19 States Sue Trump Over $13.8B DEI Funding Threat, 145% China Tariff, and 701 NSF Grants Canceled
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The Trump administration is facing a surge of lawsuits from states, small businesses, and advocacy groups challenging two major policy areas: the imposition of broad tariffs on imports and the federal crackdown on diversity, equity, and inclusion (DEI) programs in public education and government-funded research.
On tariffs, at least a dozen states and numerous small businesses have filed lawsuits in federal court, arguing that President Trump exceeded his executive authority by invoking the International Emergency Economic Powers Act (IEEPA) to impose sweeping tariffs, including a 10% universal tariff and a 145% tariff on Chinese goods. Plaintiffs contend that the law does not grant the president the power to unilaterally levy tariffs without congressional approval. The legal actions cite economic harm, higher costs for businesses, and potential recession risks. Lawsuits have been filed by state attorneys general from states such as New York, California, Colorado, and Oregon, as well as by small businesses like Princess Awesome LLC and Stonemaier Games, which report millions of dollars in additional tariff costs.
In parallel, the administration's efforts to eliminate DEI initiatives in federally funded schools and research have sparked further legal challenges. The Department of Education issued an April 3 directive requiring states to certify compliance with civil rights laws by rejecting 'illegal DEI practices,' with a certification deadline of April 24 and threats to withhold more than $13.8 billion in education funding for noncompliance. Nineteen states, led by Democratic attorneys general, have sued to block these directives, arguing that they are vague, unconstitutional, and jeopardize funding for students with disabilities. Education Secretary Linda McMahon has warned of potential funding cuts for states that do not comply.
Federal judges in New Hampshire, Maryland, and Washington, D.C., have issued injunctions blocking enforcement of the anti-DEI directives, citing concerns over academic freedom and lack of clarity. The National Science Foundation (NSF) has canceled 701 DEI-related research grants totaling $203 million, with over $325 million in DEI grants canceled in total, following a presidential order to terminate all discriminatory programs in the federal government. NSF director Sethuraman Panchanathan has resigned amid the agency's internal overhaul.
The outcomes of these legal cases will determine the scope of federal authority over trade and education policy, as well as the future of DEI initiatives and the economic impact of trade measures.
Small businesses and a dozen states have filed a pair of lawsuits challenging Trump's authority to impose tariffs on board games, clothes, and lots of other things.
https://t.co/w8SGUWfICx
Trendlines: States, small businesses, and political groups are suing over the Trump administration’s tariffs, which could bog down President Trump’s offensive, writes @GlobeNewsEd. https://t.co/x55ryF1LO5
