Democratic-Led States Sue Trump Over Disaster Funding Conditions

A coalition of 25 states, the District of Columbia, and the governors of Pennsylvania and Kentucky filed a federal lawsuit in Rhode Island on July 23, 2026. The legal challenge targets the Trump administration, specifically the Federal Emergency Management Agency (FEMA) and the Department of Homeland Security (DHS), for conditioning billions of dollars in disaster-preparedness and homeland security grants on the adoption of specific federal policies.

The administration's requirements mandate that states transition to hand-marked paper ballots, conduct manual voting audits of at least 5% of ballots, and verify voter citizenship through a federal database. Additionally, states must assist with federal immigration enforcement, including raids and deportations. Non-compliant states risk losing at least 20% of their Homeland Security Grant Program funding, totaling over $1 billion in contested aid.

Plaintiff attorneys general and governors argue these conditions violate the Administrative Procedure Act and the U.S. Constitution's spending clause, asserting the federal government is using public safety as a bargaining chip to force a partisan agenda. FEMA and DHS defended the measures as common-sense efforts to preserve election integrity and national security, while dismissing the legal action as partisan pushback. The lawsuit seeks to block the administration from using essential resources to compel states to surrender their constitutional authority over election administration.