Science
Some Green Groups Are Running Out of Cash After Trump Freezes $20 Billion
Two weeks after their bank accounts were frozen amid a swirl of investigations by the Trump administration, nonprofit organizations that were supposed to receive $20 billion to help curb climate change are still unable to withdraw money, raising concerns about their ability to pay staff.
The accounts were frozen by Citibank, which holds the money, after Lee Zeldin, the Environmental Protection Agency administrator, suggested there was potential fraud and the F.B.I. and Department of Justice launched investigations. Those inquiries went forward despite the determination by a top federal prosecutor that there was not enough evidence to open a grand jury criminal probe. Citibank declined to comment.
Mr. Zeldin has criticized the policy and the structure of the program that was created by Congress and run by the Biden administration. He called for the money to be returned to the federal government, but has presented no evidence that a crime has been committed. This week, he asked for a third, concurrent investigation by his agency’s acting inspector general.
Climate United, which received almost $7 billion under the program to distribute to other organizations, said Tuesday that it is struggling to make payroll, and individual project developers cannot withdraw the money they were promised.
“These relationships take many months to build and are in jeopardy if funding freezes continue,” said Brooke Durham, a Climate United spokeswoman.
On Tuesday, lawyers for Climate United asked the E.P.A. to justify its actions. In a letter to the agency, the lawyers detailed Climate United’s efforts to meet with E.P.A. representatives, adding that the agency canceled a Feb. 25 meeting after learning that Climate United’s lawyers would be present.
The Trump administration has for the last six weeks attempted to find malfeasance connected to the distribution of money from the Inflation Reduction Act, the Biden administration’s signature climate law. The law provides tax incentives for clean energy manufacturing, and also calls for the E.P.A. to issue billions of dollars worth of grants to states, tribes, nonprofit groups and others to reduce emissions from fossil fuels, the main driver of climate change.
Mr. Zeldin has taken particular aim at $20 billion obligated in April that came from a program called the Greenhouse Gas Reduction Fund, which is sometimes known by the shorthand “green bank” funding.
Under it, Congress required the E.P.A. to award grants to organizations that in turn would offer loans and grants to businesses, homeowners and others to spur clean energy across the country, particularly in low-income neighborhoods. Funds were held in Citibank accounts under the names of the grantees.
Former Vice President Kamala Harris was a champion of the program, calling it “the largest investment in financing for community-based climate projects in our nation’s history.”
The Trump administration has run into roadblocks in its efforts to claw back the funding. Denise Cheung, a top federal prosecutor in D.C., refused to order that Citibank freeze the funds, citing a lack of evidence of possible criminal activity.
Last month, she wrote in a letter, obtained by The New York Times, that she was asked to step down by the interim U.S. attorney in Washington, Ed Martin, after she determined there was not enough evidence to open a grand jury criminal investigation or to order a bank to freeze the accounts.
The Trump administration appears to be basing its portrayal of the program as somehow criminal on a hidden-camera video produced last year by Project Veritas, a right-wing group known for trying to entrap political opponents with covert recordings.
In the video, shot at a bar or restaurant toward the end of the Biden administration, Brent Efron, then an E.P.A. employee, is asked about his job by an unidentified male who gushed “amazing,” when Mr. Efron said he worked on climate change.
At one point in the video, Mr. Efron refers to “green banks,” which he tells the person covertly recording him are nonprofit institutions that make it more financially feasible to build renewable energy projects.
Project Veritas edited the video to then cut to a different part of their conversation in which Mr. Efron was describing how there was a rush to finish obligating funds that had been authorized by Congress before the Trump administration took office.
“It truly feels like we’re on the Titanic and we’re throwing like gold bars off the edge,” Mr. Efron said in the video.
Mr. Zeldin and other Trump officials now frequently invoke the “gold bars” phrase to suggest the prior administration was rushing to spend tax dollars in ways that were vulnerable to waste, fraud and abuse.
But a lawyer for Mr. Efron, Mark Zaid, said his client, whom he portrayed as “the victim of a Project Veritas attack,” was not referring to the frozen funds.
“He is the one who made that ‘gold bars’ statement that Zeldin keeps seizing on, but it has nothing to do with this Greenhouse Gas Reduction Fund,” Mr. Zaid said. “He wasn’t talking about that. Those funds were already allocated and obligated.”
In the Project Veritas video, after using the “gold bars” phrase, Mr. Efron was asked who was getting the gold bars. He replied “nonprofits, states, tribes, cities” adding: “a lot of them are small, like, local nonprofits.”
Mr. Efron has been contacted by both the office of the E.P.A. inspector general and by an agent with the Washington field office of the F.B.I., according to Mr. Zaid.
The F.B.I. agent left a card at Mr. Efron’s home. Mr. Zaid said that on behalf of his client, he called the agent, who told him he had been sent by a prosecutor in the Southern District of Florida. But “that disappeared very quickly, and I am in discussion with the D.O.J. right now to better understand what is actually going on,” Mr. Zaid said.
There had been, he said, a “strange bouncing around of which U.S. attorney was going to handle this case.”
The person with the office of the E.P.A. inspector general — one of the many watchdog agencies whose leaders have been purged by Mr. Trump — sent Mr. Efron an email to which Mr. Zaid replied, the lawyer said, but he had not heard back.
Right-wing media outlets have labeled the green bank a slush fund and highlighted a link between fund recipients and Stacey Abrams, a Democratic organizer and former candidate for governor in Georgia.
Ms. Abrams served for one year as a senior counsel for Rewiring America, one of the nonprofit groups that stood to receive control of $2 billion to administer loans to different climate programs.
The Trump administration has also claimed that funding was awarded to organizations with ties to the Biden White House. Mr. Zeldin repeated these conflict of interest claims in his Monday letter to the Office of the Inspector General seeking further investigation.
John Podesta, who oversaw implementation of the Inflation Reduction Act as a senior climate adviser to the Biden administration, said in an interview that the process for issuing grants was “extremely” stringent and called the Trump administration attacks politically motivated.
“We knew it was a possibility that they’d try to interfere with people getting access to their money,” Mr. Podesta said of the Trump administration. In recent weeks the Trump administration also has frozen billions of dollars that were appropriated by Congress for clean energy projects, releasing some of the money only after two judges ordered it.
“We followed the law and they are breaking the law,” Mr. Podesta said.
Science
More middle-class Californians cancel health coverage after losing federal aid
Facing higher premiums and the loss of federal subsidies, 374,000 people with health insurance from the state marketplace known as Covered California canceled their coverage in the first three months of the year, according to government statistics.
The cancellations amount to 19% of those who had renewed their policies on the state marketplace during open enrollment, state officials said. Those cancellations are higher than in the past three years when they ranged from 13% to 15% of those who renewed.
Jessica Altman, executive director of Covered California, attributed the jump in cancellations to the expiration of enhanced federal subsidies that caused the cost of a plan to leap for most middle-class Californians.
“We expect coverage losses to increase through the year,” she said.
Overall, Covered California had 1.8 million enrollees in February, down from 1.94 million the year before — a decline of 7%.
Altman said monthly enrollment numbers are delayed because consumers have a three-month grace period to resume their premium payments before the insurance carriers end their coverage for nonpayment.
This year, many middle-class Californians who depend on the state-run insurance marketplace created under the Affordable Care Act faced annual costs that were hundreds of dollars higher than last year because of the end of enhanced federal subsidies that began during the COVID-19 pandemic.
In 2021, Congress voted to temporarily boost the amount of subsidies Americans could receive for an ACA plan.
The law also expanded the program to families who had more money. Before that 2021 vote, only Americans with incomes below 400% of the federal poverty level — currently $62,600 a year for a single person or $128,600 for a family of four — were eligible for ACA subsidies. The 2021 vote eliminated the income cap and limited the cost of premiums for those higher-earning families to no more than 8.5% of their income.
On top of the loss of the enhanced federal subsidies, the average premium charged by insurers this year for a Covered California plan rose by more than 10% because of fast-rising medical costs.
The decline in ACA plan enrollees, however, has been greater in some other states. California has tried to keep people insured by using state tax money to fill in the gap for lower-income families.
This year, the state budgeted $190 million for premium subsidies for people with incomes of up to 165% of the federal poverty level.
In his budget plan, Gov. Gavin Newsom proposed spending $300 million on those state subsidies in 2027. That would expand the subsidies to enrollees with incomes up to 200% of the federal poverty level, or $31,920 for an individual or $66,000 for a family of four.
“We may actually see a number of Covered California enrollees paying less in 2027” because of the additional state subsidies, Altman said.
In May, Newsom also proposed in his budget that an additional $27 million in state money be used to help enrollees pay for the cost of gender-affirming care. That amount is an increase to the $30 million that he earlier proposed be spent this year and next to defray those costs for Covered California enrollees, according to state officials.
Last year, federal health officials enacted a rule that said the federally subsidized ACA plans could no longer cover gender-affirming care because it was no longer considered an “essential health benefit.”
Newsom’s proposed budget still faces debate in Sacramento and approval by the state Legislature.
The state marketplaces, created by the Affordable Care Act, also known as Obamacare, were meant to help those who don’t have access to an employer’s health insurance plan and have incomes too high to qualify for Medi-Cal, the government-paid insurance for the poor and disabled.
Because of the higher cost this year, more people are choosing the lower-priced Bronze plans. Those plans have higher co-pays and deductibles than the more expensive plans.
“We’re very concerned with the large shift to Bronze,” Altman said. “When you have higher cost-sharing, you’re more likely to defer care.”
Science
Political play or budget fix? Competition for JPL’s management comes at a fraught moment
Weeks after Trump administration officials announced that management of NASA’s Jet Propulsion Laboratory would open to competitive bidding for the first time, questions remain as to why Caltech could lose control of the lab its researchers founded in 1936.
On one hand, observers note, high-profile delays and cost overruns on significant recent JPL projects earned sharp criticism from NASA even before the 2024 presidential election.
On the other, the second Trump administration’s record of squeezing scientific funding and attacking institutions in Democrat-led states make it difficult to consider any action separate from the charged political atmosphere, analysts say.
“My first instinct is that this [competition] isn’t necessarily a bad thing. It’s not written in stone that Caltech must run JPL, and it wouldn’t be the worst thing to have some competition for running the place,” said Casey Dreier, chief of space policy at the non-profit Planetary Society.
“That said, that requires this contract evaluation to be fair and unbiased, and this administration has no credibility in such things,” he added. “The responsibility is on NASA to earn the trust and ensure such an evaluation is open and free from political meddling. That’s almost impossible.”
JPL became part of NASA when the space agency was formed in 1958, and Caltech has been awarded the contract to run the institution outright ever since.
Its current 10-year contract with NASA, which is valued at up to $30 billion, runs through Sept. 30, 2028.
NASA Administrator Jared Isaacman announced the competition on May 22 as part of a slate of sweeping organizational changes at the space agency.
“When you step back, it is worth considering how many additional missions we could have undertaken with the resources lost to program cancellations and cost overruns over the years,” Isaacman wrote in a memo to staff. “That is the problem we must fix, so the American taxpayer and space-loving community can receive the highest scientific return on every dollar we spend at NASA.”
Competing the contract for JPL, the lone Federally Funded Research and Development Center (FFRDC) in NASA’s portfolio, was an effort to address cost-efficiency concerns, Isaacman wrote.
“This process will take several years, and I do not anticipate it having any impact on the projects underway or the location of the facilities,” he wrote. “It does, however, provide an opportunity to evaluate management costs, overhead burdens, and ideally find ways to get after the science faster and more affordably.”
In a joint statement, Caltech President Thomas F. Rosenbaum and JPL Director Dave Gallagher said the competition was “no surprise” and that a team was already in place “to ensure we are positioned for success.”
In July, NASA’s Office of Procurement held an informational event for companies and institutions interested in the upcoming FFRDC contract.
The dozens of registered attendees included universities like USC, Texas A&M University and Georgia Tech, aerospace companies such as Boeing and Lockheed Martin and nonprofit corporations like MITRE, which manages several FFRDCs, and Universities Space Research Association, a university consortium founded by the National Academy of Sciences in 1969. (SpaceX, which has been awarded more than $13 billion in NASA contracts in the last decade, was not on the list.)
“Lockheed Martin has more than 50 years of deep space exploration success with JPL, supporting landmark missions to Jupiter, Venus, Saturn, Pluto, including nearly a dozen missions to Mars,” said Bob Behnken, VP of Exploration and Technology Strategy. “We look forward to building on that unmatched partnership in the years ahead. We are closely following NASA’s review and will continue to assess how we can best contribute to the agency’s mission.”
Other attendees contacted by The Times declined to discuss their involvement.
Isaacman indicated that JPL could come under scrutiny even before he took over NASA. The billionaire entrepreneur referenced high costs at the La Cañada Flintridge institution in a memo prepared in advance of his confirmation hearings on his priorities for the space agency.
“Contract structure: Very expensive,” Isaacman wrote of JPL in a table outlining organizational issues at each of NASA’s centers. “Must increase the output and ‘time-to-science’ KPI.”
The institution has recently suffered a number of high-profile management stumbles.
After the JPL-managed Psyche mission to a metal-rich asteroid failed to meet its 2022 launch date, NASA commissioned an independent review that said internal reorganizations and personnel changes created distracted and uninformed managers and burned-out, stretched-thin staffers.
After a 2023 independent review found there was “near zero probability” of the JPL-managed Mars Sample Return mission making its proposed 2028 launch date, and “no credible” way to bring rocks back from the Red Planet within the stated budget, Isaacman’s predecessor Bill Nelson put out a call for proposals to industry and all other NASA centers, forcing JPL to compete for its own project.
After Trump’s election, Nelson announced that the final decision would be in the next administration’s hands.
The White House pushed for massive cuts to NASA’s 2026 budget that Congress overturned, and has lobbied for similarly steep cuts again this year. JPL has instituted painful cost-cutting measures of its own, reducing staffing from roughly 6,500 employees in 2023 to 4,500 last year through layoffs and attrition.
Its struggles come at a point when NASA is enthusiastically embracing private industry. Last month the agency awarded several key contracts for its upcoming lunar missions to Jeff Bezos’s Blue Origin and other private companies.
Trump has also made no secret of his willingness to punish states that haven’t voted for him through job losses. In announcing his decision to move U.S. Space Command from Colorado to Alabama, Trump acknowledged that his loss in Colorado in three presidential elections played a part in the move.
It’s impossible to consider any decision on JPL’s future separate from the administration’s track record of politically-motivated decisions, Dreier said.
“At the heart of this is why? Why now? If this is not just some rank political attack on California, what do they hope to gain from this?” Dreier said. “That deserves explanation, because the administration otherwise has no credibility here.”
Science
Dive Into a Very Noisy Sea With Some Very Rare Whales
The Gulf of Mexico, which the Trump administration calls the Gulf of America, is one of the noisiest bodies of water in the United States. Air gun blasts are the loudest element there, according to research by scientists who monitor underwater acoustics. Shipping traffic is another major contributor.
The noise could affect the ability of Rice’s whales to find food and mates, scientists say. The chronic stress of living in a loud environment could be detrimental to their health.
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