President Donald Trump’s executive order to halt federal grants and loans on Monday sent college students and parents across the nation into a panic.
A federal judge temporarily blocked the order on Tuesday, which the Office of Management and Budget later clarified would not have affected federal funding for student loans and Pell Grants.
The order, sent to government agencies on Monday in a two-page memo from the office’s acting director Matthew Vaeth, called for a halt of all federal grants, loans and other financial assistance slated to begin Tuesday at 5 p.m.
The memo comes after Trump recently signed dozens of executive orders to pull out of climate agreements, increase military presence at the border and end diversity, equity and inclusion efforts.
The memo called for a full review of federal agency funding and spending to ensure it would comply with Trump’s executive orders. But the memo’s wording caused confusion on whether all federal agencies must temporarily pause obligation or disbursement of federal funds.
After the announcement, many social media platforms were flooded with posts from people concerned about the damage that the funding block would cause.
A follow-up statement from the office on Tuesday clarified that the order did not include a pause in funding for scholarship programs or any assistance received directly by individuals, such as Medicare, Medicaid, SNAP and Social Security.
The University of Maryland vice president for research, Gregory Ball, sent a letter to deans and faculty Tuesday that said this university is assessing impacts of the pause.
“The university has not received overarching stop-work orders or suspension notices,” the letter read. “Work on grants and cooperative agreements should continue as required by the award document unless the Office of Research Administration (ORA) has provided other guidance.”
Maryland Gov. Wes Moore said in a statement Tuesday that his office is still evaluating what the proposed freeze would mean for Maryland.
“But one thing is already clear: These irresponsible actions and conflicting directives from the White House have caused unnecessary confusion, fear amongst Marylanders, and instability in our economy,” Moore’s statement read.
