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U.S. District Judge Loren L. AliKhan granted a short "administrative stay" after a group of nonprofit and public health organizations filed a lawsuit.
The news broke moments before the OMB funding freeze was set to take effect.
AliKhan asked the nonprofits to identify a specific harm caused by the freeze.
"I will be prepared, if I am not satisfied that you have met the standard for the [temporary restraining order], to vacate the administrative stay on Monday," AliKhan told lawyers representing the nonprofits.
AliKhan was appointed as a district judge for the District Court in DC by Joe Biden in 2023.
Attorney General William Tong joined a coalition of 22 attorneys general suing to stop the implementation of a new Trump administration policy that orders the withholding of trillions of dollars in funding.
The new policy, issued by the President’s Office of Management and Budget (OMB), puts an indefinite pause on the majority of federal assistance to states.
"Federal agencies must temporarily pause all activities related to obligation or disbursement of all Federal financial assistance, and other relevant agency activities that may be implicated by the executive orders, including, but not limited to, financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal," wrote Matthew Vaeth, Acting Director of OMB.
“This is a full assault on Connecticut families-- an unprecedented and blatantly lawless attack on every corner and level of our government and economy. Connecticut is locked arm in arm with states across the nation seeking an immediate restraining order to protect critical services that each and every one of us rely on every day. Today is not a day for politics-- everyone irrespective of party should be standing against this devastating attack on Connecticut,” said Tong.
The temporary pause became effective today, January 28, 2025, at 5:00 PM.
Tong and the coalition argued in the lawsuit that, "OMB’s policy has caused immediate chaos and uncertainty for millions of Americans who rely on state programs that receive these federal funds. Essential community health centers, addiction and mental health treatment programs, services for people with disabilities, and other critical health services are jeopardized by OMB’s policy."
Tong and the coalition also argued that "jeopardizing state funds will put Americans in danger by depriving law enforcement of much-needed resources. OMB’s policy would pause support for the U.S. Department of Justice's initiatives to combat hate crimes and violence against women, support community policing, and provide services to victims of crimes."
In addition, Tong and the coalition said the OMB policy "would halt essential disaster relief funds to places like California and North Carolina, where tens of thousands of residents are relying on FEMA grants to rebuild their lives after devastating wildfires and floods."
Tong and the coalition of attorneys general argue that OMB’s policy violates the Constitution and the Administrative Procedure Act by imposing a government-wide stop to spending without any regard for the laws and regulations that govern each source of federal funding. The attorneys general argue that the president cannot decide to unilaterally override laws governing federal spending, and that OMB’s policy unconstitutionally overrides Congress’s power to decide how federal funds are spent.
This lawsuit was led by the attorneys general of New York, California, Illinois, Massachusetts, New Jersey and Rhode Island. Joining the lawsuit are the attorneys general of Arizona, Colorado, Connecticut, Delaware, Hawaii, Maine, Maryland, Michigan, Minnesota, Nevada, New Mexico, North Carolina, Oregon, Vermont, Washington, Wisconsin, and the District of Columbia.