City of Chicago Files Legal Challenge Against The Trump Administration Over Unlawful Restrictions on Federal Emergency Grants

CHICAGO – Today, the City of Chicago, together with eight other local governments, filed a federal lawsuit challenging new and unlawful conditions imposed by the Trump Administration on grant awards from the U.S. Department of Homeland Security (DHS). The lawsuit seeks to protect tens of millions of dollars in critical funding that supports Chicago's ability to prepare for and respond to emergencies, including terrorism, public safety threats, and natural disasters.

"Chicago will not stand by while the federal government weaponizes emergency funding to attack our values," said Mayor Brandon Johnson.  "Chicago will always uphold the importance of our diversity. Ensuring that all Chicagoans have an opportunity to succeed is not discrimination; it's just basic fairness. We will fight to ensure our first responders have the tools they need, that our commitment to equity and inclusion remains strong, and that we receive every federal dollar intended for public safety."

For more than 75 years, the federal government has partnered with local governments to support emergency response and disaster preparedness through DHS and FEMA grants. These funds help cities train first responders, modernize emergency operations centers, build public alert systems, and purchase life-saving equipment such as bomb squad hazmat suits.

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The DHS conditions would require the City to certify that they do not operate any "programs that advance or promote DEI, DEIA, or discriminatory equity ideology" or lose the funding. Chicago has tens of millions tied to new grant awards now subject to these conditions.  These sweeping restrictions threaten to undermine congressional intent in funding these programs and jeopardize essential emergency response capabilities.

"The federal government cannot demand that cities dismantle DEI programs in exchange for disaster relief," said Corporation Counsel Mary B. Richardson-Lowry.  "We are taking action to ensure that Chicago's emergency response systems remain robust, inclusive, and grounded in constitutional principles."

The lawsuit was filed in federal court in the Northern District of Illinois and argues that the new conditions violate the law in fundamental ways:

Constitutional Separation of Powers – By imposing these new funding conditions, the Trump Administration is usurping the spending authority of Congress.

Arbitrary and Capricious – The new conditions are unsupported by any reasoned explanation and are not tethered to the purpose of the grants.

The plaintiffs are seeking an order from the Court declaring the challenged conditions unlawful and enjoining the defendants from imposing or enforcing the conditions in federal emergency grant funding.

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