Donald Trump’s administration has made its calamitous freeze on federal grants and loans even worse.
In a brief memo Wednesday, the Office for Management and Budget announced that it would be withdrawing its order to pause funding for review.
“OMB Memorandum M-25-13 is rescinded. If you have any questions about implementing the President’s Executive Orders please contact your agency General Counsel,” the memo stated.
But then, White House Press Secretary Karoline Leavitt just made things even messier.
“This is NOT a rescission of the federal funding freeze. It is simply a rescission of the OMB memo,” she wrote on X. “Why? To end any confusion created by the court’s injunction. The President’s EO’s on federal funding remain in full force and effect, and will be rigorously implemented.”
The freeze was originally intended to go into effect at 5:00 p.m. on Tuesday. But all day, state officials and lawmakers reported having issues accessing essential government services such as Medicaid and Head Start, despite subsequent assurances from OMB that these programs would not be affected by the freeze. These issues, and widespread confusion led to a public outcry, as many feared that their health care access was in jeopardy.
Democratic leaders called it a “constitutional crisis,” as Trump’s administration was clearly preventing funds from being allocated as Congress had decided. To re-secure funding, these organizations would have had to report to OMB on whether they promote ideas such as environmental justice, “gender ideology,” and diversity, equity, and inclusion. They would also have to say whether they provide services to undocumented immigrants.
Tuesday night, a district judge ordered a brief administrative stay on the freeze, delaying it from going into effect until February 3. This means that Leavitt’s claim the executive orders are “in full force and effect” is false.
“This is just more confusion and chaos,” warned New York Attorney General Letitia James. “We will be in court this afternoon.”
James is part of a coalition of Democratic attorneys general who have sued the Trump administration over the funding freeze.
This first major fiasco by the Trump administration promises only more chaos to come.
This story has been updated.
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