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White House Budget Office Orders Pause in all Federal Loans and Grants, effective today (NYT)

outside shooter

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It's likely behind a paywall. My wife is a NYT subscriber, so I will post it.

For those of you not wanting to read it, the reason is a war on the woke bogeyman. Yes, all federal finds, such as for basic biomedical research, are somehow going to promote things like transgenderism! Who knew?

From my experience there are a few research grants out there that ask you questions in the application about whether the research can have an impact on health care disparities. For example, a lung cancer drug would disproportionately benefit black Americans merely because they have a much higher mortality rate from smoking. Can’t have that! Another… there is a grant to the University of Florida to operate a mobile cancer screening RV to go to poor areas (often with high minority populations) and to Indian reservations, to identify earlier rather than later cancers. Can’t have that! Another: there are grants to upgrade teaching resources at community colleges disproportionately serving minorities. Buy them a microscope! Can't have that!

the article:
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The White House budget office has ordered a pause in grants, loans and other federal financial assistance, according to a memo sent to government agencies on Monday, potentially paralyzing a vast swath of programs and sowing confusion and alarm among the array of groups that depend on them.

The directive threatened to upend funds that course throughout the American economy: Hundreds of billions of dollars in grants to state, local and tribal governments. Disaster relief aid. Education and transportation funding. Loans to small businesses.

But the two-page memo from Matthew J. Vaeth, the acting director of the Office of Management and Budget, left the scope of the pause, and much else, unclear.

Among the uncertainties was whether President Trump has the authority to unilaterally halt funds allocated by Congress. Senator Chuck Schumer of New York, the Democratic leader in the Senate, said in a statement that the memo “blatantly disobeys the law.”

“Congress approved these investments and they are not optional, they are the law,” Mr. Schumer said, adding that “Donald Trump must direct his administration to reverse course immediately and the taxpayers’ money should be distributed to the people.”

In his memo, Mr. Vaeth directed federal agencies to “temporarily pause all activities related to obligation or disbursement of all federal financial assistance,” and any other programs that included “D.E.I., woke gender ideology and the Green New Deal.”

“The use of federal resources to advance Marxist equity, transgenderism and Green New Deal social engineering policies is a waste of taxpayer dollars that does not improve the day-to-day lives of those we serve,” Mr. Vaeth said.


It was not immediately clear what programs would fall under those categories. The Green New Deal, for example, was a policy proposal that never became law.

The memo, which was reported earlier by the journalist Marisa Kabas, specifies that programs that support nongovernmental organizations would also be affected. Nonprofit groups reacted with alarm.

“This order is a potential five-alarm fire for nonprofit organizations and the people and communities they serve,” Diane Yentel, the chief executive of the National Council of Nonprofits, said in a statement.

“From pausing research on cures for childhood cancer to halting food assistance, safety from domestic violence and closing suicide hotlines, the impact of even a short pause in funding could be devastating and cost lives,” she added. “This order could decimate thousands of organizations and leave neighbors without the services they need.”

The memo cited “more than $3 trillion” in federal financial assistance that could be affected by the directive, but the source of that number was unclear, and another figure the memo cited for total federal spending was significantly inflated. Government analysts estimated the budget for fiscal year 2024 at $6.75 trillion, while Mr. Vaeth’s memo asserted the government spent “nearly $10 trillion” in that fiscal year.

The budget office memo carved out an exception for “assistance received directly by individuals,” as well as Medicare and Social Security benefits. The memo also seemingly acknowledged the legal limits of executive power to interfere in legally mandated programs, saying that agencies should carry out the pause “to the extent permissible under applicable law.”

It was also unclear what fell under the definition of individual assistance, and the memo did not provide examples of what programs would or would not qualify. Many farmers and small-business owners take out loans and receive grants from the federal government, but it is unclear if those would count as individual assistance or assistance to a business.

Congress, for example, established a program decades ago that provides farm loans for women, racial minorities and Native Americans — a program that the first Trump administration had participated in. That program could theoretically be put under scrutiny for its perceived similarities to “woke,” “D.E.I.” or “Marxist equity.”

Karl Scholz, the president of the University of Oregon, said Monday’s directive was “generating plenty of questions.” But he, like many others in academia and government, was still trying to interpret the memo and its consequences, saying researchers were already experiencing “considerable unease along with a deep interest in getting greater visibility about what is actually happening.”

text of the memo: https://www.nytimes.com/interactive/2025/01/27/us/omb-memo.html
 
I’m serious enough to tell the truth!
No you not. There are real life implications to all kinds of important programs. But then again Trump never did care about paying bills on time. But his general contractors sure were impacted. Same here but still a national level.
 
No you not. There are real life implications to all kinds of important programs. But then again Trump never did care about paying bills on time. But his general contractors sure were impacted. Same here but still a national level.
You didn’t care about implications that impacted the conservative side when Biden was in office. It’s going to be our way for the next 4 years.
 
You didn’t care about implications that impacted the conservative side when Biden was in office. It’s going to be our way for the next 4 years.
He may have been inept but Biden was never deliberately cruel. Think of impacts to suicide hotlines, cancer funding, homeless shelters, infrastructure programs, energy projects, etc.

Try and take a nonpartisan mature view.... for once.
 
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Reactions: Joe_Hoopsier
There’s a new Sheriff in town that 77 million people voted for to do exactly what he is doing. Suck it up buttercup!
Just because 77 million people voted for him doesn’t mean the constitution or congress should or can be side stepped. You’d feel the same way if the president was a democrat trying to wield the same power. This should be a bipartisan discussion on the balance of power.
 
He may have been inept but Biden was never deliberately cruel. Think of impacts to suicide hotlines, cancer funding, homeless shelters, infrastructure programs, energy projects, etc.

Try and take a nonpartisan mature view.... for once.
You never take a nonpartisan view. You just can’t stand that your side is not in control! You should have thought about that when you were forcing all the Trans and DEI CRT agenda down our throats.
 
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Just because 77 million people voted for him doesn’t mean the constitution or congress should or can be side stepped. You’d feel the same way if the president was a democrat trying to wield the same power. This should be a bipartisan discussion on the balance of power.
Those voters also selected the majority in the house and Senate. Your side also weaponized the judicial system.
 
Impacts Medicaid as well. Basically shuts down the system. Is that what you voted for Lucy? Medicaid?
 
You can imagine how motivating this is for the research community. Like many, spending 12 hour work days writing grants for a major NIH Feb 5 submission deadline. Now expecting those submissions to be tucked away, unseen,for months or maybe forever. Also waiting for the reviews and funding decisions for the many grants that we submitted at the last major NIH submission deadline (Oct 5th). All while reading what RFK Jr. wants, such as a halt to antiinfectives research and not just vaccines but also therapeutics, including antibiotics, and including even stopping the monitoring of infectious disease outbreaks. Gotta start selling those eggs from H5N1 infected birds. Price gotta drop!
 
I have a 52 page document detailing which federal assistance programs need to be halted. It's far reaching and comprehensive. It's going to have very real, serious implications on a lot of people depending on federal assistance very soon. Medical care, food assistance and help with living expenses for people in rural communities are all impacted. If this shit show isn't reversed in the next couple of days and/or the new approval process isn't streamlined/fast tracked, people will very likely die as a result of this.
 
... people will very likely die as a result of this.
MAGA thought of that and they don't mind the demographic shift for those dying. A few pubs, sure, but gotta be worth it to execute the woke snipe hunt. The city slickers here probably don't "get" my snipe hunt reference.
 
Disgusting:

Does this affect new enrollees or both current and new?

It was my understanding that the memo did not affect Medicare, Medicaid, social safety net payments to individuals, Social Security, student loans and grants.
 
Does this affect new enrollees or both current and new?

It was my understanding that the memo did not affect Medicare, Medicaid, social safety net payments to individuals, Social Security, student loans and grants.
ALL of Medicaid, as it is not aid directly to individuals. Rather, Medicaid payments are made to individual states.

Besides, see above re the entire Medicaid portal used by states being shutdown.

So yes, it affects ALL Medicaid enrollees - current and new.
 
Will find out soon what medical providers are going to do (if anything), as my son has an upcoming endoscopy. Thankfully he has about a month's worth of diabetes supplies. Without Medicaid his monthly medical expenses would be $3,000+.

Is that what you voted for, Lucy?
 
Will find out soon what medical providers are going to do (if anything), as my son has an upcoming endoscopy. Thankfully he has about a month's worth of diabetes supplies. Without Medicaid his monthly medical expenses would be $3,000+.

Is that what you voted for, Lucy?
Is he under 18?
 
Will find out soon what medical providers are going to do (if anything), as my son has an upcoming endoscopy. Thankfully he has about a month's worth of diabetes supplies. Without Medicaid his monthly medical expenses would be $3,000+.

Is that what you voted for, Lucy?
It's absolute f*#king bullshit. There is no defense for this, though I expect some of our MAGA friends to weigh in and try to defend it.
 
I’m guessing he does not qualify for Medicare?

I used to provide services to several homes where the patients had differing levels of functionality. From patients who just needed a little help to some that required 24 hour care. Some were just traditional Medicaid patients while others were dual eligible.

I wasn’t sure how the determination was made.
 
I’m guessing he does not qualify for Medicare?

I used to provide services to several homes where the patients had differing levels of functionality. From patients who just needed a little help to some that required 24 hour care. Some were just traditional Medicaid patients while others were dual eligible.

I wasn’t sure how the determination was made.
I think anyone who receives social security disability benefits is eligible but there is a waiting period. I think he may have a few more months for he can get Medicare. But his Medicaid benefits are more significant than anything under Medicare.
 
Nothing to fix. Medicaid payments are continuing uninterrupted (unfortunately).

I’m sure the website issue will be remedied by this evening.

Histrionics in this thread are pretty funny though.
Those Medicaid payments come from the STATE - not the federal government. The website that is down is for the individual states.

And it's not a "website issue." The federal government pulled the plug.
 
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