Attorney General Ford Files Legal Challenge to EPA’s Attacks on Affordable Clean Energy for Low-Income Households

Carson City, NV — Today, Nevada Attorney General Aaron D. Ford announced that he has filed suit in the U.S. Court of Federal Claims to recover damages for the Environmental Protection Agency’s (EPA)​​ unlawful breach of grant agreements executed under the Solar for All program, a $7 billion program that lowers energy costs and pollution by bringing solar energy to more than 900,000 households in low-income and disadvantaged communities across the country. The total grant awarded to Nevada Clean Energy Fund was $155,720,000, of which the federal government still owed over $150 million when President Trump illegally terminated the grant. Attorney General Ford represents the Fund, one of 24 plaintiffs who filed this case yesterday, Wednesday, Oct. 15.

“President Trump has tried to illegally claw back funds from Nevada after hardworking residents of our state have put in the work to address our energy needs,” said Attorney General Ford. “The president would see Nevadans left high and dry after they committed time and resources to make our state a model of solar energy. Our courts have agreed time and time again that the president cannot rescind funds approved by Congress. I am confident this time will be no different.”

Congress created the Solar for All program in 2022 as part of the Inflation Reduction Act, directing the EPA to make competitive grants to states and other entities to deploy solar projects in low-income and disadvantaged areas. The EPA selected recipients and awarded all of the program funds to plaintiff states and other grant recipients by August 2024. The Fund and other plaintiffs moved forward with planning projects and working with stakeholders to develop their solar programs.

However, the EPA abruptly and unlawfully terminated the program two months ago and clawed back the vast majority of the money already awarded. That has left Nevada and the other plaintiffs without access to the funds to proceed with their solar programs, after the states spent significant time planning and launching programs and committing state funds.

When President Trump took office in January, he prioritized fossil fuel extraction to address an alleged “energy emergency” while arbitrarily excluding solar power as a resource that can be tapped to meet the country’s energy needs. In July, Congress passed the president’s “One Big Beautiful Bill Act,” rescinding funds for the Solar for All program that were unobligated as of July 3. The effect of that move was small, given that the EPA had obligated all of the $7 billion for the program nearly a year earlier.

But instead of following that newly passed law, the EPA and Zeldin illegally terminated the program on August 7. On social media, Zeldin made baseless accusations, calling Solar for All a “boondoggle.” The agency then sent memos to all recipients, including the plaintiffs, saying EPA no longer has a “statutory basis or dedicated funding” for the program, even though Congress never directed EPA to cancel funds that had already been awarded. In fact, Congress did the opposite by only rescinding unobligated funds for Solar for All.

In the complaint, the states and other entities argue the EPA breached the clear terms of the agreements and violated the duty of good faith and fair dealing in canceling their Solar for All grants. The plaintiffs are asking the court to award money damages, interest and fees.

Joining Attorney General Ford in this lawsuit are the lead attorneys general of Maryland and Arizona, as well as the attorneys general of California, Colorado, Connecticut, the District of Columbia, Hawaii, Illinois, Massachusetts, Maine, Michigan, Minnesota, New Jersey, New Mexico, New York, North Carolina, Oregon, Rhode Island, Vermont and Washington. Also joining the complaint are the governors of Kentucky and Pennsylvania, as well as the Wisconsin Economic Development Corporation.

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