Transformation Project sues South Dakota over canceled health worker contract

Transformation Project, a non-profit organization that supports transgender youth, has filed a federal lawsuit against Gov. Kristi Noem and state Secretary of Health Melissa Magstadt for terminating a contract that would have funded a community health worker's position through their organization.

According to the original complaint obtained by the Argus Leader, the lawsuit alleges the state's abrupt termination of the contract on Dec. 16 was "unconstitutional and unlawful discrimination based on sex and gender."

The contract was supposed to fund a community health worker position, which would have went to Jack Fonder, a transgender person. Sarah Williams, executive director of TTP, said Fonder was already hired for the position by the time the contract was terminated.

Ian Fury, the Governor's Chief of Communications, told Argus Leader "the Governor’s Office will not be commenting on ongoing litigation."

More:Transformation Project responds to South Dakota terminating contract for community health worker

In a letter to the South Dakota Family Heritage Alliance, Noem wrote "South Dakota does not support [The Transformation Project's] efforts, and state government should not be participating in them or funding them. The contract was signed without my knowledge or approval. When I became aware of it, I took swift action."

The lawsuit says the state knew about and initially supported TTP's mission and even encouraged the non-profit to request greater funding for Fonder's contract. Court documents state TTP initially requested $45,907 in funding, and Fonder's contract, which was included in the initial filing, was finalized at $135,747.92, with the funds coming from a Centers for Disease Control and Prevention federal grant.

The lawsuit alleges the state decided to cancel the contract after The Daily Signal, a conservative news outlet, reached out to the Governor's office with questions about TTP and the Midwest Gender Identity Summit, a trans-health conference hosted alongside Sanford Health.

The suit states Noem distanced herself from TTP's grant in order to maintain her political image as a "rising Republican star," and added her actions came into conflict with her obligation to oversee state government contracts.

Supporters, Transformation Project react

Brendan Johnson, a Sioux Falls-based attorney under Robins Kaplan LLP, publicly announced the lawsuit during a fundraising gala hosted by the group's advocacy network arm Thursday evening in Sioux Falls.

Democrat Rep. Kameron Nelson, who was there for the announcement, threw his support behind the lawsuit. He said Transformation Project has the "absolute grounds" to bring their suit against the state.

"CHW contracts remain intact for every other organization. This seems like a very targeted effort by the current administration and the governor, which resulted in a large upheaval of much of that department itself. So yes, I am supportive [of the lawsuit]," Nelson told the Argus Leader.

Williams said the lawsuit has garnered national media attention, which she stated in previous Argus Leader reporting was "overwhelming" for the organization. She told the Argus Leader on Thursday that the Transformation Project has received threats of violence, including an alleged death threat from someone opposed to their work, since the news broke about the canceled position.

"We ended up having to move events to different venues, because of threats of violence and it's just been very, very difficult to get through everything that's happened since the cancelation of that contract," Williams said. "For our CHW Jack Fonder to not know, if you know, he was going to be able to keep his position due to funding, that was so hard, too, for us to to just look at our budget and say, 'OK, Where are we going to find the money to cover his salary?' So yeah, it's been a tough couple months since this happened."

In announcing the lawsuit, Johnson likened the legal battle to a "David versus Goliath" type of fight.

"Don't you dare bet against David in this fight," Johnson added.

The federal filing comes a few hours after the South Dakota Senate passed House Bill 1080, a bill that would ban gender-affirming care for the state's transgender youth. The bill awaits Noem's signature, whom is expected to sign the legislation.

More:Ban on gender-affirming care for transgender children heads to Noem's desk for signing

Fonder, who is listed as a plaintiff in the suit, acknowledged the passage of the anti-trans legislation, saying it was "tough" to hear in the moment, but added it would only embolden them for the legal battle ahead.

"We just have to take a moment and like try to process what's happening when these bills are being passed. Like we process it, and we're like now we're going to fight even harder," Fonder said. "We can't just let them do these things and not do anything about it right? I think that's kind of the main thing that that we want to get across is that we're not just going to let these people do this. We're going to keep fighting, because if we don't fight, it's just going to continue happening."

This article originally appeared on Sioux Falls Argus Leader: Transformation Project files lawsuit against Noem, DOH Secretary