Maryland was among more than two dozen states that recently claimed the federal government was withholding millions in AmeriCorps funding, marking a second round of cuts to the national service program since April. The dispute arose after AmeriCorps officials placed most of their headquarters staff on leave and dismissed thousands of members amid financial audit concerns, affecting programs across the country.
Federal officials have now confirmed that nearly $185 million in funding, the remainder of the fiscal year’s congressional appropriation, will be released to states and service programs nationwide by September 30, 2025. This funding will support various AmeriCorps initiatives, including AmeriCorps Seniors, which engages Americans over 55 in literacy, eldercare, and disaster response programs.
Maryland is set to receive at least $2 million, which will support initiatives such as the Maryland Reading Corps and Frostburg State University’s ASTAR program. These programs provide literacy tutoring, community education, food pantry assistance, and healthcare support in rural areas. Maryland Attorney General Anthony Brown hailed the release as a victory for both AmeriCorps members and the vulnerable populations they serve, emphasizing the importance of securing critical support for residents.
Other parties to the multistate lawsuit include the District of Columbia and states such as Arizona, California, New York, Pennsylvania, and Washington, among others. The legal challenge initially sought to address an estimated $400 million in cuts and triggered a preliminary injunction in June, requiring AmeriCorps to temporarily reverse reductions in the jurisdictions that filed suit.
The latest development came after states reported that the federal Office of Budget and Management was refusing to release appropriated funds, prompting another request for judicial action. The federal government’s confirmation of the $185 million release may influence the next steps in the litigation, including the potential withdrawal of the preliminary injunction motion.
