Washington Less than two days after it caused widespread confusion and legal challenges nationwide, President Donald Trump’s budget office revoked an order on Wednesday that froze spending on government grants, according to two people familiar with the situation.
The White House was left scrambling to clarify what would and wouldn’t be subject to a funding pause after the Office of Management and Budget issued an order Monday evening that raised questions about a vital financial lifeline for states, schools, and organizations that depend on trillions of dollars from Washington.
In a two-sentence notification to agencies and departments on Wednesday, the OMB revoked the order, according to the sources, who spoke on condition of anonymity to discuss internal guidance.
In order to make sure that spending conforms with Trump’s recent flurry of executive orders, administration officials said the decision to stop loans and grants was essential. By February 7, agencies were to respond to a set of yes/no questions on every government program. Does this program promote gender ideology? was one of the queries. Furthermore, is abortion in any way supported or encouraged by this program?
However, because of the ambiguously worded message and the White House’s insufficient responses throughout the day, lawmakers, public officials, and regular citizens were unable to determine which services would be impacted by the suspension. Layoffs or delays in public services could result from even brief financial disruptions.
Health officials in Oregon confirmed Monday that they could not use a portal created specifically for that reason to collect federal Medicaid funding. The same difficulty to utilize the gateway was reported by officials in all 50 states on Tuesday, according to senior U.S. Senator Ron Wyden of Oregon.
However, a representative for the Oregon Health Authority told The Oregonian/OregonLive on Wednesday that federal health funds were available and the gateway was operating once more.
After charity organizations that get government funding requested an emergency hearing, a federal court postponed the freeze until at least Monday, even though it was set to take effect at 5 p.m. Tuesday. There was also another case pending from Democratic state attorneys general.
Programs that directly help Americans, like as food stamps, student loans, Social Security, and Medicare, would not be impacted, according to Trump administration officials. However, they occasionally had trouble painting a whole picture.
The government then clarified that Medicaid was immune from the moratorium, although White House press secretary Karoline Leavitt first refused to state this.
The consequences of Trump’s attempt to halt financing were being felt far from the nation’s capital, despite his pledge to completely transform Washington if elected to a second term. Organizations such as Head Start, which offers early childcare in low-income regions, and Meals on Wheels, which receives government funding to provide food to the elderly, were concerned about being shut off.
Democratic opponents of the order quickly praised the move.
Sen. Patty Murray, a Democrat from Washington, stated, “This is a significant victory for the American people whose voices were heard after tremendous pressure from all over this country. Real people made a difference by speaking out.” Still, millions of people have experienced actual injury and disruption over the past 48 hours, which is still going on, as a result of the Trump administration’s mix of blatant incompetence, malicious intent, and intentional disdain for the law.
According to New York Senate Democratic Leader Chuck Schumer, Americans retaliated and Donald Trump withdrew.
–Associated Press, by Zeke Miller and Chris Megerian. The Oregonian/OregonLive’s Aimee Green made a contribution.