May 21, 2025

Environmental Nonprofits Struggle as Federal Shake-Up Freezes Key Climate Funds

While Wild Virginia does not receive federal funding, other environmental nonprofits are navigating significant challenges amid recent federal government shifts under the Trump administration. These changes have disrupted funding streams, prompted legal battles, and forced organizational restructuring.

Sierra Club joins the Wild Virginia podcast [Old Dominion Eco Buzz] to discuss their path forward and offer hope to environmental advocates.


Funding Freezes and Legal Challenges

The Trump administration has frozen billions in climate-related grants, notably from the Greenhouse Gas Reduction Fund (GGRF). This action has left nonprofits like Climate United and the Coalition for Green Capital unable to access funds designated for clean energy and environmental justice projects. Although a federal judge ordered the Environmental Protection Agency (EPA) to release some of these funds, many organizations remain in financial limbo.

In response, numerous nonprofits and municipalities have filed lawsuits against the federal government, arguing that the funding freezes are unlawful and jeopardize critical community programs.

The Virginia Sierra Club stresses the importance of working locally on issues – like fossil fuel infrastructure. They are currently engaging the community and mobilizing citizens to stop methane gas fired power plants, the first of these being built in Chesterfield County, just south of Richmond. They are holding nine workshops around the state to train people on how to defeat all of Dominion’s gas plant proposals,, and find more information can be found at sierraclub.org/virginia/stop-dominion


Operational Impacts and Staff Reductions

The funding uncertainties have compelled many environmental nonprofits to furlough employees, scale back programs, and, in some cases, consider closure. The broader federal workforce reductions— thousands of layoffs and voluntary departures—have further strained these organizations by limiting agency support and delaying grant processing.

Additionally, the administration’s proposed consolidation of wildland firefighting efforts into a single agency has raised concerns among environmental groups about potential disruptions to fire prevention strategies and increased wildfire risks.

All in all, the federal shake up is circulating conflicting information and confusion surrounding important grant terminations.

These are all critical public health issues and everyone deserves to have clean water and food free of PFAS.


Environmental nonprofits that received federal funding in the past are at a critical juncture, balancing the need to sustain their missions against a backdrop of political and financial uncertainty. Their resilience and adaptability will be pivotal in continuing to address environmental challenges amid these federal shifts.

Interested in supporting a Virginia nonprofit that is still hard at work, despite the federal shake-up? Show your support for nonprofits like Wild Virginia that are working to protect and connect your favorite wild places through improving habitat connectivity, water quality, and access to the outdoors. Your donation keeps Virginia drivers and wildlife safe, protects Virginia’s water, and funds our monthly webinars that educate and inspire people to get involved in advocating for wild places.