E&C Democrats to Zeldin: Stop Lying About Inflation Reduction Act Funding and Immediately Release Obligated Money

Energy and Commerce Committee Democratic leaders wrote to Environmental Protection Agency (EPA) Administrator Lee Zeldin today demanding that he stop violating the law and immediately release obligated funding from the Greenhouse Gas Reduction Fund and Environmental and Climate Justice Block Grants, which were already promised to communities across the country. 

The letter was signed by Ranking Member Frank Pallone, Jr. (D-NJ), Environment Subcommittee Ranking Member Paul Tonko (D-NY), and Oversight and Investigations Subcommittee Ranking Member Yvette D. Clarke (D-NY).

Their letter comes on the heels of Zeldin’s announcement last week that EPA will begin illegally clawing back obligated Solar for All funding – a $7 billion residential solar program that is part of the Greenhouse Gas Reduction Fund.

“You continue to wage an unprecedented and defamatory assault on this fund without any credible evidence, weaponizing [EPA] to steal lawfully awarded taxpayer funds,” Pallone, Tonko, and Clarke wrote in their letter to Zeldin. “We have made multiple requests directing you to share any credible evidence that supports your accusations of waste, fraud, and abuse. However, as your own lawyers have confirmed, EPA has been unable to substantiate any of these claims.”

The three Committee leaders noted that in the Trump Administration’s latest attempt to dismantle critical programs, it has falsely claimed that enactment of H.R. 1 – Trump’s Big Ugly Bill – gave them the authority to take back obligated funds. But the Democrats pointed out that these claims are not even supported by congressional Republicans, as the vast majority of funding was obligated to projects across the country prior to enactment of H.R. 1.

“The same holds true for the Environmental and Climate Justice Block Grants, which invested $3 billion in community-led projects that address environmental and public health harms related to pollution and the worsening climate crisis,” they wrote. “The truth is the vast majority of Environmental and Climate Justice Block Grants were obligated to projects across the country prior to enactment of H.R. 1, yet you continue to try to steal these promised funds.”

 The lawmakers cited language in H.R. 1 which specifies it only applies to unobligated funds and is not retroactive. The Democrats noted that the Congressional Budget Office’s (CBO) assessment confirms this reading of the law.

 “Even if you were not inclined to follow the letter of the law or the interpretation of CBO, you could instead simply listen to what Congressional Republicans themselves said during debate on H.R. 1,” they continued. “Congressional Republicans made clear that the provisions in H.R. 1 do not affect obligated funds.” 

Pallone, Tonko, and Clarke went on to directly quote Congressman Griffith, then-Chairman of the Energy and Commerce Committee’s Subcommittee on Environment, who during the May 13, 2025 markup of H.R. 1 said: 

“If a grant was already given, as far as this bill is concerned, then that would still be going forward… If the grant has already been granted and the money is obligated, then this — then our language does not affect that. […] We can’t rescind expenditures that have already been obligated.”

The three Committee leaders concluded by demanding that Zeldin follow the law and immediately release all funds that have already been obligated.

“Time and again, you have boasted about the unlawful activities EPA is conducting under your leadership without any credible evidence to justify your actions,” they concluded. “Once and for all, stop lying about these programs and grantees. It is long past time for you to release these duly obligated funds promised to communities across the nation.” 

Read the full letter HERE.

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