A second federal decide on Friday ordered a short lived pause in Trump administration efforts to freeze federal funding within the newest twist over the spending of trillions of {dollars} in grants and loans.
Choose John McConnell sided with New York and almost two dozen different states that requested an order stopping most federal businesses from halting funding till the courtroom guidelines on a request from the states for a preliminary injunction.
“During the pendency of the Temporary Restraining Order, Defendants shall not pause, freeze, impede, block, cancel, or terminate Defendants’ compliance with awards and obligations to provide federal financial assistance to the States, and Defendants shall not impede the States’ access to such awards and obligations, except on the basis of the applicable authorizing statutes, regulations, and terms,” wrote McConnell, who was appointed by former President Barack Obama.
The federal authorities had opposed the order, arguing there was no foundation for what they described as “sweeping relief.”
McConnell’s resolution comes regardless of the Workplace of Administration and Finances rescinding a memo that froze spending on federal loans and grants.
The memo, which was issued earlier this week by the OMB, had frightened states, colleges and organizations that depend on trillions of {dollars} from Washington.
A freeze stood to hit New York Metropolis exhausting. New York obtained a median of $11.8 billion in federal grants over every of the previous 5 fiscal years, based on Metropolis Corridor.
The White Home memo sparked widespread worry and confusion as state and municipal businesses, human service contractors and others sought to evaluate what the potential sudden lack of tens of millions in federal funds would imply.
— By MICHAEL CASEY
Initially Revealed: January 31, 2025 at 4:59 PM EST
