Federal judge temporarily blocks federal funding freeze on federal grants and loans. The order capped the most chaotic day for the U.S. government since Trump returned to office.
The order came with uncertainty over a crucial financial lifeline causing panic and confusion among states, schools, and organizations that rely on trillions of dollars from Washington.
Federal judge temporarily blocks federal funding freeze
The White House did not immediately comment on the order, which leaves unresolved a potential constitutional clash over control of taxpayer money.
Democrats who have struggled to gain a foothold during Trump’s second term unleashed on the Republican president, describing his actions as capricious and illegal.
Administration officials said the decision to halt loans and grants was necessary to ensure that spending complies with Trump’s recent blitz of executive orders.
The Republican president wants to increase fossil fuel production, remove protections for transgender people, and end diversity, equity, and inclusion efforts.
“This sort of came out of the blue,” said David Smith, a spokesperson for the Shawnee Mission School District in Kansas, one of countless districts that receive federal funding. Now they’re trying to figure out what it means “based on zero information.”