Trump’s $7.6 Billion Energy Project Cuts Draw Federal Probe

December 17, 2025, 6:52 PM UTC

The Trump administration’s move to cut $7.6 billion in grants to California and other Democratic-led states has prompted a probe by a federal watchdog.

The Energy Department’s inspector general said it will audit the decision to slash the funding, responding to a request from congressional Democrats who argue the terminations may violate federal law and raise questions about the agency’s ability to meet its financial obligations.

“The Office of Inspector General recently announced an audit which will review the Department of Energy’s processes when cancelling financial assistance and whether those cancellations were in accordance with established criteria,” Sarah B. ...

Learn more about Bloomberg Law or Log In to keep reading:

See Breaking News in Context

Bloomberg Law provides trusted coverage of current events enhanced with legal analysis.

Already a subscriber?

Log in to keep reading or access research tools and resources.