GET DAILY REPORT FREE
Federal, state and local government officials are scrambling Tuesday to assess the impact of a broad and far-reaching order by the White House on Monday to pause hundreds of billions in federal grants, loans and other financial assistance-programs pending a review by the Trump administration, The Wall Street Journal reports.
The memo, issued to agencies by the White House Office of Management and Budget late Monday, sowed widespread confusion, prompting government officials, lawmakers, nonprofits and others to parse through the two-page document—down to the footnotes—to try to understand which programs would be halted.
The memo’s broad language prompted some federal officials to wonder whether it halted the vast array of federal assistance programs, from Medicaid and nutrition programs for school children to rental assistance and highway funding. Footnotes to the memo exempted Medicare, Social Security benefits and assistance provided directly to individuals—but gave few other clues as to what it covered or didn’t cover.
Louisiana Gov. Jeff Landry, along with state Treasurer John Fleming, Senate President Cameron Henry and Speaker Phillip DeVillier, said in a statement that they “whole heartedly” embraced Trump’s goal to cut government waste and increase the impact of every individual federal taxpayer dollar. The state administration is evaluating the new order and seeking clarity as to the depth of its action.
“We believe that we are placing adequate resources into the state coffers to ensure stability for the time being,” the statement reads. “We urge OMB to develop a responsible runway to untangle us from any unnecessary and egregious policies without jeopardizing the financial stability of the state.”
