Alliance for Retired Americans v. Bessent

District Court, District of Columbia·Decided March 5, 2026·No. Civil Action No. 2025-0313·Published

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

ALLIANCE FOR RETIRED AMERICANS, et al.,

Plaintiffs,

v. Civil Action No. 25-0313 (CKK)

SCOTT BESSENT, in his official capacity as Secretary of the Treasury, et al.,

Defendants.

MEMORANDUM OPINION

(March 5, 2026)

In this action, a nonprofit organization and two labor unions challenge the Department of the Treasury’s decision to allow individuals associated with the U.S. DOGE Service to access certain sensitive records held by the Bureau of the Fiscal Service. This Court previously denied the Plaintiffs’ motion for a preliminary injunction, concluding that although the Plaintiffs had plausibly alleged that they have standing, they had not made a sufficient showing of irreparable harm to be entitled to preliminary relief. The Defendants have now moved to dismiss this action or, in the alternative, for summary judgment. The Plaintiffs have filed a cross-motion for summary judgment. Upon consideration of the parties’ submissions, 1 the relevant legal authority, and the

1 The Court’s consideration has focused on the following documents, including the attachments and exhibits thereto:

• the Defendants’ Motion to Dismiss or, in the Alternative, for Summary Judgment (“Defs.’ Mot.”), Dkt. No.

61, and the accompanying Memorandum (“Defs.’ Mem.”), Dkt No. 61-1;

• the Plaintiffs’ Cross-Motion for Summary Judgment (“Pls.’ Mot.”), Dkt. No. 62, and the accompanying Memorandum in Support of the Plaintiffs’ Cross-Motion and in Opposition to the Defendants’ Motion (“Pls.’

Mem.”), Dkt. No. 62-2;

• the Defendants’ Combined Reply in Support of their Motion and Opposition to the Plaintiffs’ Cross-Motion (“Defs.’ Reply and Opp’n”), Dkt. No. 65;

• the Plaintiffs’ Reply in Support of their Cross-Motion (“Pls.’ Reply”), Dkt. No. 67; and • the Joint Appendix (“J.A.”), Dkt. No. 68-2.

In an exercise of its discretion, the Court concludes that oral argument is not necessary to the resolution of the issues pending before the Court. See LCvR 7(f).

entire present record, the Court shall GRANT the Defendants’ motion for summary judgment and DENY the Plaintiffs’ cross-motion. Because the Plaintiffs have not established that the decisions they challenge are final agency action and they have not satisfied the demanding standards for non-statutory ultra vires review of an agency’s compliance with a statute, the Defendants are entitled to judgment as a matter of law.

I. BACKGROUND

On January 20, 2025, President Donald J. Trump signed an Executive Order purporting to establish a “Department of Government Efficiency,” a new initiative with the stated goal of “modernizing Federal technology and software to maximize governmental efficiency and productivity.” Exec. Order No. 14,158, 90 Fed. Reg. 8441 (Jan. 20, 2025) § 1. This Executive Order renamed the existing United States Digital Service as the “United States DOGE Service” (“USDS” or “DOGE”) and provided that its leader, the “USDS Administrator,” would report directly to the White House Chief of Staff. Id. § 3(a)–(b). It also directed the heads of federal agencies to, among other things, “take all necessary steps, in coordination with the USDS Administrator and to the maximum extent consistent with law, to ensure USDS has full and prompt access to all unclassified agency records, software systems, and IT systems.” Id. § 4(b).

In this case, a nonprofit organization and two labor unions allege that, in response to this Executive Order, the Secretary of the Treasury, the Department of the Treasury, and the Bureau of the Fiscal Service (“BFS”) “implemented a system under which Elon Musk or other individuals associated with [the U.S. DOGE Service] could access” certain records held by BFS for purposes other than those authorized by law, and that in doing so, they “failed to engage in reasoned decisionmaking.” Compl., Dkt. No. 1, ¶ 56. The Plaintiffs also allege that the Defendants’ actions were contrary to law and in excess of statutory authority. Id. ¶¶ 52, 59.

The Plaintiffs initially sought a temporary restraining order enjoining the Defendants “from disclosing information about individuals to individuals affiliated with the” USDS and further enjoining the Defendants “to retrieve and safeguard any information that has already been obtained by [USDS] or individuals associated with it.” See Pl.’s Mot. for Temporary Restraining Order, Dkt. No. 8, at 1. The parties later agreed to an interim consent order to preserve the status quo, and the Plaintiffs agreed to convert their motion for a temporary restraining order into a motion for a preliminary injunction. See Order, Dkt. No. 13. At the parties’ request, the Court later modified that consent order to substitute the name of a new Treasury employee and member of the Treasury “DOGE Team” for the name of an employee and DOGE Team member who had since left the agency. See Order, Dkt. No. 32.

The Court held a hearing on Plaintiffs’ motion for a preliminary injunction on February 24, 2025. See Tr. of Preliminary Injunction Hr’g, Dkt. No. 36. After that hearing, the Court ordered the Defendants to “file the administrative record underlying the decisions challenged in this case.” Min. Order (Feb. 25, 2025). The Court later denied the Plaintiffs’ motion for a preliminary injunction, concluding that they had not made the showing of irreparable harm necessary to support such an injunction under binding precedent in this Circuit. See All. for Retired Ams. v. Bessent, 770 F. Supp. 3d 79, 111 (D.D.C. 2025) (CKK).

The Defendants then filed the administrative record in compliance with the Court’s Order, reserving an objection that none of the actions challenged in this case is a “final agency action” reviewable under the Administrative Procedure Act (“APA”). See Administrative Record (“A.R.”), Dkt. No. 44-1. The Plaintiffs filed objections to the Defendants’ designation of the administrative record, which this Court resolved. See Pls.’ Objs., Dkt. No. 45; Mem. Op. & Order, Dkt. No. 47. In response to the Plaintiffs’ objections and the Court’s order, the Defendants filed

supplemental material. See Katz Decl., Dkt. No. 48-1. The Defendants also filed a declaration that they had submitted in a related case in the Southern District of New York. See Ambrose Decl., Dkt. No. 48-2. Finally, the Plaintiffs filed a motion for expedited discovery, which this Court granted in part and denied in part. See Pls.’ Mot., Dkt No. 49; Mem. Op. & Order, Dkt. No. 52.

The record developed through these proceedings shows that early last year, in response to Executive Order No. 14,158, the Defendants provided individual members of the “Treasury DOGE Team” with an unprecedented level of access to sensitive BFS payment systems. See, e.g., Gioeli Decl., Dkt. No. 24-2, ¶ 13; J.A., Dkt. No. 68-2, at 27–29. The Defendants’ stated goal in allowing this access was to “[g]ain insight” into payment flows through BFS systems, which would allow the DOGE Team to prepare a report for the Secretary recommending improvements to the systems “in support of payment integrity and fraud prevention.” J.A. at 27. The record shows that each Treasury DOGE Team member that received this access was an employee of the Treasury Department at the time of receiving access. See J.A. at 1–4, 7–21; Krause Decl., Dkt. No. 24-1, ¶¶ 1–2; Wenzler Decl., Dkt. No. 24-3, ¶¶ 3–4. The record shows that one former member of the Treasury DOGE Team violated Treasury Department protocols by emailing a copy of certain records to two individuals at the U.S. General Services Administration (“GSA”) without authorization, but there is no indication in the present record that the Defendants approved this disclosure or that it was part of a broader pattern of unauthorized disclosures outside the Treasury Department. See Ambrose Decl. ¶ 12; Defs.’ Resps. to Interrog., Dkt. No. 61-2, at 13–14 (No. 6).

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