Two-sentence memo ends days-long threats that sent officials, agencies and nonprofits into tailspin over ‘unconstitutional’ threats

A memo that paused federal grants and loans briefly put tens of millions of dollars in local funding for housing, public works and more in jeopardy.

The Trump administration quietly rescinded an order to freeze all federal grants and loans after a judge temporarily blocked it. Democratic attorneys general from 22 states and the District of Columbia,

U.S. Rep. Terri Sewell, AL-07, released the following statement after the Trump Administration rescinded its Office of Management and Budget memo freezing nearly all federal grants and loans:

The withdrawal of the federal freeze was a stunning about-face for President Donald Trump’s White House, which has so far pushed the envelope to reshape the federal government, sowing chaos and confusion in firing career civil servants, pausing foreign aid programs and offering federal workers a buyout.

The Trump’s administration’s Office of Management and Budget released a memo Wednesday rescinding a controversial order that froze a wide swath of federal financial assistance, which had paralyzed many federal programs and caused a huge uproar on Capitol Hill.

The move comes after the order sparked widespread criticism and confusion. A federal district judge had temporarily paused the freeze.

President Donald Trump’s budget office has rescinded a memo freezing spending on federal grants, less than two days after it sparked widespread confusion and legal challenges across the country