Schools Face Uphill Battle Recouping Funds Terminated by Trump Governance
WASHINGTON - Schools and institutions challenging funding terminations enacted during the trump administration are finding it increasingly arduous to secure full relief, as recent Supreme Court decisions steer lawsuits toward the U.S. Court of Federal Claims, which is limited to awarding monetary damages rather than compelling reinstatement of programs.
The Supreme Court has twice issued rulings – in a case involving teacher-training grants and another concerning National Institutes of Health research grants – that suggest the Court of Federal Claims has jurisdiction over challenges to the Trump administration’s funding cuts. While these decisions don’t preclude lawsuits altogether, legal experts say they substantially reduce the likelihood of success for plaintiffs seeking to revive terminated grant programs.
“You will get some differences,” explained attorney Jonathan Wagman, who represents clients wiht federal contracts. “I don’t know if that’s solely just the way the Supreme Court is handling these cases so much as it is, you’ve seen one grant, you’ve seen one grant.”
The Court of Federal Claims can only provide financial compensation for losses already incurred – money that was promised but not delivered. Obtaining injunctions forcing the administration to resume funding or reinstate programs is beyond its scope. Moreover, plaintiffs must demonstrate “bad faith” on the part of the Trump administration to successfully claim damages.
In the teacher-training grants case, the Supreme Court found the case belonged in the realm of federal claims because the states asserted the federal government owed grantees money under existing grant terms. Cases centered on constitutional arguments, such as Harvard University’s claim of a First Amendment violation, remain under district court jurisdiction.
“They certainly could bring the lawsuit … but it’s much harder to prove, and it depends on the finder of fact,” said attorney Daniel Welner. He added that pursuing legal action, particularly against the government, is a costly and protracted process. “It’s not cheap going to court, and particularly when your up against the government, which has all the resources they want to put behind it,” Welner said. “You usually don’t end up with everything you want. Even if you win, you end up with appeals. … It’s a realy tough road.”
