Attorney General Kathy Jennings announced that a federal court has granted a motion to halt the implementation of a Trump administration policy. This policy would have blocked federal agency grants, loans, and other financial assistance programs. Jennings stated, "These are not just federal dollars: they are health care, housing, and heating. They are public safety, transportation, and preschool." She emphasized the importance of these funds for various essential services.
The proposed policy was issued by the President’s Office of Management and Budget (OMB) on January 27. It aimed to pause most federal assistance indefinitely, affecting funding for health care, education, law enforcement, disaster relief, infrastructure, and more. On January 28, Jennings and attorneys general from 22 other states filed a lawsuit to stop the enforcement of this policy.
Despite attempts by the administration to rescind the policy, disruptions continued as Medicaid funds were frozen in multiple states and Head Start programs faced fund cuts. The lawsuit argued that the Trump administration's memo violated constitutional provisions by imposing new conditions on already awarded funding.
On Wednesday before an initial hearing in this case, President Trump rescinded the memo; however, public statements suggested that the funding freeze remained effective. The Court presided over by Judge John J. McConnell described this as a “distinction without a difference.” He asked for a proposed order review after stating that Congress had not given limitless power to pause all funds indefinitely.
Joining Delaware in this legal action were attorneys general from Arizona, California, Colorado, Connecticut, Hawaii, Illinois, Maine Maryland Massachusetts Michigan Minnesota Nevada New Mexico North Carolina New Jersey New York Oregon Rhode Island Vermont Washington Wisconsin District Columbia.