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Federal Judge Blocks Trump Administration's Freeze On Federal Grants

President-elect Donald Trump speaks during a news conference at Mar-a-Lago, Tuesday, Jan. 7, 2025, in Palm Beach, Fla. (AP Photo/Evan Vucci)

A second federal judge has issued a ruling blocking the Trump administration's attempt to freeze federal grants and loans. US District Judge John J. McConnell's order on Friday comes as a win for a group of Democratic state attorneys general who challenged the freeze earlier in the week. This decision follows a similar ruling by a judge in Washington, DC, who halted the freeze in a case brought by nonprofits.

In his 13-page temporary restraining order, Judge McConnell stated that the Office of Management and Budget's rollback of the freeze was merely in name only. He expressed skepticism about the administration's attempt to rescind the aid freeze, suggesting it may have been a tactic to avoid court jurisdiction.

The judge's order prohibits the administration from pausing, freezing, or canceling federal financial assistance to the states. McConnell emphasized that this order would remain in effect until further notice, with a hearing scheduled to consider a more permanent block on the aid freeze.

Democratic state attorneys general challenge freeze, leading to court rulings in their favor.
US District Judge John J. McConnell issues order blocking administration's freeze on federal grants and loans.
Judge McConnell questions administration's motives in rescinding aid freeze, suspects tactic to avoid court jurisdiction.

Furthermore, the order prevents the administration from implementing a similar freeze through any other means or under a different name. McConnell emphasized that the administration must not reissue or adopt the OMB Directive in any form.

Despite the Office of Management and Budget's claim that it had rescinded the memo freezing federal funds, Judge McConnell rejected this assertion. He pointed to statements from the White House press secretary indicating that states were still feeling the effects of the aid freeze.

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