OMB Memo M-25-13 Freezes Federal Grants and Loans Nationwide

Acting OMB Director Matthew Vaeth issued Memo M-25-13 on January 27, directing federal agencies to pause all grants and loans that might conflict with Trump executive orders, effective January 28. The freeze threatened an estimated $3 trillion in federal assistance and immediately disrupted funding for health clinics, housing programs, university research, and state governments. Federal courts in Washington and Rhode Island issued emergency temporary restraining orders within 48 hours, and OMB rescinded the memo on January 29, though agencies continued to withhold funds informally.