PSJD News Digest – August 15, 2025

August 15, 2025 at 1:29 pm · Filed under Public Interest Law News Bulletin

Sam Halpert, NALP Director of Public Service Initiatives

Photo: Harris and Ewing Collection, Library of Congress

Hi Interested Public,

Welcome to the end of another week. Lots of major stories this week: the ABA adopted a resolution condemning the Trump Administration’s threats against lawyers and law firms for choosing clients disfavored by the federal executive. Meanwhile, the Trump Administration issued a new Executive Order placing senior political appointees at the head of all grant award processes. The EPA became the second federal agency to tear up its union contracts, and the head of the IRS, who in his two-month tenure had reversed course on a planned reduction-in-force for the agency, announced his departure. While some private foundations are choosing to spend down their endowments to address the current crisis, a prominent nonprofit (Equal Justice USA) announced it is closing down following the loss of federal grant money–and predicts it will be starting a trend.

As always, these stories and more are in the links below. Solidarity,

Sam

Editor’s Choice(s)

  • Federal grants must ‘demonstrably advance’ Trump’s agenda, president orders (Government Executive; 8 Aug 2025)

    “Going forward, all agencies must designate a senior political appointee to be responsible for reviewing grants, at both the announcement and award stages, to ensure they are “consistent with agency priorities and the national interest.” The appointee can include subject matter experts in their reviews when warranted, Trump said…Those reviews should ensure awards are in line with “applicable law, agency priorities and the national interest.” Appointees must not defer to others in making final decisions, Trump ordered, but instead “use their own independent judgment."”

  • With Justice grants rescinded, nonprofit will shut down (RollCall; 14 Aug 2025)

    “Equal Justice USA says it lost out on $2.4 million because of the midstream termination of two DOJ grants, part of a larger Trump administration decision to cancel a swath of department grant funding nationwide. The nonprofit, which was founded in 1990 and became an independent organization in 2007, will close down on Friday. Dozens of staff members will be laid off, according to a nonprofit official…Hodge said the ripple effects likely won’t end with them. “I honestly think we’re at the tip of the iceberg,” she said. “I think we made the call early. I think there are a lot of organizations sitting with this question right now. How do they address the taking of their federal dollars? Can they survive if they just cut a number of staff? Will they have to close down?””

  • New Emergency Funds Open as Federal Funding Tightens (The Chronicle of Philanthropy; 14 Aug 2025)

    “foundations and other grant-making groups have offered emergency grants and other short-term assistance to struggling nonprofits. Some of those initial funds have closed. Other funds have been created or re-opened in recent weeks as philanthropy looks for ways to support groups that have lost federal funding. Rather than just focus on urgent needs, funders like the Boston Foundation and Greater Rochester Health Foundation are now providing money to help grantees consider long-term options like merging with other nonprofits or winding down their operations.”

Federal RIFs & Grant Cancellations

  • IRS chief to leave agency less than two months after assuming the role (Government Executive; 8 Aug 2025)

    “IRS has yet to implement widespread layoffs—it has so far only targeted a few hundred employees at specific offices—but as of earlier this year, it was preparing to implement significant reductions in force. Long has taken a softer approach to the workforce since taking office. Earlier this month, the commissioner reversed the RIFs at the Office of Civil Rights and Compliance, as first reported by Federal News Network.”

  • Federal Workers Should Be Fireable At-Will, HR Chief [OPM] Says (Bloomberg Law; 11 Aug 2025)

    ““Everybody should be at-will employees, quite frankly,” Kupor said during a wide-ranging discussion with Bloomberg News, Bloomberg Law, and Bloomberg Government. “That’s not going to happen, and I know that’s not going to happen, but I think we need to get closer to the point where you can actually, you know, kind of pay for performance and you can manage out people.”” [emphasis added]

Non-Federal Funding

Civil Society

Student Debt & Other Student Concerns

Conflicts Over Diversity, Equity, Inclusion, and Accessibility

  • Judge strikes down Trump administration guidance against DEI programs at schools (NPR; 15 Aug 2025)

    “In her ruling, U.S. District Judge Stephanie Gallagher in Maryland found that the Education Department violated the law when it threatened to cut federal funding from educational institutions that continued with DEI initiatives. The guidance has been on hold since April when three federal judges blocked various portions of the Education Department's anti-DEI measures.”

  • DOJ Claims George Washington U Violated Federal Civil Rights Law (Inside Higher Ed; 13 Aug 2025)

    “The Department of Justice said Tuesday that George Washington University was “deliberately indifferent” toward Jewish students and faculty who said they faced antisemitic harassment and had violated federal civil rights law that bars discrimination based on race and national origin.”

Access to Justice