Back to all stories
Muni image of a new ENC 32-Foot Motor Coach on 56 Rutland Route
Photo: San Francisco Municipal Transportation Agency (SFMTA) | Public domain | Wikimedia Commons

Vermont Defends Climate ‘Superfund’ Law in Federal Court Against Trump DOJ and Industry Challenge

Vermont argued in U.S. District Court in Rutland on Monday that two lawsuits attacking its 2024 “climate superfund” law should be thrown out, defending its authority to make fossil fuel companies help pay for climate‑related damage such as the catastrophic 2023 flooding. The U.S. Chamber of Commerce and the American Petroleum Institute sued in 2024, and the Trump administration’s Justice Department separately sued Vermont and New York after President Trump ordered Attorney General Pam Bondi to target states he says overreach in regulating energy, calling the laws “burdensome and ideologically motivated” and a threat to energy independence and national security. Vermont attorney Jonathan Rose told the court the law is a traditional exercise of state power to raise revenue and protect residents, and does not directly regulate emissions or punish producers, while DOJ lawyer Riley Walters countered that Vermont is improperly trying to subject global energy production to its law and that it is “impossible” to trace specific in‑state harms to particular fossil fuel extraction in places like Texas or Saudi Arabia. West Virginia is leading about two dozen energy‑producing states intervening on the industry’s side, warning Vermont could seek billions from companies in their jurisdictions, while environmental and farm groups including the Conservation Law Foundation and the Northeast Organic Farming Association of Vermont are backing the state. The case is emerging as a potential national test of whether states can impose retroactive climate‑damage liability on oil and gas firms, with business groups portraying the law as an assault on U.S. energy security and environmental advocates casting it as long‑overdue accountability for climate costs already hitting local budgets.

Climate Liability and Energy Policy State–Federal Power and Environmental Law

📌 Key Facts

  • Vermont enacted the nation’s first state “climate superfund” law in 2024, modeled on federal Superfund, to collect money from fossil fuel companies for climate adaptation projects such as stormwater systems, sewage plants and roads.
  • On Monday, March 30, 2026, Vermont asked a federal judge in Rutland to dismiss two lawsuits filed by the U.S. Chamber of Commerce and the American Petroleum Institute and a separate suit by the Trump Justice Department.
  • DOJ attorney Riley Walters argued the law unconstitutionally attempts to subject global energy production to Vermont law and that specific Vermont harms cannot be directly traced to particular greenhouse‑gas sources, while Vermont’s Jonathan Rose said the statute sits squarely within traditional state authority and does not regulate emissions.
  • President Trump ordered Attorney General Pam Bondi to sue Vermont and New York over such climate cost‑recovery laws, and West Virginia plus roughly two dozen other states have intervened on the industry’s side out of concern that their producers could face multibillion‑dollar liability.
  • Environmental and agricultural groups including the Conservation Law Foundation and the Northeast Organic Farming Association of Vermont have joined to support the law, citing mounting climate impacts such as Vermont’s devastating 2023 floods.

📊 Relevant Data

In Vermont, Black or African American residents are at least twice as likely to visit the emergency department for asthma compared to other racial groups, highlighting disparities in health impacts potentially exacerbated by climate change.

Environmental Justice & Health Equity Data | Vermont Department of Health — Vermont Department of Health

Communities of color and neighborhoods with more limited English proficiency residents in Vermont face significantly higher environmental risks, including those related to climate change impacts.

Vermont Environmental Disparity Index and Risks — SAGE Journals

Low-income individuals and families in Vermont are disproportionately affected by the health impacts of climate change.

Climate Justice & Affected Populations | Vermont Department of Health — Vermont Department of Health

Vermont experienced catastrophic flooding in July 2023, resulting in millions of dollars in damages across the state.

Flood of July 2023 in Vermont — USGS Publications Warehouse

In 2023, Texas was the top crude oil-producing state in the US, accounting for about 42% of total US crude oil production.

U.S. energy facts explained - consumption and production — EIA

Attribution studies show that human-induced climate change has made extreme heat events more likely and severe, with about 92% of studies finding such influence.

Attribution Science: Linking Climate Change to Extreme Weather — Lamont-Doherty Earth Observatory

As of 2023, Vermont's population is approximately 647,464, with 91.41% White, 1.58% Black or African American, 2.11% Asian, and other groups making up smaller percentages.

Vermont Population 2026 — World Population Review

In FY 2024, the EPA's Superfund program completed cleanup actions at 25 sites and made 22 sites ready for anticipated use.

Superfund Accomplishments Quarterly Report - Fiscal Year 2024 — US EPA

📰 Source Timeline (1)

Follow how coverage of this story developed over time