White House Budget Office Orders Pause in All Federal Loans and Grants
New York TimesJAN 19
Judge Blocks Trump Freeze on Federal Grants, Loans, Other Assistance
Above: US Pres. Donald Trump walks across the South Lawn of the White House on Jan. 27, 2025. Image copyright: Chip Somodevilla/Staff/Getty Images News via Getty Images
The Spin
Republican narrative
This pause is a necessary measure to ensure taxpayer dollars aren't wasted on programs that conflict with presidential priorities. The administration will also have time to assess how best to eliminate wasteful spending, especially when it comes to ideological initiatives that don't benefit average Americans.
Democratic narrative
This unprecedented and potentially illegal freeze violates Congress' power of the purse and will have devastating consequences for millions of Americans who rely on federal assistance — including grant funding and loans. The sweeping order threatens to disrupt critical services, while it also creates chaos for states, universities, and nonprofits.