"The lawsuit, jointly filed today by California, New Mexico, New York and Washington in the US District Court for the District of Montana, Great Falls Division, asks the courts to declare that the federal government acted 'arbitrarily, capriciously, contrary to law, abused their discretion, and failed to follow the procedure required by law," the release said on Tuesday.
Ferguson filed the lawsuit Tuesday against the US Department of the Interior and the Bureau of Land Management in response to the Trump administration's decision to lease coal mining rights on public land, the release said.
"The lawsuit challenges Interior Secretary Ryan Zinke's decision to restart the federal coal leasing program without supplementing or replacing its nearly 40-year-old environmental study. That decision, Ferguson argues, violates the National Environmental Policy Act," the release added.
The states are seeking an injunction to force the federal government to halt its coal leasing program until it completes the environmental impact review required by law.
Trump has rolled back several climate actions and regulations implemented by his predecessor President Barack Obama.
During the election campaign last year, Trump repeatedly promised to bring back coal mining jobs and revive the flailing industry.