Trump rescinds memo freezing federal funding

The Trump Administration announced it has rescinded the Office of Management and Budget (OMB) memo with which it "temporarily" suspended all federal grants and financial assistance until they were reviewed by the government.

However, this decision does not imply the absolute suspension  of this initiative, but only affects the memorandum and not the executive orders signed by President Donald Trump regarding the interruption of public aid, as explained by White House Press Secretary Karoline Leavitt.

"This is NOT a rescission of the federal funding freeze. It is simply a rescission of the OMB memo. 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," wrote Leavitt in X.

A day before this news broke, the White House made public, through an official letter, that all federal agencies "should temporarily suspend all activities related to the obligation or disbursement of all federal financial assistance, and other relevant agency activities that may be implicated by the executive orders" until they were reviewed by the Administration. The measure was aimed especially, but not exclusively, at "financial assistance for foreign aid, non-governmental organizations, DEI policies, gender woke ideology and the green new deal."

Matthew J. Vaeth, acting director of OMB, indicated that it would work to award federal grants to "promote the priorities" of the Trump Administration and not waste taxpayer money.