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Urgent Enforcement Amended Final

Minnesota AG Sues Trump Administration Over USDA Funding Conditions

Favicon for www.ag.state.mn.us AG: Minnesota Communications
Filed March 23rd, 2026
Detected March 24th, 2026
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Summary

Minnesota Attorney General Ellison, joined by 20 other state AGs, has sued the Trump administration over new USDA funding conditions related to immigration, diversity, equity, and inclusion, and gender identity. The lawsuit seeks to block these unrelated and allegedly unlawful conditions that put critical food assistance programs like SNAP and WIC at risk for hundreds of thousands of families.

What changed

Minnesota Attorney General Keith Ellison, along with a coalition of 21 other state Attorneys General, has filed a lawsuit against the Trump administration challenging new funding conditions imposed by the U.S. Department of Agriculture (USDA). The lawsuit, filed on March 23, 2026, alleges that the USDA is unlawfully attempting to tie critical funding for programs such as SNAP, WIC, and TEFAP to states' compliance with unrelated policies concerning immigration, diversity, equity, and inclusion (DEI), and gender identity. The coalition argues these conditions violate the Spending Clause and the Administrative Procedure Act, asserting they are unconstitutional, arbitrary, capricious, and beyond the USDA's statutory authority.

Regulated entities, particularly state agencies administering USDA programs, should be aware that this legal challenge aims to block the implementation of these new funding conditions, which became effective December 31, 2025. The lawsuit seeks a court order to prevent the USDA from imposing penalties or withholding funds based on these contested requirements. While the immediate compliance deadline for these specific conditions is in question due to the ongoing litigation, states are being asked to commit to policies that are not clearly defined, creating significant uncertainty. Failure to comply with the USDA's demands prior to this lawsuit could have resulted in the loss of substantial federal funding, impacting hundreds of thousands of vulnerable Minnesotans and potentially disrupting essential services.

What to do next

  1. Review the USDA's new funding conditions related to immigration, DEI, and gender identity.
  2. Assess potential impacts of these conditions on program administration and funding.
  3. Monitor legal developments in the lawsuit filed by the coalition of Attorneys General.

Penalties

Threatened harsh penalties if states do not comply with the agency’s vague and expansive funding conditions.

Source document (simplified)

Attorney General Ellison sues Trump administration for holding hostage billions in critical USDA funding

Administration imposes new rules for finding programs like SNAP, WIC, and emergency food shelves that have nothing to do with these programs

Programs at risk serve hundreds of thousands of hungry Minnesota children and families every month

March 23, 2026 (SAINT PAUL) — Attorney General Ellison joined a coalition of 21 attorneys general in suing the Trump administration over its unconstitutional and unlawful attempt to impose conditions on U.S. Department of Agriculture (USDA) programs, grants, cooperative agreements and mutual interest agreements.

In their lawsuit, Attorney General Ellison and the coalition assert that USDA has threatened harsh penalties if states do not comply with the agency’s vague and expansive funding conditions relating to immigration, diversity, equity and inclusion, and gender identity, which are unrelated to the purpose of USDA funding. The lawsuit asks the court to block USDA from imposing these illegal funding conditions, including on critical USDA programs such as the school lunch program; Special Supplemental Nutrition Program for Women, Infants and Children (WIC); the Supplemental Nutrition Assistance Program (SNAP); The Emergency Food Assistance Program (TEFAP); and the Volunteer Fire Capacity Program. The programs provide basic, essential services for millions of Minnesota's most vulnerable children, working families, senior citizens and rural communities.

“It’s cruel, unlawful, and absurd for Donald Trump to cut support for hungry Minnesotans unless our state complies with his completely unrelated demands around DEI, gender identity, and immigration,” said Attorney General Ellison. “Feeding our hungry neighbors has nothing to do with DEI or gender, it’s a simple matter of doing what’s right. Minnesota is doing what’s right, and I’m taking Donald Trump to court to stop him from using hungry Minnesotans as a political prop.”

Effective Dec. 31, 2025, USDA adopted new funding conditions. The conditions require states to promise to comply with the Trump administration’s policies related to gender identity, diversity, immigration and fair athletic opportunities for girls and women. However, Attorney General Ellison and the attorneys general explain in their lawsuit that USDA does not fully identify or limit which policies the states must comply with, leaving states at the mercy of the administration for enforcement of the new conditions.

In their lawsuit, Attorney General Ellison and the coalition allege the Trump administration has violated the Spending Clause by imposing coercive conditions without clear notice of its funding conditions. The lawsuit also alleges the Trump administration violated the Administrative Procedure Act (APA) because conditions are the arbitrary and capricious, not constitutional, contrary to law and beyond USDA’s statutory authority.

USDA programs feed about 30 million children across the nation through the school lunch program, strengthen the American food ecosystem from farm to table, support national security through a robust and safe domestic agriculture community, fund university research to advance domestic food production, and save lives and infrastructure by funding firefighting programs.

Losing USDA grant funding would be devastating for Minnesota. SNAP benefits are entirely federally funded, and the loss of that funding would produce immediate food insecurity for roughly 440,000 Minnesotans. Families would be forced to ration any remaining benefits, go into debt or fail to meet other financial obligations like rent to put food on the table, or skip meals entirely. SNAP spending in Minnesota is roughly $70-75 million per month, which generates significant economic activity for local grocery stores and farmers markets across Minnesota. The sudden loss of this revenue due to cut SNAP benefits would cause significant financial harm to numerous Minnesota businesses.

Attorney General Ellison has already actively defended SNAP benefits for Minnesotans, winning court orders in December 2025 and January 2026 to protect them from arbitrary Trump Administration efforts to cut them.

USDA grants help fund numerous other important programs in the state. This includes WIC, which provides healthy food to low-income families with children under the age of 5. Approximately 20,000 infants and 60,000 children receive WIC benefits in Minnesota every month, and every $1 spent on WIC saves $2.50 in other costs. USDA grants also fund the Emergency Food Assistance Program (TEFAP), which supports 477 food shelves across Minnesota. In 2025, Minnesotans made nearly 9 million unique visits to food shelves supported by TEFAP, making on average approximately 750,000 visits per month. USDA grants further fund equipment for and the training of firefighters in greater Minnesota to improve the state’s capacity to respond to wildfires.

Attorney General Ellison and the coalition have asked the court to prohibit USDA from implementing or enforcing the illegal conditions.

Joining Attorney General Ellison in filing the lawsuit are the attorneys general of California, Colorado, Connecticut, Delaware, the District of Columbia, Hawaii, Illinois, Maine, Maryland, Massachusetts, Michigan, New Jersey, New Mexico, New York, Oregon, Rhode Island, Vermont, Virginia, Washington and Wisconsin.

Source

Analysis generated by AI. Source diff and links are from the original.

Classification

Agency
State AG
Filed
March 23rd, 2026
Instrument
Enforcement
Legal weight
Binding
Stage
Final
Change scope
Substantive
Document ID
URL: https://www.ag.state.mn.us/Office/Communications/2026/03/23_USDA.asp

Who this affects

Applies to
Consumers Employers Government agencies
Industry sector
9211 Government & Public Administration
Activity scope
Government Contracting Public Health Programs
Geographic scope
United States US

Taxonomy

Primary area
Healthcare
Operational domain
Compliance
Topics
Immigration Public Health Government Contracting

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