Wisconsin, 13 Other States Sue Federal Government Over Canceled $45M Jobless-System Upgrade Grants
Wisconsin and 13 other states have sued the Trump administration in the federal Court of Claims to recover $45 million in canceled federal grants. The funds, from the 2021 American Rescue Plan Act, were designated for post-pandemic modernization of state unemployment insurance systems. In May 2025, about five months after Trump took office, the U.S. Department of Labor canceled the grants.
Wisconsin and Maryland lead the multi-state suit; the other plaintiffs are California, Colorado, Delaware, Illinois, Kentucky, Maine, Michigan, New Jersey, New Mexico, New York, Oregon, and Pennsylvania. In an Oct. 10 statement, Gov. Tony Evers said: "Wisconsin is working to bring state government into the 21st century, including upgrading systems to simplify services and prevent fraud, and the Trump administration is blocking this important work — that's unacceptable."
Early in the pandemic, Wisconsin's unemployment insurance system jammed badly under surging claims, sparking widespread complaints. The 2021 state legislature approved a major overhaul. The federal grants were meant for "fraud prevention, equitable access, and timely payment to eligible workers." The Labor Department had not responded as of Oct. 10.
(Source: The Bug (via Wisconsin Examiner)
Source: Wisconsin Examiner
Published by GSM · USA (original Chinese edition)
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