Palo Alto Joins Litigation to Protect Federal Grant Funding

Published on May 28, 2025

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City Statement

Palo Alto is joining a multi-jurisdictional effort, led by Santa Clara County and the City and County of San Francisco, to protect against threats to cut off all federal funding from local governments that limit cooperation with federal immigration enforcement. (City and County of San Francisco v. Trump, US District Court for the Northern District of California). In Palo Alto, funds at risk include approximately $87 million dollars of grant funding over the next three years for critical local needs like construction of the Newell Road bridge, bicycle and pedestrian safety projects, the Homekey facility to house the unhoused, police safety equipment, construction of an advanced water purification facility, replacement of aging gas mains, levee construction, supplemental firefighting staff, and disaster relief. The Council decided to join this lawsuit to protect these critical federal funds, while complying with state law that requires cities to refrain from involvement in federal immigration enforcement. Palo Alto provides local public services, including paramedic services, fire protection, police services, library access and recreation opportunities, to everyone who lives, works, and visits our community. This long-established approach to local public services enhances the safety and wellbeing of all. It also complies with the California Values Act, which restricts the use of local resources for federal immigration enforcement purposes. The federal administration’s attempt to leverage federal funding to coerce cities and counties to do the work of federal immigration officials is unlawful, as the Ninth Circuit determined in 2019.  

Answers to Possible Community Questions: 

  • How much will this cost?
  • Santa Clara and San Francisco are leading this litigation. Funds are not required from Palo Alto. A modest amount of staff time will be needed to support participation. Risk of no action is losing $87 million in funding supporting critical Palo Alto projects. 

 

  • Santa Clara County is already on this suit, doesn’t that protect all cities in the County?
  • No. In the litigation the County will protect funding for County projects and services. The projects and services listed above are City initiatives, not covered by the County’s efforts.

 

  • Who else is involved in the lawsuit?
  • City and County of San Francisco, Santa Clara County, Monterey County, King County WA, and the following cities: San Jose, San Diego, Oakland, Sacramento, Emeryville, Santa Cruz, Seattle, New Haven CT, Minneapolis MN, St. Paul MN, Portland OR, Santa Fe NM. Additional plaintiffs are expected to join in the coming weeks.  

 

Questions:

Meghan Horrigan-Taylor

Chief Communications Officer

City Manager's Office

Email: Meghan.Horrigan-Taylor@paloalto.gov