A federal judge has issued a temporary injunction requiring the Trump administration to restore AmeriCorps grant funding and service members in states that filed a lawsuit over funding cuts.

Judge Deborah L. Boardman ruled that the cuts likely violated the Administrative Procedure Act, stating that states would suffer irreparable harm if the reductions were implemented.

The lawsuit, initiated in April 2025 by Delaware Attorney General Kathy Jennings and a coalition of 24 states, challenged drastic workforce reductions at AmeriCorps that threatened to cut the agency's capacity by nearly 90%.

The states argued that the abrupt termination of grants lacked the legally required notice and comment period, jeopardizing essential services for vulnerable populations.

In North Carolina, the funding cuts had significant implications, affecting recovery efforts from Hurricane Helene and local literacy programs, resulting in the termination of 202 AmeriCorps members.

In Delaware, nine organizations, including Reading Assist and Children’s Beach House, faced over $1 million in funding losses due to the cuts, which are critical for providing essential community services.

Caroline O’Neal, CEO of Reading Assist, highlighted the program's effectiveness, noting that 90% of students reached key reading benchmarks this year, underscoring the importance of continued funding.

U.S. Senator Chris Coons condemned the funding cuts as an attack on communities, praising Jennings for her efforts to restore funding and support AmeriCorps members.

AmeriCorps typically deploys around 200,000 corps members annually, providing living stipends and educational funding opportunities, which are now at risk due to the funding cuts.

Notices regarding grant terminations were sent abruptly in April, citing a shift in agency priorities, which led to immediate project shutdowns without the legally required notice.

Attorney General Kathy Jennings hailed the ruling as a significant victory against the administration's cuts to children's literacy programs, emphasizing the importance of AmeriCorps services.

While the ruling restores funding temporarily, the lawsuit is expected to continue through the courts as the states seek a permanent solution to the funding crisis.