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Trump administration reverses federal loan, grant freeze after uproar

WASHINGTON — The White House on Wednesday rescinded a far-reaching memo ordering a freeze to many federal disbursements — after a judge paused the order Tuesday evening.

“OMB Memorandum M-25-13 is rescinded,” says a terse new memo to departments and agencies from acting White House budget director Matthew Vaeth that was first reported by NBC News.

The memo had ordered that agencies “temporarily pause, to the extent permitted by law, grant, loan or federal financial assistance programs that are implicated by the President’s Executive Orders,” according to the Office of Management and Budget.

The instructions resulted in confusion about what programs were implemented, prompting the White House to clarify that major benefit programs like Social Security and Medicare weren’t implicated.

This is a developing story. Please check back for updates.

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