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Fresno Goes to Court to Fight Trump Rule Stripping Grants Over Woke Language
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By David Taub, Senior Reporter
Published 3 weeks ago on
August 21, 2025

Fresno Mayor Jerry Dyer says losing federal housing and transportation dollars would devastate the city. Fresno joined a multistate lawsuit against the Trump administration on Wednesday, Aug. 21, 2025. (GV Wire Composite)

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Fresno wants its federal funds without Trump administration interference. Along with several other jurisdictions, the city filed a federal lawsuit in San Francisco on Wednesday seeking to keep grant money unfettered.

In a news release, the city said it receives nearly $12 million in housing grants, and nearly $250 million in transportation grants.

“Our city depends on these federal grants in order to meet our housing demand, provide reliable transportation, and improve our roads,” Mayor Jerry Dyer said. “When Washington suddenly rewrites the rules, it’s our families, seniors, and small businesses who suffer most – and the impact is felt throughout our nation.”

The city is asking a federal judge for an injunction, and temporary restraining order to prevent the federal government from rescinding dollars earmarked for Fresno.

Read the lawsuit here.

Lawsuit Details

Joining the lawsuit — filed in the United States District Court for the Northern District of California — are the cities of Eureka, and South Lake Tahoe, California; Sacramento County; St. Paul, Minnesota; Monroe County, New York; and New York’s Monroe County Airport Authority).

“Plaintiffs bring this action reluctantly, only after the current Administration’s actions have left them no other means of protecting the federal funding essential to their communities,” the 96-page lawsuit says.

The main legal argument is that the Constitution allows Congress, not the president, to appropriate federal funds.

The defendants include several federal agencies and their directors — Housing and Urban Development; Department of Transportation; Federal Transit Administration; Federal Highway Administration; Federal Aviation Administration; Department of Health and Human Services; and the Environmental Protection Agency.

HUD, DOT, and HHS did not immediately respond for a comment.

The lawsuit states the federal government “imposed vague and unauthorized conditions on federal grants to coerce compliance with executive policy preferences,” violating the Fifth and 10th amendments.

The city, along with five of the other plaintiffs, hired the San Francisco-based Renne Public Law Group to file the lawsuit.

The case is assigned to Judge Richard Seeborg, a 2009 Obama appointee. Not date has been set for the first hearing.

Feds Question Fresno Over Woke Words

HUD sent the city an email on Aug. 18, questioning the certification of its spending plans for the Community Development Block Grant. A request with the city to review the email is pending.

The lawsuit detailed HUD’s objections, specifically with a program known as the DRIVE Plan, which HUD said “has goals to improve housing affordability and stability, reduce racial and economic isolation and support environmental justice and sustainability.”

According to the lawsuit, HUD directed Fresno to “remove all references to the words ‘equity,’ ‘environmental justice,’ and all transgender references, and provide assurances that ‘[t]he City of Fresno shall not use grant funds to promote ‘gender ideology,'” in violation of Trump Executive Order 14168.

HUD also had issues with a plan for emergency shelters “for all genders and their dependent children who are fleeing domestic violence.”

“This language includes provisions that appear to be inconsistent with the implementation of federal programs pursuant to the referenced executive orders, and directed Fresno to “[r]emove or replace all ‘equity’ references throughout the document,” the lawsuit said.

HUD gave the city until 9 a.m. Thursday to remove those references. Failure to comply could lead to disapproval of Fresno’s plan.

The federal government expects compliance with other grants, including an FAA grant. Fresno could lose $13 million for airport improvements, if the city does not comply by September.

A $750,000 EPA grant depends on following the executive order by Aug. 26.

“Working families should not become collateral damage in a political fight between Washington and Sacramento. With federal dollars for high-speed rail funding already eliminated, Fresno’s airport is more vital than ever as the Valley’s transportation hub — and without federal support, both our airport and the local economy it sustains would be at critical risk,” City Council President Mike Karbassi said.

The lawsuit also references several other executive orders on DEI, immigration, and abortion. Fresno’s attorneys call such conditions unlawful.

Last month, Rep. Jim Costa, D-Fresno, signed a letter to members of several committee chairs asking to protect HUD grants.

Secret Approval of Lawsuit

The City Attorney’s Office said the city council approved filing the lawsuit in a closed session vote on July 17 by a 5-0 vote — Annalisa Perea and Miguel Arias were absent. However, the minutes for the meeting show no announcement of the vote. Video from the meeting shows adjournment without a closed-session result.

The city kept this information a secret for a month, continuing a trend of City Hall and other local government bodies such as Fresno Unified School District making decisions without public disclosure.

A source with knowledge of the closed-session vote said the city agreed to pay the attorneys up to $100,000. The city believes it did not have to disclose the lawsuit until it was filed.

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David Taub,
Senior Reporter
Curiosity drives David Taub. The award-winning journalist might be shy, but feels mighty with a recorder in his hand. He doesn't see it his job to "hold public officials accountable," but does see it to provide readers (and voters) the information needed to make intelligent choices. Taub has been honored with several writing awards from the California News Publishers Association. He's just happy to have his stories read. Joining GV Wire in 2016, Taub covers politics, government and elections, mainly in the Fresno/Clovis area. He also writes columns about local eateries (Appetite for Fresno), pro wrestling (Off the Bottom Rope), and media (Media Man). Prior to joining the online news source, Taub worked as a radio producer for KMJ and PowerTalk 96.7 in Fresno. He also worked as an assignment editor for KCOY-TV in Santa Maria, California, and KSEE-TV in Fresno. He has also worked behind the scenes for several sports broadcasts, including the NCAA basketball tournament, and the Super Bowl. When not spending time with his family, Taub loves to officially score Fresno Grizzlies games. Growing up in the San Francisco Bay Area, Taub is a die-hard Giants and 49ers fan. He graduated from the University of Michigan with dual degrees in communications and political science. Go Blue! You can contact David at 559-492-4037 or at Send an Email

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