{"id":2532,"date":"2025-01-28T13:15:36","date_gmt":"2025-01-28T13:15:36","guid":{"rendered":"https:\/\/site.itshrt.com\/worldnews\/white-house-budget-office-orders-pause-in-all-federal-loans-and-grants\/"},"modified":"2025-01-28T13:15:36","modified_gmt":"2025-01-28T13:15:36","slug":"white-house-budget-office-orders-pause-in-all-federal-loans-and-grants","status":"publish","type":"post","link":"https:\/\/site.itshrt.com\/worldnews\/white-house-budget-office-orders-pause-in-all-federal-loans-and-grants\/","title":{"rendered":"White House Budget Office Orders Pause in All Federal Loans and Grants"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<\/p>\n<div data-testid=\"companionColumn-0\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">The White House budget office has ordered a pause in grants, loans and other federal financial assistance, according to a memo sent to government agencies on Monday, potentially paralyzing a vast swath of programs and sowing confusion and alarm among the array of groups that depend on them.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The directive threatened to upend funds that course throughout the American economy: <a class=\"css-yywogo\" href=\"https:\/\/www.gao.gov\/federal-grants-state-and-local-governments\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Hundreds of billions of dollars<\/a> in grants to state, local and <a class=\"css-yywogo\" href=\"https:\/\/www.usa.gov\/native-american-housing-help\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">tribal governments<\/a>. Disaster relief aid. <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2024\/06\/26\/us\/pandemic-aid-recovery-schools.html\" title=\"\">Education<\/a> and <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2024\/05\/22\/us\/transit-covid-spending.html\" title=\"\">transportation<\/a> funding. Loans to <a class=\"css-yywogo\" href=\"https:\/\/www.sba.gov\/funding-programs\/disaster-assistance\/economic-injury-disaster-loans\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">small businesses<\/a>.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">But the two-page memo from Matthew J. Vaeth, the acting director of the Office of Management and Budget, left the scope of the pause, and much else, unclear.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Among the uncertainties was whether President Trump has the authority to unilaterally halt funds allocated by Congress. Senator Chuck Schumer of New York, the Democratic leader in the Senate, said in a statement that the memo \u201cblatantly disobeys the law.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-1\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">\u201cCongress approved these investments and they are not optional, they are the law,\u201d <a class=\"css-yywogo\" href=\"https:\/\/x.com\/SenSchumer\/status\/1884082667446231535\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Mr. Schumer said<\/a>, adding that \u201cDonald Trump must direct his administration to reverse course immediately and the taxpayers\u2019 money should be distributed to the people.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">In his memo, Mr. Vaeth directed federal agencies to \u201ctemporarily pause all activities related to obligation or disbursement of all federal financial assistance,\u201d and any other programs that included \u201cD.E.I., woke gender ideology and the Green New Deal.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-2\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Mr. Vaeth signaled that the pause, which is set to go into effect on Tuesday, would continue until at least mid-February, saying that agencies should provide a detailed report on the programs that have been affected by Feb. 10. He added that the pause was needed to ensure federal programs aligned with Mr. Trump\u2019s policy priorities.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cThe use of federal resources to advance Marxist equity, transgenderism and Green New Deal social engineering policies is a waste of taxpayer dollars that does not improve the day-to-day lives of those we serve,\u201d Mr. Vaeth said.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-3\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">It was not immediately clear what programs would fall under those categories. The Green New Deal, for example, was a policy proposal <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2024\/07\/26\/climate\/kamala-harris-green-new-deal.html\" title=\"\">that never became law<\/a>.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The memo, which was <a class=\"css-yywogo\" href=\"https:\/\/bsky.app\/profile\/marisakabas.bsky.social\/post\/3lgr2gf5uzk27\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">reported earlier<\/a> by the journalist Marisa Kabas, specifies that programs that support nongovernmental organizations would also be affected. Nonprofit groups reacted with alarm.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cThis order is a potential five-alarm fire for nonprofit organizations and the people and communities they serve,\u201d Diane Yentel, the chief executive of the National Council of Nonprofits, said in a statement.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cFrom pausing research on cures for childhood cancer to halting food assistance, safety from domestic violence and closing suicide hotlines, the impact of even a short pause in funding could be devastating and cost lives,\u201d she added. \u201cThis order could decimate thousands of organizations and leave neighbors without the services they need.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The memo cited \u201cmore than $3 trillion\u201d in federal financial assistance that could be affected by the directive, but the source of that number was unclear, and another figure the memo cited for total federal spending was significantly inflated. Government analysts estimated the budget for fiscal year 2024 at <a class=\"css-yywogo\" href=\"https:\/\/www.cbo.gov\/publication\/60843\/html\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">$6.75 trillion<\/a>, while Mr. Vaeth\u2019s memo asserted the government spent \u201cnearly $10 trillion\u201d in that fiscal year.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-4\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">The budget office memo carved out an exception for \u201cassistance received directly by individuals,\u201d as well as Medicare and Social Security benefits. The memo also seemingly acknowledged the legal limits of executive power to interfere in legally mandated programs, saying that agencies should carry out the pause \u201cto the extent permissible under applicable law.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">It was also unclear what fell under the definition of individual assistance, and the memo did not provide examples of what programs would or would not qualify. Many farmers and small-business owners take out loans and receive grants from the federal government, but it is unclear if those would count as individual assistance or assistance to a business.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Congress, for example, established a program decades ago that provides farm loans for women, racial minorities and Native Americans \u2014 a program that <a class=\"css-yywogo\" href=\"https:\/\/www.fsa.usda.gov\/sites\/default\/files\/documents\/sda_loans-fact_sheet-aug_2019.pdf\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">the first Trump administration had participated in<\/a>. That program could theoretically be put under scrutiny for its perceived similarities to \u201cwoke,\u201d \u201cD.E.I.\u201d or \u201cMarxist equity.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Karl Scholz, the president of the University of Oregon, said Monday\u2019s directive was \u201cgenerating plenty of questions.\u201d But he, like many others in academia and government, was still trying to interpret the memo and its consequences, saying researchers were already experiencing \u201cconsiderable unease along with a deep interest in getting greater visibility about what is actually happening.\u201d<\/p>\n<p class=\"css-798hid etfikam0\">Reporting was contributed by <!-- -->Glenn Thrush<!-- -->, <!-- -->Maggie Haberman<!-- -->, <!-- -->Amy Schoenfeld Walker<!-- -->, <!-- -->David A. Fahrenthold<!-- --> and <!-- -->Alan Blinder<!-- -->.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.nytimes.com\/2025\/01\/27\/us\/politics\/white-house-pauses-federal-grants.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The White House budget office has ordered a pause in grants, loans and other federal financial assistance, according to a<\/p>\n","protected":false},"author":1,"featured_media":2533,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[33],"tags":[114,337,884,885,101,647,469,886,113,111],"class_list":["post-2532","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-us","tag-donald-j","tag-federal-aid-us","tag-federal-budget-us","tag-green-new-deal","tag-law-and-legislation","tag-office-of-management-and-budget-us","tag-politics-and-government","tag-social-security-us","tag-trump","tag-united-states-politics-and-government"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>White House Budget Office Orders Pause in All Federal Loans and Grants - World News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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