Judge Temporarily Blocks Freeze on Federal Funding

A federal judge in Washington, D.C. has temporarily halted the freeze on federal loans, grants, and other financial assistance announced in a memo by the Office of Management and Budget (OMB) on Monday (1/29/25) evening. The U.S. District Judge


Loren AliKhan's ruling:

  • Prevents the administration from blocking funding to existing federal programs until Monday (2/3/25).
  • States that existing grants and financial agreements will continue uninterrupted until at least Monday (2/3/25).
  • Comes after legal challenges from advocacy groups warned that the freeze would have devastating consequences for essential public services.


What's Affected — and What's Not

This freeze is part of the Trump Administration’s broader push to cut spending and remove federal support for programs that don’t align with the Administration’s priorities. The memo states it does not apply to Social Security or Medicare benefits, payments to individuals (like Pell grants or direct student loans), Head Start, and rental assistance.


For now, Judge AliKhan’s ruling allows existing grants and financial agreements to continue uninterrupted for existing funding commitments. At this time, new Notice of Funding Opportunities are limited or blocked as the new administration works to update them to reflect their priorities. 


The portals for Health and Human Services grants should be open, but we have heard from providers that portals for Housing and Urban Development grants are still inaccessible.


What’s Next


On Monday (2/3/25) morning, Judge AliKhan will hear arguments to determine if the freeze should continue after Monday. National Network for Youth (NN4Y) and National Safe Place Network (NSPN) will continue to closely monitor developments and provide further updates as information becomes available. 

It's recommend that you contact:

  • Your federal grant administrator(s) for specific guidance regarding your program’s funding status.
  • Your U.S. Representatives to push for permanent protections to maintain funding stability. 


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