Attorney General Bonta: Trump Administration Releases Illegally Withheld AmeriCorps Funding in Face of Multistate Lawsuit

OAKLAND - California Attorney General Rob Bonta today announced that the White House Office of Management and Budget (OMB) has released $184 million in previously threatened AmeriCorps funding. After California and other states sued over the withholding of this funding, OMB agreed to release these funds rather than continue to defend its actions in court. Today, the multistate coalition confirms that the funds have been released, allowing state service programs to continue placing volunteers in organizations that address critical community needs.

"The Trump Administration has abandoned its recent effort to withhold congressionally appropriated AmeriCorps funding, releasing vital dollars that directly support communities in need," said Attorney General Bonta. "Community service organizations and the volunteers they rely on deserve certainty. This funding should never have been withheld in the first place, and I'm glad the Trump Administration has come to its senses and reversed course. We'll keep standing up for Californians, and defending our programs, services, and values, whenever they come under attack."

AmeriCorps supports national and state community service programs by funding and placing volunteers in local and national organizations that address critical community needs. Organizations rely on support from AmeriCorps to recruit, place, and supervise AmeriCorps members nationwide. In 2024, more than 6,150 California members served at least 1,200 locations, including schools, food banks, homeless shelters, health clinics, youth centers, veterans' facilities, and other nonprofit and faith-based organizations. AmeriCorps invested more than $133 million in federal funding to California that same year to support cost-effective community solutions, working with local partners on the ground to help communities tackle their toughest challenges.

On April 29, Attorney General Bonta and the coalition challenged the administration's plans to eliminate nearly 90% of AmeriCorps' workforce, abruptly cancel its contracts, and close $400 million worth of AmeriCorps-supported programs. In June, Attorney General Bonta and the coalition secured a court order reinstating hundreds of AmeriCorps programs that were unlawfully cancelled and barring AmeriCorps from making similar cuts without formal rulemaking. Despite this order, OMB withheld vast sums intended for outstanding service programs, threatening their survival and the wellbeing of those who depend on their services.

The coalition subsequently filed an amended lawsuit adding OMB as a defendant and a motion for a preliminary injunction, asking for an order to stop OMB from withholding the relevant funds. Rather than oppose the states' motion, the Administration instead informed the Court that OMB would release all withheld AmeriCorps funds, totaling over $184 million, which AmeriCorps will distribute to programs nationwide.

A copy of the joint status report is available here.