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Lawsuit seeks to block Trump funding freeze


U.S. President Donald Trump looks on as reporters ask questions aboard Air Force One during a flight from Las Vegas, Nevada, to Miami, Florida, U.S., January 25, 2025. 

Leah Millis | Reuters

A lawsuit was filed Tuesday seeking to temporarily block a funding freeze ordered by the Trump administration of all federal grants and loans.

The lawsuit says the freeze imposed by the Office of Management and Budget is illegal.

The suit was filed by the National Council of Nonprofits and the American Public Health Association in U.S. District Court in Washington, D.C.

The plaintiffs blasted the OMB’s action, which became known Monday night through a memo.

“SNAP/EBT Food Stamp Benefits Accepted” is displayed on a screen inside a Family Dollar Stores Inc. store in Chicago, Illinois.

Daniel Acker | Bloomberg | Getty Images

“This Memo — made public only through journalists’ reporting, with barely twenty four hours’ notice, devoid of any legal basis or the barest rationale — will have a devastating impact on hundreds of thousands of grant recipients who depend on the inflow of grant money (money already obligated and already awarded) to fulfill their missions, pay their employees, pay their rent — and, indeed, improve the day-to-day lives of the many people they work so hard to serve,” the suit says.

Senate Minority Leader Chuck Schumer, D-New York, earlier Tuesday said he had been told the New York state attorney general’s office planned to file its own lawsuit challenging the OMB’s freeze.

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