Washington (AP) Beginning Tuesday, the White House will suspend government grants and loans as part of an all-encompassing ideological assessment of its expenditures by President Donald Trump’s administration.
The Republican administration’s funding block has the potential to impact trillions of dollars and significantly disrupt various activities, including health care research and education programs. The goal is to stop even grants that have been given but not yet used.
“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,” stated Matthew Vaeth, the Office of Management and Budget’s acting director, in a memo.
Since Congress had already approved the financing, Democrats and independent groups quickly denounced the administration, calling its actions arbitrary and unlawful.
“More lawlessness and chaos in America as Donald Trump’s Administration blatantly disobeys the law by holding up virtually all vital funds that support programs in every community across the country,” New York Democrat and Senate Minority Leader Chuck Schumer said in a statement. “If this continues, the American people will pay an awful price.”
The memo doesn’t specify how broad the suspension will be, but it goes into effect at 5 p.m. ET. According to Vaeth, all spending must adhere to Trump’s executive orders, which aim to reverse progressive advancements in environmental justice, diversity, equality, and inclusion (DEI) initiatives, and transgender rights.
Vaeth stated 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.”
The memo has left many who depend on the money wondering how they will be impacted. Washington is a center for expenditure that goes to other departments, local governments, organizations, and contractors.
The halt is only the most recent instance of Trump using his influence over the federal government to further his conservative agenda. Trump is sifting through the bureaucracy this time, unlike during his first term when he and many of his inner circle were inexperienced with Washington.
“They are pushing the president’s agenda from the bottom up,” said Paul Light, a professor emeritus of public service at New York University and an authority on the federal government.
He said that Trump’s strategy has risks, particularly given how dependent so many voters are on Washington.
“You can’t keep causing trouble. “You must deliver.”
The message states that the halt will not impact Social Security or Medicare payouts. However, it was unclear how the halt would impact other programs, such as food stamps, Medicaid, and disaster help. According to the document, it need to be carried out “to the extent permissible under applicable law.”
“Are you stopping NIH cancer trials?” On social media, Minnesota Democrat Sen. Amy Klobuchar made reference to the National Institutes of Health.
At 1 p.m. ET, she will have her first briefing with White House press secretary Karoline Leavitt.
The leading Democrats on the Senate and House appropriations committees, Sen. Patty Murray of Washington and Rep. Rose DeLauro of Connecticut, wrote to Vaeth expressing “extreme alarm.”
“This Administration’s actions will have far-reaching consequences for nearly all federal programs and activities, putting the financial security of our families, our national security, and the success of our country at risk,” they stated.
