Federal judge issues restraining order blocking federal spending freeze

A federal judge temporarily restrained the Trump administration from implementing a funding freeze directed by the Office of Management and Budget. This move followed legal challenges from nonprofits, including the National Council of Nonprofits, arguing the directive undermines Congress's right to manage federal funds. Judge Loren AliKhan criticized the administration's actions as unconstitutional, stating they interfere with Congress's appropriations authority. In her order, she mandated the release of previously frozen awards and required the OMB to provide a compliance status report, reinforcing the importance of checks and balances in federal funding.

U.S. Judge Loren AliKhan blocked Trump administration directives that aimed to freeze federal grants, emphasizing that Congress is the only branch entitled to manage appropriations.

Judge AliKhan criticized the administration for undermining the Constitution's safeguards on federal funding, calling its actions an overreach of power conflicting with congressional authority.

Following the judge's order, the administration must release previously frozen federal awards and submit a report on its compliance with the court's decision.

Despite rescinding the OMB memo, the White House indicated it would persist in its efforts to curb what it labels as wasteful federal spending.

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