OMB Directive Freezes Grants With Diversity or Climate Provisions

The Office of Management and Budget issued Memorandum M-25-13 directing all federal agencies to pause disbursement of grants and loans that contained diversity, equity, and inclusion requirements or climate-related conditions. The memo affected an estimated $3 trillion in federal assistance across research universities, nonprofits, state governments, and local agencies. A federal judge issued a nationwide temporary restraining order blocking the freeze within 48 hours after a coalition of states and nonprofits sued.