The White House has announced that it has withdrawn an order that authorized the federal freeze of hundreds of billions of dollars in grants and loans.
The decision comes after a judge temporarily suspended the order on Tuesday, the same day it was supposed to take effect, as reported by Klankosova.
The order has been blocked until next Monday, following a lawsuit filed by a group of organizations representing grant recipients.
In a letter dated January 29, it simply stated: “OMB Memorandum M-25-13 has been canceled.”
It remains unclear what prompted this apparent reversal. The acting head of the White House Office of Management and Budget had instructed agencies to “temporarily halt all activities related to the obligations or disbursement of any federal financial assistance.”
The office stated that the measure was intended to give the new administration time to assess which grants and loans were in line with their agenda.
However, the order caused widespread confusion regarding which agencies and programs would be affected.
