CVI Grant Termination FAQ

In recent months, our field has been impacted by critical federal cuts to Community Violence Intervention (CVI) funding. While these cuts are being challenged in court, we know that many organizations still have questions. This document provides topline answers to several questions we have received related to the following topics: 

This is not legal advice. Every organization’s situation is unique. CVI grantees are encouraged to consult qualified legal counsel to evaluate their options and determine next steps. Please contact us at info@cvlegalnetwork.org if you have follow up questions or would like to talk to a pro bono attorney. 

  • The termination process is guided by agency regulations, including the Uniform Administrative Requirements (2 C.F.R. Part 200) and DOJ-specific guidelines. DOJ can terminate a grant if it determines that the project no longer aligns with agency priorities. Although the DOJ has broad discretion, certain procedural rules apply. A termination letter typically states: 

    • The reason for the termination; 

    • The effective date; 

    • The portion of the grant affected. 

    A CVI grantee can review the letter to identify any errors, such as incorrect dates or missing information. 

    For grants awarded after October 1, 2024, DOJ’s authority to terminate may depend on whether a specific termination clause is included in the grant agreement. These changes primarily stem from revisions to the Office of Management and Budget’s (OMB) Uniform Guidance, specifically 2 C.F.R. § 200.340, which became effective on that date. The revised regulation mandates that federal agencies, including the DOJ, can only terminate grants for reasons such as a change in agency priorities if such termination authority is explicitly stated in the grant's terms and conditions. (Source).

  • Even if a grant is terminated, certain costs can remain eligible for reimbursement under uniformed guidelines for the agency. These may include: 

    • Administrative costs (legal, accounting, clerical) 

    • Staff time spent on closeout activities 

    • Costs for final reporting, printing, or publishing 

    • Costs related to returning or managing grant-funded equipment 

    A CVI grantee can be responsible for: 

    • Paying outstanding obligations 

    • Returning unspent funds that must be returned 

    • Completing closeout actions within a required period, often one year 

    Keeping detailed records of expenses can assist with reimbursement. 

  • If your grant was terminated on April 22, 2025 your last day to appeal was May 22, 2025. In general, organizations have 30 days to appeal termination decisions. However, every DOJ grant termination is different, so we encourage you to ask an attorney about your specific grant. 

  • The timeline for appeals has likely passed, but if your grant was terminated within the past 30 days you may have the option of administratively appealing the termination, depending on factors such as the reason for termination, the grant’s terms, and organizational priorities. Legal counsel can assist in evaluating whether to appeal administratively. 

    An administrative appeal may include: 

    • An explanation of why the grantee disagrees with the termination; 

    • A description of the action requested from DOJ; 

    • A request for a hearing, if desired. 

    Additional materials that may be required include:

    • A copy of the termination letter; 

    • The date the letter was received; 

    • A brief summary of the grantee’s argument; 

    • A list of disputed costs; 

    • Any other materials DOJ requests. 

    Please note the above are included as examples only. Grantees should closely follow any instructions in their termination letter on how to transmit their administrative appeal, to whom it must be directed, and what materials must be included. 

    The National Council of Nonprofits also offers practical guidance for organizations facing the termination of federal grants or contracts, and outlines steps to understand the reasons for termination, respond effectively, and explore possible remedies. CVI grantees may refer to this resource, which provides insights into compliance, communication with funders, and strategies for mitigating the impact on organizational operations, when navigating grant terminations. (Source)

    Whether or not an organization decides to pursue an administrative appeal, grantees may consider reaching out to their contact at DOJ to seek guidance, including on repayment of outstanding costs and reporting requirements. 

  • After receiving an administrative appeal, an agency official reviews the materials. A CVI grantee can choose to rely solely on written materials or can request an oral hearing. 

    If the official determines that the materials, even if assumed true, do not establish grounds to reverse the termination, the administrative appeal can be denied without a hearing. 

    DOJ can also offer informal proceedings to attempt resolution. Participating in informal discussions does not waive the right to a formal hearing. A CVI grantee can engage informally with DOJ officials while preserving formal appeal rights. 

    If a hearing is held, it is usually conducted in Washington, D.C., before a DOJ-appointed hearing officer. A grantee can object to the officer’s appointment, but DOJ retains discretion in selecting the presiding officer. The hearing officer can gather facts through depositions, document production, or subpoenas if necessary. 

    The length of time that an administrative appeal can take is uncertain and depends on multiple factors including staffing and inter-agency protocols. 

    Following the hearing, the agency official issues a final agency decision. A grantee can request a re-review of the record within 30 days after receiving the final decision notice. 

  • Recent rulings have indicated that appealing a grant recession (often referred to as “administrative exhaustion”) is likely not required before bringing a lawsuit under the Administrative Procedure Act. See, e.g., RFE/RL, Inc. v. Lake, No. 1:25-cv-799-rcl, 2025 WL 900481, at *3 (D.D.C. Mar. 25, 2025). 

    Some grantees appeal administratively while also pursuing court action. Others file lawsuitsdirectly, especially if urgent relief is needed to prevent harm from termination.

  • Under 5 U.S.C. § 702, grant recipients adversely affected by a federal agency’s final action (such as a termination letter) have a right to judicial review in federal court. 

    If an administrative appeal does not resolve the termination or if faster relief is needed, a CVI grantee may consider filing a lawsuit in federal district court. 

    Legal practitioners have observed that seeking a Temporary Restraining Order or Preliminary Injunction in district court can be an effective way to obtain immediate relief. District courts can issue injunctions preventing DOJ from enforcing a termination while the case proceeds. 

    Filing in district court may avoid the Court of Federal Claims, which generally does not have the power to issue injunctions to halt a grant termination. 

    A lawsuit can be filed without completing the administrative appeal process, though some grantees may still choose to file an appeal within 30 days to preserve options. 

  • In a class-action complaint intended to offer relief to hundreds of community organizations, the Children and Youth Justice Center, Chinese for Affirmative Action, FORCE Detroit, Health Resources in Action, and the Vera Institute of Justice are asking a federal court to stop OJP from unlawfully terminating these grants. The groups are being represented by Democracy Forward and Perry Law. 

  • That will depend on how a judge rules. But the lawsuit is trying to cover all organizations issued awards by OJP whose grants or cooperative agreements were terminated in April 2025 because, according to OJP, “the awards “no longer effectuate[] the program goals or agency priorities.”

  • Q: What is grant closeout? 

    Award Closeout is the end of the grant process by which the federal awarding agency determines that the grantee and the federal awarding agency have completed all applicable administrative actions. It is the final stage of the grant administration process. Office of Justice Programs (OJP) program offices complete the programmatic portion, and the Office of the Chief Financial Officer (OCFO) completes the financial reconciliation. (Source)

    Q: Should my organization pursue closeout? How do we? 

    Every organization must make their own determination about whether to challenge the legality of the termination of the grant and seek rescission of the termination notice (through an appeal, lawsuit, or both), or whether to accept the termination decision and pursue recovery of allowable costs in accordance with the closeout procedures. 

    Navigating the closeout process for government grants following termination requires a strategic approach and adherence to federal regulations. Engaging legal counsel early is important. Putting together a well-supported closeout package is essential to recovering termination costs and ensuring compliance with regulatory requirements. 

    As an initial matter, look to closeout procedures in 2 C.F.R. § 200.344, cost principles in Subpart E of 2 C.F.R. 200 and the appropriate agency supplement. For example, pursuant to 2 C.F.R. § 200.344 (Closeout), closing out the grant includes: 

    ● Submitting all reports (financial, performance and those required by the grant); ● Liquidating financial obligations incurred under the grant; 

    ● Refunding any unobligated funds that are not authorized to be retained (see 2 C.F.R. § 200.344; 2 C.F.R. § 200.346; OMB Circular A–129); 

    ● Making necessary adjustments to the federal share of costs after closeout reports are received; 

    ● Accounting for property acquired with federal funds or received from the federal government. (Source)

  • Q: Where did our CVI funding come from? 

    CVI grants can come from various DOJ funding streams and offices, including, for example: 

    ● Community-Based Violence Intervention and Prevention Initiative (CVIPI) ● Office of Juvenile Justice and Delinquency Prevention (OJJDP)

    ● Office for Victims of Crime (OVC) 

    Each program can be subject to different statutory and regulatory requirements, which can influence available remedies and legal arguments. 

    Q: Is CVI funding going to be available in the future? 

    The short answer is: no one knows. In the Bipartisan Safer Communities Act, Congressmandated that the DOJ administer a CVI grant program. However, the DOJ has not yet issued asolicitation for this funding and we do not know if they will. If the department refuses to issue thefunding, or uses the funding for a purpose contrary to the Bipartisan Safer Communities Act, theCVI field has legal options to force the department's hand. However, many of these options arerelatively untested,

  • Q: What about funding from the American Rescue Plan Act (ARPA)? Is there any funding still available? 

    States and localities were required to “obligate” ARPA State and Local Fiscal Recovery Funds (SLFRF) by December 31, 2024. An “obligation” can be a contract, subaward, purchase order, interagency agreement, or certain payroll expenses for eligible employees. However, a budget allocation or amendment, an intention to enter a contract, or moving funds into a general fund are not considered obligations. Funds must be fully spent by December 31, 2026. (Source)

    This means no new funding from ARPA will likely be made available in your state or locality. However, you should check with your relevant agencies to ensure they have not been granted an exception.

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