Trump Administration Rescinds Federal Grant Freeze Memo After Legal Block and Widespread Backlash

2025-01-30 58

Trump’s administration rescinded a memo freezing most federal grants and loans after heavy criticism and a court block. The Office of Management and Budget had directed federal agencies to halt disbursements for programs that didn't align with Trump’s agenda. A federal district judge temporarily halted the initial order, which caused chaos and confusion in Washington. White House Press Secretary Karoline Leavitt clarified that the rescission only applies to the OMB memo, not the broader federal funding freeze. She emphasized that the President's executive orders on federal spending remain in effect and will continue to be enforced.