Judge Temporarily Pauses Trump’s Freeze On Grants, Loans

REUTERS/ELIZABETH FRANTZ

President Donald Trump speaks to reporters aboard Air Force One before arriving at Joint Base Andrews, Md., on Monday.

WASHINGTON >> A judge today temporarily paused part of the Trump administration’s sweeping directive to pause federal loans, grants and other financial assistance, granting a win to advocacy groups who said the policy would be devastating.

U.S. District Judge Loren AliKhan ordered the Trump administration not to block funding to existing programs until Feb. 3 at a hearing in Washington, D.C., federal court.

The National Council of Nonprofits, the American Public Health Association, Main Street Alliance and SAGE earlier today sued over the directive issued by the acting head of the U.S. Office of Management and Budget on Monday. It had been set to take effect at 5 p.m. EST (noon Hawaii time) today.

The groups said OMB lacked authority to unilaterally terminate all federal financial assistance programs across the government, and that the directive targeted grant recipients based in part on recipients’ rights to free expression and association under the U.S. Constitution’s First Amendment.

Matthew Vaeth, OMB’s acting director, said the money would be put on hold while the administration of Republican President Donald Trump reviews grants and loans to ensure they are aligned with the president’s priorities, including executive orders he signed ending diversity, equity and inclusion programs.

Separately, states including New York, California and Massachusetts said they will file a lawsuit targeting the directive.