On Tuesday, Washington State Attorney General Nick Brown, joined by 11 other states, filed a lawsuit against the U.S. Department of Health and Human Services (HHS), alleging the agency is unlawfully linking hundreds of billions of dollars in federal funding to policies that they claim discriminate against transgender individuals. The lawsuit and a statement from Mr. Brown detailed this action.
Mr. Brown stated this marks the 50th legal challenge his office has launched against what it considers excessive federal overreach since he took office nearly a year ago.
The lawsuit was filed in U.S. District Court for Rhode Island, seeking to prevent a new HHS policy that conditions federal funding for healthcare, education, and research on compliance with a presidential executive order. This order redefines gender in a manner that excludes transgender individuals.
Under the policy, organizations receiving HHS funding – including states, public universities, hospitals, and healthcare agencies – must certify their compliance with Title IX protections, including the requirements of the executive order.
The states argue that HHS lacks the authority to impose these conditions and is attempting to force states to violate their own anti-discrimination laws to avoid losing approved congressional funding.
“The administration doesn’t seem to care who is harmed or what laws are violated in its targeting of transgender people,” Mr. Brown said. “We resolutely reject these unlawful demands and will fight to protect every dollar Congress has appropriated.”
The lawsuit states that the funding conditions are broad in scope, impacting numerous HHS programs and posing significant risks to existing programs.
According to the complaint, recipient organizations could face funding cuts, repayment of funds, or even legal liability if HHS later determines they are not in compliance.
The states also argue that HHS has failed to provide clear explanations of what is required for compliance.
Mr. Brown’s office reports that legal challenges initiated since January 15, 2025, have helped protect over $15 billion in federal funding for Washington state.
These resources support public schools, nutritional support programs for children, housing assistance for the homeless, and counterterrorism and environmental protection efforts.
The states contend that HHS’s policy violates the U.S. Constitution by exceeding Congress’s power of the purse, violates federal law by imposing vague and retroactive conditions on funding, and violates the Administrative Procedure Act by implementing a significant policy change without adequate notice or explanation.
The lawsuit also highlights conflicts between federal policy and state law.
In Washington, the Washington Law Against Discrimination prohibits discrimination based on sexual orientation, including gender identity and expression, in areas such as employment, public accommodations, housing, credit, and insurance. State law also prohibits discrimination based on gender identity or expression in healthcare services and public schools.
The states are requesting the court declare the policy unlawful and prevent HHS from enforcing it, allowing them to continue providing healthcare, education, and other services they consider to be unduly coercive funding conditions.
Joining Washington in the lawsuit are the Attorneys General of New York, Rhode Island, California, Colorado, Delaware, Illinois, Michigan, Minnesota, Nevada, Oregon, and Vermont.
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