Ossoff slams Trump’s ‘erratic’ attempt to freeze grant, loan funds

The White House is pausing federal grants and loans as President Donald Trump’s istration begins an across-the-board ideological review of spending.
Published: Jan. 28, 2025 at 1:23 PM EST|Updated: Jan. 29, 2025 at 1:42 PM EST
Email This Link
Share on Pinterest
Share on LinkedIn

WASHINGTON - Georgia Sen. Jon Ossoff says President Donald Trump’s attempt to freeze domestic grant and loan funding “threatens chaos.”

The White House said it was pausing federal grants and loans starting Tuesday as President Donald Trump’s istration begins an across-the-board ideological review of its spending.

However, a federal judge temporarily blocked Trump’s effort on Tuesday, and then Trump on Wednesday rescinded a memo ordering the freeze. The White House said Trump’s underlying executive orders remained in place.

How Trump and Project 2025 previewed the federal grant freeze

A freeze in federal grants was outlined in the Project 2025 governing treatise that candidate Donald Trump denied was a blueprint for his second istration.

President Donald Trump shares remarks about getting rid of FEMA at a briefing in Western North...

The attempted freeze caused confusion and panic among organizations that rely on Washington for their financial lifeline, and that’s what has Ossoff worried.

“The president’s suspension of federal grants for Georgia threatens chaos,” said Ossoff, D-Ga. “This erratic decision risks serious damage to health care, education, public safety, and local governments across our state.”

Ossoff
Ossoff

istration officials said the decision was necessary to ensure that all funding complies with Trump’s executive orders, which are intended to undo progressive steps on transgender rights, environmental justice and diversity, equity and inclusion, or DEI, efforts.

They also said that federal assistance to individuals would not be affected, including Social Security, Medicare, food stamps, student loans and scholarships.

IMMIGRATION CRACKDOWN:
Georgia Republicans praise Trump’s immigration crackdown

Crackdowns by federal immigration agents in Georgia and elsewhere are winning praise from Republican leaders in the Peach State.

FILE - Georgia State Capitol
Immigration agents conducting ‘targeted operations’ in Georgia

Immigration and Customs Enforcement said it made 956 arrests nationwide on Sunday and 286 on Saturday, including some in Georgia.

Foto enviada a Telemundo Atlanta
Undocumented families in Ga. worry amid immigration raids

As federal immigration raids begin around the country, including in Georgia, some undocumented families are worried about their future.

File image.

The pause on grants and loans was scheduled to take effect at 5 p.m. ET, just one day after agencies were informed of the decision.

The issue dominated the first briefing held by White House press secretary Karoline Leavitt. She said the istration was trying to be “good stewards” of public money by making sure that there was “no more funding for transgenderism and wokeness.”

She denied that Trump was deliberately challenging Congress to establish his dominance over the federal budget.

“He’s just trying to ensure that the tax money going out the door in this very bankrupt city actually aligns with the will and the priorities of the American people,” she said.

MORE FROM NEWS 12:

Trump 2.0: Latest from the new istration

  1. Trump istration officials in Chicago for immigration crackdown
  2. White House says Colombia agrees to take deported migrants
  3. Lindsey Graham says pardoning Capitol attackers sends ‘the wrong signal’
  4. Trump wants Jordan and Egypt to accept more Palestinian refugees
  5. Trump says inflation isn’t his No. 1 issue right now
  6. Trump uses mass firing to remove independent inspectors general

“The 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,” wrote Matthew Vaeth, the acting director of the Office of Management and Budget.

Vaeth wrote that “each agency must complete a comprehensive analysis of all of their Federal financial assistance programs to identify programs, projects, and activities that may be implicated by any of the President’s executive orders.” He also wrote that the pause should be implemented “to the extent permissible under applicable law.”