States Take Legal Action Over Halted Federal EV Charger Funds Amid Trump Policy Shift (New York State Attorney General)

States Take Legal Action Over Halted Federal EV Charger Funds Amid Trump Policy Shift

Thursday, May 8th, 2025 Legislation & Regulation Litigation Risk Management Technology

A coalition of seventeen states, led by California, Colorado, and Washington, has filed a federal lawsuit against the Trump administration over its suspension of billions in federal funding for electric vehicle (EV) charging infrastructure. The contested funds, totaling $5 billion and authorized under the 2021 Bipartisan Infrastructure Law, were earmarked for the National Electric Vehicle Infrastructure (NEVI) Formula Program. At issue is a February 2025 directive from the Federal Highway Administration (FHWA), following a Trump executive order, that rescinded existing guidance, revoked all state deployment plan approvals, and suspended disbursements until new guidance is issued — a move plaintiffs allege violates federal law and the Constitution.

The lawsuit, filed in the U.S. District Court for the Western District of Washington, contends that only Congress has the power to control such spending and that states have already begun planning and contracting for projects based on previously approved NEVI funds. California alone is being denied access to approximately $300 million. Washington has $55 million on hold, delaying 40 project proposals. The FHWA’s blanket freeze affects over $2.7 billion across the U.S., putting thousands of jobs and EV infrastructure buildout efforts at risk.

States argue the administration’s move was politically motivated, with the Trump White House seeking to roll back Biden-era environmental initiatives. The plaintiffs assert the FHWA lacked legal authority to suspend the program, citing the mandatory nature of the NEVI fund allocation. The court is being asked to issue an injunction compelling the federal government to release the funds and reinstate previously approved state plans.

The case underscores growing legal tensions over climate policy reversals and is likely to shape how future administrations interpret executive authority over congressionally approved infrastructure programs. As EV adoption grows, states say access to reliable charging infrastructure is vital to achieving emissions targets and public health goals.


External References & Further Reading
https://ag.ny.gov/sites/default/files/court-filings/state-of-washington-et-al-v-united-states-department-of-transportation-et-al-complaint-2025.pdf
SOS Ladder AssistMid-America Catastrophe ServicesAspen Claims ServiceWeller SalvageHouston Auto Appraisers