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Trump Funding Freeze still in force after the OMB scored note


The president of the United States, Donald Trump, observes while talking with journalists aboard Air Force One before reaching the Andrews Joint Base, Maryland, USA, January 27, 2025.

Elizabeth Frantz | Reuters

He White House On Wednesday, he said that a “freezing of federal funds” remains in “strength and total effect” even though a controversial memorandum ordering that freeze with subsidies and loans Give the agencies to review the programs for compliance with the President Donald Trump‘S Agenda.

White House spokeswoman, Karoline Leavitt, said on a tweet: “This is not a termination of federal freezing.”

“It is simply a termination of (Management and Budget Office) Memo, “Leavitt said.

He also said that the White House rescinded the OMB memorandum to “finish any confusion created by” Mario of the federal judge On Tuesday that blocks the memorandum to enter into force until Monday as soon as possible to give that judge time to consider arguments of non -profit groups Challenging the legality of freezing.

“The president’s (executive orders) on federal funds remain in vigor and effect, and will be strictly implemented,” Leavitt wrote.

OMB in his original memorandum had said that freezing was aimed and new agreement. “

The memorandum immediately caused confusion about which programs would be affected and it was suspected to cause Disease insurance Refund portals will disconnect from the 50 states on Tuesday.

New York Attorney General, Letitia James, on a tweet that responds to Leavitt’s statement, wrote: “This is simply more confusion and chaos.”

“We will be in court this afternoon,” James wrote, whose state is one of the 22 states that with the Columbia district demanded the Trump administration for freezing funds on Tuesday.

OMB’s interim director Matthew Vaeth, in a new memorandum issued on Wednesday, wrote: “The OMB M-25-13 memorandum was rescinded. If you have any questions about the implementation of the president’s executive orders, communicate with the advisor General of your agency “.

An activist protests against President Donald Trump’s plan to stop most federal subsidies and loans during a rally near the White House on January 28, 2025 in Washington, DC.

Anna Moneymaker | Getty images

NBC News obtained the new VAETH note from a source.

Leavitt, in a statement to CNBC, said: “In the light of the court order, OMB has terminated the memorandum to end any confusion about the federal policy created by the court ruling and the coverage of dishonest media.”

“This action should effectively end the judicial case and allow the government to concentrate on enforcing the president’s orders to control federal expenditure,” Leavitt said. “In the coming weeks and months, more executive actions will continue to end the atrocious waste of federal funds.”

The Senate Minoria leader, Chuck Schumer, DN.Y., told journalists on Wednesday: The director of OMB.

“Russell Vought is the main chef and bottle washing machine,” said Schumer. “We believe they will return and try to do this in other ways. Russell Vaught sat in my office and said he was going to do it.”

“We don’t believe they stop,” said Schumer. “This has been their goal, hurt: what they are basically doing is being without law, hurting families, helping their billionaire friends. And they will follow. We will follow it. I don’t think this would have happened except protest in everything USA “.

Skye Perryman, CEO of Democracy Forward, the defense group that manages the demand for non -profit organizations that challenge the original memorandum, accredited that law of financing.

“We are proud of our brave clients, who represent the communities throughout the country, for going to the Court to stop the illegal actions of the administration,” said Perryman.

“While we hope this allows millions of people in communities from all over the country to breathe relief, we condemn the harmful and insensitive approach of the Trump-Viance administration to unleash chaos and damage the US people,” Perryman said.



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