A federal judge in Manhattan blocked the Trump administration on Tuesday from canceling more than $1.1 billion in unspent aid meant to help U.S. elementary and high schools address the long-term effects of the COVID-19 pandemic.
U.S. District Judge Edgardo Ramos' preliminary injunction prevents Education Secretary Linda McMahon from rescinding aid from the American Rescue Plan Act during the course of the lawsuit.
The case was brought on April 10 by New York Attorney General Letitia James, attorneys general of 14 other states and Washington, D.C., and Pennsylvania Gov. Josh Shapiro. All are Democrats.
Washington had authorized about $190 billion of aid to help K-12 schools recover from the pandemic, with funds meant for tutoring students who fell behind, upgrades to school buildings, food for homeless students and other purposes.
The U.S. government under Democrat President Joe Biden had extended the aid's availability through March 2026.
But in a March 28 letter, McMahon, a member of Republican President Donald Trump's cabinet, said states had ample time to spend the money, and allowing more time years after the pandemic ended was inconsistent with her department's priorities.
McMahon and the Justice Department argued that taking back the money served the public interest, because taxpayer funds should be used for their intended purpose and the public health emergency from the pandemic had long passed.
The Education Department and the Justice Department did not immediately respond to requests for comment.
Trump, who succeeded Biden in January, has slashed federal spending and vows to dismantle the Education Department.
In a statement, James called the decision "a major win for our students and teachers who are counting on this funding to help them succeed."
New York had $134.2 million of unspent money. Maryland had $245.9 million, the most of any state that sued.
Other plaintiffs included attorneys general of Arizona, California, Delaware, the District of Columbia, Hawaii, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, New Jersey, New Mexico, Nevada and Oregon.
The case is New York et al v U.S. Department of Education et al, U.S. District Court, Southern District of New York, No. 25-02990.
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