminary injunction barring ED from blocking states’ access to ARPA funding. The preliminary injunction order issued today prevents ED from enforcing a March 28, 2025 letter from Education Secretary Linda McMahon rescinding states’ ability to access their awarded ARPA funding.

Joining Attorney General Rayfield in filing this lawsuit are the attorneys general of Arizona, California, Delaware, Hawai’i, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, New Jersey, New Mexico, New York, Nevada, and the District of Columbia, along with the Governor of Pennsylvania.

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