Federal judge in California blocks Trump administration's anti-DEI grant conditions for West Coast cities and counties

 July 12, 2026

U.S. District Judge William Orrick handed the Trump administration another courtroom setback Thursday, issuing a preliminary injunction that bars three federal departments from enforcing anti-DEI conditions attached to grant funding for eleven West Coast local governments. The 68-page order shields cities and counties in California and Oregon from requirements the judge said "likely violate the Constitution", and it lands in a legal landscape where federal courts have repeatedly intervened to stall the administration's policy agenda.

The ruling covers the Departments of Homeland Security, Justice, and the Interior, blocking each from requiring the plaintiff municipalities to certify compliance with conditions the administration tied to existing congressional grant programs. Those conditions required recipients to affirm they do not operate programs promoting diversity, equity, and inclusion in violation of federal anti-discrimination laws. Other conditions encouraged cooperation with federal immigration enforcement and demanded compliance with executive orders related to federal grants.

Eight cities, Fresno, Santa Clara, Redwood City, Santa Cruz, Stockton, Beaverton, Corvallis, and Hillsboro, and three counties, Los Angeles, San Diego, and Santa Barbara, brought the lawsuit. They argued the administration had no authority to bolt ideological requirements onto funds Congress approved for public safety, disaster preparedness, policing, fire protection, water conservation, and crime victim services. Judge Orrick, in his order, agreed with them squarely.

What the judge said, and what it means

Orrick's order did not hold back about the constitutional stakes. He wrote:

"What defendants seek to do likely violates the Constitution (separation of powers and Spending Clause) and the Administrative Procedures Act."

The judge found that the administration's new requirements "have nothing to do with or contradict the Congressional purpose" behind the grant programs in question. In several instances, he concluded, the conditions conflicted with the very statutes Congress enacted to establish those programs.

That is a pointed finding. It frames the dispute not as a policy disagreement but as a separation-of-powers question: does the executive branch have the authority to rewrite the terms of spending that Congress already directed? Orrick said no.

The judge quoted the plaintiffs' own argument, and endorsed it explicitly:

"Plaintiffs maintain that '[n]othing in the Constitution or federal statutes authorizes Defendants to impose the Challenged Conditions, or anything of the kind, on funds administered through congressional grant programs.' I agree."

He also concluded that leaving the conditions in place would cause real-world harm. Orrick wrote that enforcing the challenged conditions "would irreparably injure plaintiffs and their ability to provide critical services, as well as would threaten public safety." The public interest, he added, favored keeping the money flowing, money he described as "paid for by their federal tax dollars."

A pattern on the bench

This ruling did not arrive in isolation. A separate federal court in Seattle previously blocked comparable anti-DEI conditions attached to grants from other federal agencies. The California injunction extends that trend, covering a different set of departments and a different group of plaintiffs, but reaching the same conclusion.

The broader pattern is hard to miss. Since retaking the White House, the Trump administration has faced an extraordinary volume of judicial resistance. Fox News reported that the administration confronted 40 nationwide injunctions, with 35 of those originating from just five liberal-leaning district courts: Maryland, Washington D.C., Massachusetts, California, and Washington state. That concentration raises fair questions about forum shopping, and about whether individual district judges should hold the power to freeze executive action across the entire country.

The Supreme Court addressed that concern directly, delivering a 6-3 ruling that bars district judges from issuing nationwide injunctions. Attorney General Pam Bondi framed the decision in blunt terms: "Active liberal... judges have used these injunctions to block virtually all of President Trump's policies. No longer."

That ruling changes the landscape going forward, but Orrick's injunction applies only to the eleven named plaintiffs, not nationwide. Whether the Supreme Court's new limits on injunctive scope affect this case on appeal remains to be seen.

The Justice Department is expected to appeal. Given the administration's track record of fighting these battles through the appellate courts, the next chapter will likely unfold at the Ninth Circuit, a venue that has not historically been friendly to conservative executive action.

The real question: who controls the purse?

Strip away the acronyms and the legal jargon, and this case comes down to a straightforward constitutional question. Congress appropriated money for specific purposes, policing, fire protection, disaster preparedness, water conservation, crime victim services. The administration then attached conditions Congress never authorized. Can it do that?

Conservatives who care about constitutional order should wrestle with this honestly. The Spending Clause gives Congress, not the executive branch, the power of the purse. If a Republican president can unilaterally rewrite grant conditions to advance policy goals Congress did not endorse, then a Democratic president can do exactly the same thing the next time the White House changes hands. That is not a precedent any constitutionalist should welcome lightly.

The frustration with DEI programs is legitimate. Taxpayers have watched billions flow into diversity bureaucracies that often look more like ideological compliance offices than genuine public-service improvements. The impulse to rein them in reflects a real concern, one shared by millions of voters who sent a clear message in the last election. But the mechanism matters. Courts have blocked similar administration actions when the process bypasses statutory authority or due process, and those rulings carry weight regardless of the underlying policy goal.

The administration's position is not without logic. Requiring grant recipients to certify compliance with federal anti-discrimination law sounds reasonable on its face. But the court found the specific conditions went well beyond that, demanding adherence to executive orders and immigration enforcement cooperation that had nothing to do with the programs Congress funded. That overreach gave the plaintiffs their opening.

Downstream consequences

For the eleven plaintiff governments, the injunction preserves access to federal dollars that fund frontline services. Fresno, Stockton, and the three counties named in the suit depend on these grants for programs their residents rely on daily. Cutting that funding, or forcing local officials to choose between federal money and compliance with conditions Congress never imposed, puts real communities in a bind.

The injunction will remain in place while the lawsuit proceeds. That means months, possibly longer, of legal uncertainty for local governments trying to plan budgets and allocate resources. It also means the administration's anti-DEI conditions remain on hold for these plaintiffs, even as the broader policy fight plays out in other courts.

This case fits a wider pattern of federal judges restraining administration funding decisions when they conclude the executive branch exceeded its statutory authority. Whether the subject is infrastructure funding, grant conditions, or election administration, as in a recent ruling blocking enforcement of a Trump executive order on mail-in ballots, the courts have drawn a consistent line: the president proposes, but Congress disposes.

The administration has options. It can appeal. It can work with Congress to write the conditions it wants into statute. It can pursue the anti-DEI agenda through rulemaking that survives Administrative Procedure Act scrutiny. What it apparently cannot do, at least according to multiple federal judges, is graft new ideological requirements onto existing grant programs by executive fiat.

The road ahead

The Justice Department's expected appeal will test whether the Ninth Circuit agrees with Orrick's constitutional analysis. The Supreme Court's recent ruling limiting nationwide injunctions may narrow the scope of any future orders, but it does not resolve the underlying question of whether these grant conditions exceed executive authority.

For conservatives, the lesson is not that DEI reform is wrong. It is that lasting reform requires the hard, unglamorous work of legislation, not executive shortcuts that crumble the moment they reach a courtroom. The same dynamic has played out across a range of administration priorities, from voting requirements to funding freezes.

Voters who want DEI dismantled deserve a strategy that actually survives judicial review. Right now, they are getting courtroom losses and legal uncertainty instead.

Good policy goals do not excuse bad process. If the executive branch wants to change how Congress spends money, it should start by talking to Congress.


About Jenny Curran

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