Multiple states – including New Jersey – have joined a multi-state lawsuit challenging the sudden cancellation of approximately $85 million in federal education funding.
Delran was one of 20 school districts across the state affected by the March cuts, which Gov. Phil Murphy called “reckless and irresponsible.”
“At a time of unprecedented chaos and uncertainty at the federal level, Washington is failing the next generation,” he said.
School Superintendent Lisa Della Vecchia addressed the lawsuit in a letter to Delran families, noting that the district received an email on April 10 from Laura M. Console, chief of staff at the New Jersey Department of Education.
“The email informed us that New Jersey has joined a multi-state lawsuit seeking a preliminary injunction against the U.S. Department of Education and Secretary (Linda) McMahon,” Della Vecchia wrote. “The lawsuit challenges the sudden cancellation of the late liquidation provision for ARP ESSER funds.”
State Attorney General Matthew J. Platkin joined a coalition of 15 other attorneys general and the governor of Pennsylvania, Josh Shapiro, in suing the Trump Administration to restore states’ access to essential U.S. Department of Education programs that address the long-term effects of COVID on K-12 students in New Jersey and across the country.
The department notified states on March 28 that it was unilaterally ending access to hundreds of millions of dollars in grants from the American Rescue Plan Act (ARPA), which the department had previously determined states could obtain through March of 2026.
The federal education department’s sudden reversal and arbitrary termination of access to those funds will cause serious harm to students throughout the country, officials say.
“Cutting off funding to some of the most vulnerable students in our state and jeopardizing programs to help students recover from COVID learning loss is cruel and illegal,” Platkin remarked.
The 55-page complaint requests that a court:
- Vacate the March 28, 2025, letter issued to states, which shortened the deadline for ARP ESSER late liquidation by one year.
- Declare the letter a violation of the Administrative Procedure Act.
- Enjoin the U.S. Department of Education from enforcing the contents of the letter or revoking previously granted late liquidation approvals.
- Grant any other relief the Court deems appropriate.
Funding for Delran schools is related to reimbursement of final expenditures for capital projects that allowed the district to make improvements to the HVAC (heating, ventilation, and air conditioning) system. The projects were already approved and completed.
The state education department allowed districts to apply for an extension on reimbursement of payments to contractors for approved capital projects known as and defined by the federal education department as “late liquidation.” Delran submitted a “late liquidation request” and was notified the request to late liquidate up to $717,064 was approved.
The state education department indicated that it expects to have more information on the timeline for a ruling soon and will keep the district informed as the litigation progresses, according to Della Vecchia.
“(The state) also acknowledged the importance of this issue to our district,” she added, “and assured continued updates regarding the state’s advocacy on behalf of New Jersey school districts.”
