Federal Funding Freeze Update: Temporary Relief but Action Still Needed

This is an update of an email sent Tuesday, January 29, 2025 on the Federal Funding Freeze.

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.

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.

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

We continue to 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.

Call the Capitol Hill switchboard at (202) 224-3121, and they will connect you directly with your House or Senate offices. What to say:

• This is NAMEfrom ORGANIZATION. We are a community-based organization that serves youth experiencing homelessness in your DISTRICT/STATE.
• I am calling to urge my Member of Congress to take immediate action to ensure the lives of children, youth, and families are not impacted by the Trump Administration’s freeze on federal grants, loans, and financial assistance.
• While a judge has temporarily paused this harmful policy, I believe Congress must act now to ensure long-term solutions are in place to protect essential programs. IMPACT EXAMPLES.
• Please pass along my message and let them know I would like a response.

To make sure your message is received, do not email the general office email. Instead, contact a specific staff member from that office. If you are unsure what email address to send your message to, contact Trinady at trinady.maddock@nn4youth.org. What to email:

STAFFER,

This is NAME from ORGANIZATION. We are a community-based organization that serves youth experiencing homelessness in your DISTRICT/STATE.

I am emailing to urge my Member of Congress to take immediate action to ensure the lives of children, youth, and families are not negatively impacted by the Trump Administration’s freeze on federal grants, loans, and financial assistance. While a judge has temporarily paused this harmful policy, I believe Congress must act now to ensure long-term solutions are in place to protect essential programs. IMPACT EXAMPLES.

Please pass along my message to your boss and let them know I would like a response. Our program cannot help children, youth, and young parent families experiencing homelessness without the critical federal funding that was frozen yesterday.

Thank you, and I look forward to hearing from you.

Sincerely,

If you are not able to draw down funds for specific federal programs, please let us know. Please share additional impacts of the federal freeze on your program by emailing Trinady at Trinady.Maddock@nn4youth.org.

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