Eight East Coast attorneys general sued federal officials over Trump-era buyouts that paid Bluepoint Wind and Invenergy $1.4 billion to abandon offshore wind projects off New York and New Jersey. The states argue the settlements improperly used the Judgment Fund and violate multiple federal statutes, seeking court orders to void the deals and restore the leases. The suits — filed in the Eastern District of New York and the District of Maine — come as the administration has paid more than $4 billion to acquire roughly a dozen offshore wind leases, raising concerns about states' clean-energy goals.
Eight East Coast States Sue Over Trump-Era Offshore Wind Buyouts, Seeking to Restore Leases
Wind turbines generate electricity at the Block Island Wind Farm off Rhode Island. President Donald Trump's administration has pledged billions of dollars to persuade developers to abandon offshore wind leases. (Photo by John Moore/Getty Images)
Attorneys general from eight East Coast states filed lawsuits Tuesday challenging the Trump administration’s payouts to private companies that agreed to abandon offshore wind leases — a move that escalates a growing legal battle over billions in federal spending to block wind projects.
Who Sued and Why
The coalition — representing Connecticut, Delaware, Maine, Massachusetts, New Jersey, New York, Rhode Island and Vermont — sued federal officials over buyouts of two offshore wind leases in which the administration pledged $1.4 billion to developers Bluepoint Wind and Invenergy to cancel proposed projects off New York and New Jersey.
Allegations and Legal Claims
The states argue the settlements illegally divert taxpayer funds and improperly use the Judgment Fund, a permanent appropriation Congress created to pay court judgments against the federal government. According to the complaints, the fund is intended to resolve bona fide legal claims, not to finance administrative buyouts of energy projects.
"This Administration is paying developers to abandon building new sources of energy at a time when our grid needs more power... Wind energy creates well-paid jobs and reduces our reliance on fossil fuels," said New Jersey Attorney General Jennifer Davenport in a statement.
Plaintiffs say the buyouts violate multiple federal laws, including the Outer Continental Shelf Lands Act, the Administrative Procedure Act, the National Environmental Policy Act and the Judgment Fund Act. They are asking courts to invalidate the settlements and restore the cancelled leases.
Scope and Context
One suit was filed in the U.S. District Court for the Eastern District of New York; another was filed in the U.S. District Court for the District of Maine. Several of the states were already parties to an earlier June lawsuit that challenged the buyout of a separate project in waters off New York and New Jersey.
California has separately filed two lawsuits (one last month and another filed Tuesday) contesting buyouts of leases off its Pacific coast. In total, the administration has agreed to pay more than $4 billion to energy companies to relinquish about a dozen offshore wind leases, according to the filings.
Why It Matters
Many East Coast states have set ambitious offshore wind targets to meet rising electricity demand and climate goals. State officials warn that canceling planned projects and redirecting funds to fossil fuel development will make it far more difficult to achieve clean-energy commitments and could raise electricity costs.
President Donald Trump has been a vocal critic of wind energy — particularly offshore wind — and has employed various administrative measures to delay, limit or halt projects.
Stateline reporter Alex Brown can be reached at [email protected].
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