Dallas County sues Trump administration over $70M public health clawback

Dallas County filed a federal lawsuit challenging the Trump administration’s effort to reclaim $70 million in pandemic-era public health funds, citing layoffs and long-term harm to services.

On December 5, Dallas County initiated a federal lawsuit in Washington, D.C., aiming to prevent the Trump administration from reclaiming $70 million in public health funding. The county contends that the attempt to recover unspent pandemic-era funds is unlawful and has already resulted in layoffs and disruptions to services.

A lawsuit has been filed against the Trump administration, seeking the return of $11.4 billion in unspent public health funds that were allocated during the COVID-19 pandemic. The claims from Dallas County align with those put forth by a coalition of 23 states and the District of Columbia, spearheaded by Democratic governors, who contend that funds allocated under one administration cannot be withdrawn by a subsequent one. The broader case continues to unfold.

Texas opted out of the multistate lawsuit, even though projections indicate the state stands to lose approximately $700 million. Following a recent victory in Harris County, where a federal judge mandated the return of $20 million in cut public health funds last summer, Dallas County has now made its own filing.

In Dallas County, the funding that was revoked was managed by the Texas Department of State Health Services, leading to the elimination of almost twenty public health positions, as stated in the lawsuit. The county reports that the sudden reduction has resulted in “significant harm,” jeopardizing initiatives aimed at readiness for future health crises.

The lawsuit states, “The funding that Dallas County received through new grant programs during the COVID-19 pandemic was not confined to the pandemic's duration, emphasizing that the money was meant to tackle the ongoing effects of COVID-19 and enhance long-term public health capacity.”

The county contends that the federal government's reasoning—that the funds are no longer necessary because the pandemic concluded—relies on assumptions Congress disapproved. The filing asserts that the decision "erroneously presumes without evidence that the funds were solely for pandemic-related purposes."

The case is now in the hands of Christopher Cooper, the judge who previously sided with Harris County, mandating federal agencies to reinstate funding that had been reduced.

The legal actions taken by Dallas and Harris counties highlight an increasing dissatisfaction among Texas' major public health departments regarding the delay in state leaders' efforts to recover the funds. Local officials assert their commitment to safeguarding programs and staffing associated with grants they anticipated would remain accessible until at least 2026.

The announcement of the nationwide clawback by the Trump administration last spring caught public health agencies across the country off guard. 

In Texas, the withdrawn funds had previously supported testing, staffing, and vaccination initiatives during the West Texas measles outbreak.

Inquiries for comment were directed to state health officials, the Texas Attorney General's office, and federal government attorneys; however, responses were not promptly forthcoming.

This piece was originally published in The Texas Tribune.