Trump Freezes Federal Grants in Sweeping Review of Government Spending
The unprecedented move targets $3 trillion in funding, sparking legal challenges and widespread concern over potential disruptions to essential programs.
- President Trump has ordered a temporary halt on nearly all federal grants and loans, impacting programs in healthcare, education, infrastructure, and more.
- The administration claims the freeze is intended to align federal spending with Trump's policy priorities, including eliminating funding for DEI initiatives and environmental programs.
- Democratic lawmakers and state attorneys general argue the move violates the Constitution and the Impoundment Control Act, with lawsuits expected to challenge the order.
- The freeze excludes Social Security, Medicare, and direct financial assistance to individuals, but its broader implications remain unclear, causing uncertainty for states and nonprofits.
- Critics warn of severe consequences, including disruptions to Medicaid, disaster relief, and research funding, with some calling the action a threat to democratic governance.
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