A Federal appeals court ruled against more than 100 credit unions and other groups who sued after their grants were canceled by the Trump administration early this year.
The two Trump appointees on a three-judge panel of the U.S. Court of Appeals in Washington, D.C., late Tuesday issued an opinion in favor of the U.S. Environmental Protection Agency, which had blocked the funds, including $651 million awarded to108 credit unions by Inclusiv, which represents Community Development Credit Unions and is one of the plaintiffs.
Inclusiv President/CEO Cathie Mahon issued a brief statement Tuesday saying she was disappointed by the opinion.
“This decision continues to block communities from receiving essential investments so they can afford to lower their energy bills,” Mahon said. “To be clear, this latest court decision does not change the fact that EPA’s actions to prevent CCIA grantees from accessing congressionally appropriated funds are unlawful. Inclusiv remains committed to advocating for the credit union movement and expanding access to affordable clean energy financing.”
The opinion overruled U.S. District Judge Tanya S. Chutkan’s mid-April decision in favor of the grant recipients.
Congress appropriated $27 billion for the solar grants as part of the Inflation Reduction Act it passed in 2022. In the summer of 2023, EPA launched three grant programs: The National Clean Investment Fund (“NCIF”), the Clean Communities Investment Accelerator (“CCIA”) and Solar for All.
Inclusiv was awarded its $1.87 billion under the Clean Communities Investment Accelerator (CCIA) program. It had awarded its initial round of grants to 108 of about 250 credit unions eligible to receive them.
But within weeks of taking power, Trump appointees at EPA froze the funds, leading to the lawsuit in the U.S. District Court of Washington, D.C.
The funds have been frozen during the appeals process. If the issue is appealed to the U.S. Supreme Court, the funds would likely remain frozen while the Supreme Court mulls the issue. The soonest the issue is likely to be resolved would be next spring.
Contact Jim DuPlessis at JDuPlessis@cutimes.com.
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