$1.8 Billion Savings vs. Public Health Fallout
The administration argued the plan—restructuring HHS into an “Administration for a Healthy America”—would save $1.8 billion annually. But Judge DuBose highlighted the fallout: suspended labs, offline databases, chaos in grant management, and the collapse of technical training and consultation services.
“These are not unsubstantiated fears,” she wrote. The appellate court agreed, saying the government offered little to rebut the affidavits and declarations detailing harm.
States Push Back
Led by New York and Rhode Island, the plaintiff states warned of immediate dangers once employees were placed on leave and public health programs shuttered. The First Circuit said their arguments carried weight, unlike the administration’s vague claims of executive authority harm.
While acknowledging the government may have to continue paying employees who could later be deemed lawfully terminated, the court found that was insufficient to justify lifting the injunction.
