ST. LOUIS — Confusion is still swirling among state and local agencies, organizations, universities and more over President Donald Trump’s executive order putting a freeze on some federal grants and loans.
Wednesday, Trump’s Office of Management and Budget rescinded a memo issued earlier this week that sparked widespread confusion and legal challenges across the country.
The White House said that Trump’s underlying executive orders targeting federal spending in areas like diversity, equity and inclusion and climate change, remained in place.
Illinois Gov. JB Pritzker told Spectrum News Wednesday that he believes people made their voices heard.
“Pretty sure they received a message yesterday from across the country that this is a bad idea, fine review all the programs, that we are doing it efficiently and effectively, but don’t shut off the programs while you are doing them,” he said during a stop in Jersey County.
However, while the memo has been rescinded, organizations responsible for receiving the money and passing it on to recipients are feeling whiplash with each new development as they try to understand where they stand.
The Missouri Department of Elementary and Secondary Education told Spectrum News Wednesday that it is in the process of reviewing the current availability of federal fund systems for providing payments to daycare providers, after telling providers they had to pause payments Tuesday night. By late Wednesday afternoon, the money was freed up.
St. Louis Mayor Tishaura Jones posted on X a copy of the OMB memo saying a lot of people are sighing a breath of relief, but adds her office is staying alert.
Wedneday afternoon, Rep. Nikki Budzinski, D-Ill., huddled with St. Clair County officials who only hours earlier were worried that the $89 million in federal disaster aid for damage incurred by severe weather in July was swept up in the federal freeze. While there is now some measure of certainty that those funds are in the clear, Budzinski said the episode should serve as a reminder that the legislative branch has the power of the purse.
"That's where we should be having this...In Congress. But not in hindsight giving the President power that he does not have legally, to review and revise commitments that have been made to communities," she said.