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Federal judge temporarily blocks Trump administration's freeze on federal grants and loans
A federal judge has temporarily halted the Trump administration's freeze on federal grants and loans, minutes before the wide-reaching directive was set to go into effect
A federal judge has temporarily blocked the Trump administration's freeze on federal grants and loans, minutes before the wide-reaching directive was set to go into effect.The stay now halts the plan until Monday. The White House had planned to start the pause on Tuesday evening, amid a total review of all federal spending. "The reason for this is to ensure that every penny that is going out the door is not conflicting with the executive orders and actions that this President has taken," White House Press Secretary Karoline Leavitt, in her press briefing debut, said Tuesday. The plan, first unveiled in a memo from the Office of Management and Budget Monday night, sparked panic and confusion amid groups that rely on federal funding. The White House insists the freeze will not impact programs like Social Security, Medicare or Medicaid."To individuals at home, who receive direct assistance from the federal government, you will not be impacted by this federal freeze," Leavitt added.But the announcement was followed by multiple states reporting being locked out of federal Medicaid payment websites. In a social media post, Leavitt said that states would still have their payments processed and that the web portal should be back online shortly. Democrats were quick to criticize the decision, raising the alarm about the indirect impacts on states and organizations. "The blast radius of this terrible decision is virtually limitless, and its impact will be felt over and over again — it's not going to hit each American family in one way. It's going to hit them in multiple ways," Senate Minority Leader Chuck Schumer said.Democrats also called the move illegal, as the funds have already been appropriated by Congress. "What happened last night is the most direct assault on the authority of Congress, I believe, in the history of the United States. It is blatantly unconstitutional," said Maine Sen. Angus King.Several lawsuits have already been filed, including one by a coalition of attorneys general from multiple states and another by a group of nonprofits.
WASHINGTON —
A federal judge has temporarily blocked the Trump administration's freeze on federal grants and loans, minutes before the wide-reaching directive was set to go into effect.
The stay now halts the plan until Monday. The White House had planned to start the pause on Tuesday evening, amid a total review of all federal spending.
"The reason for this is to ensure that every penny that is going out the door is not conflicting with the executive orders and actions that this President has taken," White House Press Secretary Karoline Leavitt, in her press briefing debut, said Tuesday.
The plan, first unveiled in a memo from the Office of Management and Budget Monday night, sparked panic and confusion amid groups that rely on federal funding. The White House insists the freeze will not impact programs like Social Security, Medicare or Medicaid.
"To individuals at home, who receive direct assistance from the federal government, you will not be impacted by this federal freeze," Leavitt added.
But the announcement was followed by multiple states reporting being locked out of federal Medicaid payment websites. In a social media post, Leavitt said that states would still have their payments processed and that the web portal should be back online shortly.
Democrats were quick to criticize the decision, raising the alarm about the indirect impacts on states and organizations.
"The blast radius of this terrible decision is virtually limitless, and its impact will be felt over and over again — it's not going to hit each American family in one way. It's going to hit them in multiple ways," Senate Minority Leader Chuck Schumer said.
Democrats also called the move illegal, as the funds have already been appropriated by Congress.
"What happened last night is the most direct assault on the authority of Congress, I believe, in the history of the United States. It is blatantly unconstitutional," said Maine Sen. Angus King.
Several lawsuits have already been filed, including one by a coalition of attorneys general from multiple states and another by a group of nonprofits.
English (US)