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Vermont attorney general joins settlement barring abrupt AmeriCorps cuts

A coalition of 23 attorneys general and two governors settled a lawsuit over the Trump administration's attempts to dismantle the national service agency, requiring 30 days' written notice before mass grant terminations, Vermont prosecutors said.

Vermont Attorney General Charity Clark and a coalition of 23 attorneys general and two governors have reached a settlement that bars the Trump administration from abruptly dismantling AmeriCorps, the national service agency, the Vermont attorney general's office said Thursday.

The agreement resolves, for now, a lawsuit the states filed in April 2025 after the administration moved to cut nearly 90 percent of AmeriCorps' workforce, cancel its contracts and shut down $400 million worth of AmeriCorps-supported programs, according to the attorney general's office. AmeriCorps funds and places volunteers with local and national organizations.

Under the settlement, AmeriCorps says it does not expect to terminate grants en masse during fiscal year 2026 as it did in the spring of 2025, to cut union jobs beyond previously planned reductions, or to dismiss service members en masse, the office said. If the agency takes any of those steps, or makes a material change in how it delivers volunteer services, it must give the states written notice at least 30 days in advance and cite the legal authority for the action.

The agency also agreed to commit substantially all of its fiscal 2026 funding by Sept. 30 and to run its National Civilian Community Corps and VISTA programs in keeping with the federal laws governing them, the office said.

The case is paused until Feb. 1, 2027, when the states will drop it without prejudice if AmeriCorps has met its commitments. The states may ask the court to restart the litigation if they conclude it has not.

Earlier rulings in the case forced the administration to reinstate nearly $400 million in canceled programs after a federal court granted a preliminary injunction in June 2025, and in August 2025 the federal Office of Management and Budget agreed to release more than $184 million in withheld AmeriCorps funding, prosecutors said.

This brief was drafted by AI from a public agency press release and published by The New England Signal. Why we use AI for stories like this one.

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