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Immigration Counseling Service Sued Department of Homeland Security

A local nonprofit challenged the federal agency's termination of a $400,000 grant intended for rural citizenship classes.

Updated on Sept. 28, 2026 in Immigration

Immigration Counseling Service Sued Department of Homeland Security

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Portland-based Immigration Counseling Service has filed a lawsuit against the Department of Homeland Security following the sudden cancellation of a federal grant program. The legal challenge, brought in the US Court of Federal Claims, contests the termination of $400,000 in funding initially awarded to support citizenship instruction for lawful permanent residents in rural Oregon.

Why it matters

The case highlights a significant disruption in resources for immigrant residents seeking to navigate the naturalization process. The nonprofit's legal action focuses on the federal agency's decision-making process, specifically questioning the lack of review or explanation provided before the funding was pulled.

The nonprofit was awarded a $400,000 federal grant on September 30, 2024, before the funding was frozen and terminated in early 2025. It remains unknown why the Department of Homeland Security ended the contract or if any alternative programs for rural residents will be supported.

The players

Immigration Counseling Service

A Portland-based nonprofit that provides legal assistance and citizenship training.

Department of Homeland Security

The federal cabinet department responsible for overseeing the grant program and immigration services.

The details

The complaint alleges that the Department of Homeland Security breached its contract when it canceled the grant without prior review of the nonprofit's performance or explanation of how the program conflicted with agency priorities. Immigration Counseling Service argues that the move effectively halted citizenship classes for lawful permanent residents across rural Oregon. The case is now pending before the US Court of Federal Claims.

Timeline

  1. September 30, 2024: DHS awarded the grant to the nonprofit.

  2. Early 2025: DHS froze and terminated the grant award.

  3. September 25, 2026: Complaint filed in US Court of Federal Claims.

Beyond the Bridges

The lawsuit alleges the agency departed from its established grant administration standards when it terminated the contract without a formal performance review. This legal challenge marks a significant departure from standard administrative practices regarding the management of federal citizenship grants.

Lawful permanent residents in rural Oregon who were relying on these citizenship classes may now face limited options for instruction. The outcome of the federal case will determine if the funding is restored or if these specific outreach efforts remain suspended.

The takeaway

The case raises questions about the transparency of federal grant management and the sudden loss of resources for immigrant students. Residents can monitor the status of the proceedings through the US Court of Federal Claims docket.

Further reading

You can follow local developments regarding legal impacts on resident services in our Immigration section.

Source note: This article includes information reported by Bloomberglaw.

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Should the federal government be held liable for sudden contract cancellations of social service programs?