Fresh on the heels of suing the Trump administration to stop ICE raids at churches, Democracy Forward filed another lawsuit that has led to a temporary hold on the administration’s effort to strip funding for nonprofits and educational institutions receiving federal grants and loans.
This suit was filed Jan. 28 in U.S. District Court for the District of Columbia on behalf of the National Council of Nonprofits, the American Public Health Association, Main Street Alliance and SAGE.
“This reckless action by the administration would be catastrophic for nonprofit organizations and the people and communities they serve,” said Diane Yentel, chief executive of the National Council of Nonprofits. “From pausing research on cures for childhood cancer to halting housing and food assistance, shuttering domestic violence and homeless shelters, and closing suicide hotlines, the impact of even a short pause in funding could be devastating and cost lives. This order must be halted immediately before such avoidable harm is done.”
Late on Tuesday, shortly before the administration’s order was to take effect, U.S. District Judge Loren L. AliKhan blocked the funding freeze.
Skye Perryman
“This is a sigh of relief for millions of people who have been in limbo over the last 24 hours as the result of the Trump administration’s callous attempt to wholesale shutter federal assistance and grant programs that people across this country rely on,” said Skye Perryman, president of Democracy Forward. “We are grateful for this administrative stay to allow our clients time to sort through the chaos created by the Trump administration’s hasty and ill-advised actions and bring more fulsome briefing to the court.”
In another day of chaos created by the Trump administration’s rapid move to reshape the nation, recipients of trillions of dollars in federals grants were left scrambling to understand the vague order that even White House Press Secretary Karoline Leavitt could not explain to reporters at her first press briefing Tuesday.
In agreeing to stay the implementation of the executive order, Judge AliKhan said, “It seems like the federal government currently doesn’t actually know the full extent of the programs that are going to be subject to the pause.”
The larger constitutional question is whether a president has the authority to stop disbursements already approved by Congress.
According to a news release from Democracy Forward: “The White House Memo fails to explain the source of OMB’s purported legal authority to gut every grant program in the federal government; it fails to consider the reliance interest of the many grant recipients, including those to whom money had already been promised; and it announces a policy of targeting grant recipients based on those recipients’ exercise of their First Amendment rights and for reasons having no bearing on their eligibility to receive federal funds.”
“The White House Memo fails to explain the source of OMB’s purported legal authority to gut every grant program in the federal government.”
The Associated Press reported the White House had prepared a 51-page spreadsheet sent to federal agencies. “Officials were directed to answer a series of yes or no questions for every item on the list, including ‘Does this program promote gender ideology?” or “Does this program promote or support in any way abortion?’”
Matthew Vaeth, acting director of the Office of Management and Budget, wrote in a memo distributed Monday: “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.”
Russell Vought (Photo By Tom Williams/CQ Roll Call via AP Images)
Trump’s nominee for director of OMB, Russell Vought, currently is awaiting Senate confirmation. Vought is the architect of the Heritage Foundation’s Project 2025, which lays out a plan for a Trump administration to radically reshape the federal government in the image desired by evangelical Christians.
While Trump’s previous controversial executive orders generally affected his perceived enemies, this order was perceived as a hit on all swaths of American life.
Georges C. Benjamin, executive director of the American Public Health Association: “Improving the public’s health by supporting our state, tribal, local and territorial health departments and other national and community-based health organizations is essential and federal agency grants play an extremely critical role in achieving these efforts in every community. By pausing these vital funds, which were approved by Congress, this decision threatens to stall essential public health and prevention programs and research. Halting these funds stymies progress and is a matter of life and death.”
Richard Trent, Main Street Alliance executive director: “For small businesses across America, the administration’s decision to freeze all federal funding could be catastrophic. Federal funding serves as the backbone of many community programs and initiatives that small businesses rely on to thrive. Without it, essential services like infrastructure development, workforce training and child care programs — services that allow small businesses to operate and grow — will crumble and the ripple effects will hit Main Street hard.”
Michael Adams, CEO of SAGE: “Blocking federal grants and loans would devastate the lives of older Americans — including LGBTQ elders who already face unique challenges. These individuals are more vulnerable to health issues, disabilities and social isolation and often struggle to access the care and services they need. This reckless decision puts entire communities at risk. We must work together now to protect our older neighbors, friends, and loved ones before it’s too late.”
Jenny Young, spokesperson for Meals on Wheels: “The lack of clarity and uncertainty right now is creating chaos. Seniors may panic not knowing where their next meals will come from.”
Sen. Patty Murray of Washington, the top Democrat on the Senate Appropriations Committee: “Trump’s actions would wreak havoc in red and blue communities everywhere. We are talking about our small towns, our cities, our school districts.”
A coalition of state attorneys general also has filed suit to stop the Trump administration blockade on Congressionally approved federal grants.
Judge AliKhan has ordered a hearing on the Democracy Forward lawsuit Monday morning.
Related articles:
Trump intends to traumatize his opponents, Perryman explains
Quakers file suit to stop ICE raids at churches like what happened Sunday
Perryman testifies about dangers of Project 2025
Democracy Forward works to defend American values, disrupt Christian nationalists