A federal judge this week ruled that the Environmental Protection Agency unlawfully clawed back more than $250 million for solar energy initiatives across Texas, siding with a legal challenge brought by Harris County last year.
The ‘Solar for All‘ program was intended to fund clean energy initiatives for low-income households across the state, create job growth and establish community hubs powered by solar energy reserves in the event of power outages. The program was backed by a $7 billion clean energy fund signed by former President Joe Biden.
Harris County was awarded $54 million for the solar program in 2024. That money was rescinded in August last year when the county received a termination letter from the EPA that claimed to end the initiative. The Harris County Attorney’s Office brought the legal challenge in October of 2025, after raising doubts about the legality of the termination notice.
RELATED: Harris County sues EPA after Trump administration claws back $250 million solar grant
The EPA argued in court that Congress repealed the Solar for All program in 2025 through the passing of President Donald Trump’s signature tax cut and spending package — known colloquially as the One Big Beautiful Bill Act — forcing the agency to terminate more than $7 billion in grant funds for solar initiatives across the United States, according to lawsuit documents.
U.S. District Judge Tanya Chutkan on Tuesday sided with Harris County in it’s arguments that the EPA unlawfully clawed back those funds. She described the agency’s interpretation of the act as “arbitrary and capricious.”
Chutkan’s ruling does not instruct the EPA to restore the grant funds. Brent Taylor, a spokesperson for the Harris County Attorney’s Office, said the federal agency will essentially be on notice to figure out how to restore the program, though not necessarily any lost funds.
In a statement to Houston Public Media Thursday, an EPA spokesperson said the agency is reviewing the court decision and considering options for appeal.
Harris County Attorney Abbie Kamin, who was appointed by commissioners court in April this year, said the county will work to safeguard the funds for local projects.
“I will continue to stand up against improper federal agency actions that are not only illegal, but also harm our communities,” she said in a statement Wednesday. “Seven billion dollars of grant funding was jeopardized by the Trump Administration — dollars that would bring clean energy jobs, lower electricity bills.”
Harris County was one of 60 recipients across the U.S. that received funds from the EPA for Solar for All, which was designed to save thousands of dollars for low-income households by expanding access to clean energy. After the funds were distributed last year, the Texas coalition developed a workplan to strengthen solar energy infrastructure.
The decision on Harris County’s lawsuit comes a few days after another federal judge in Rhode Island also ruled that the EPA unlawfully terminated Solar for All grant funds.
Copyright 2026 Houston Public Media News 88.7