Attorney General Kwame Raoul announced a significant development in the lawsuit against a memo from President Donald Trump’s Office of Management and Budget that aimed to freeze federal grants and loans. A federal judge in Rhode Island has issued a temporary restraining order, blocking the Trump administration from implementing a blanket freeze on federal funding. This order will remain effective until the court decides on the coalition's motion for a preliminary injunction.
Raoul stated, “Despite President Trump’s actions since taking office, Jan. 20 was an inauguration – not a coronation of a leader to whom our nation’s Constitution does not apply. I am pleased the judge agreed with our coalition that the president cannot interrupt funding appropriated by the separate, but equal, legislative branch of government.” He emphasized that Illinois depends on this funding for Medicaid support, public safety enhancements, and farming industry support.
The lawsuit was filed by Raoul and attorneys general from 22 other states. It argued that the memo violated constitutional and federal laws by imposing new conditions on already awarded funds. Although President Trump rescinded the memo hours before an initial hearing, communications from the White House suggested that the freeze remained in effect. The states claimed this was an attempt to sidestep legal proceedings.
During court proceedings, a U.S. Department of Justice lawyer contended that rescinding the memo rendered the case moot. However, Judge John J. McConnell disagreed, stating it was “a distinction without a difference,” and asked for a proposed order review.
Judge McConnell concluded that President Trump exceeded his authority by attempting to override Congress's policy decisions and failing to execute laws passed by Congress regarding fund allocation. He stated, “Congress has not given the Executive limitless power to broadly and indefinitely pause all funds that it has expressly directed to specific recipients and purposes.”
The contested funding freeze threatened programs such as WIC for nutrition assistance; Head Start for preschool services; LIHEAP for home energy aid; Medicare enrollment help; school meals for low-income students; support for homeless veterans; domestic violence victim assistance; refugee support programs; child sexual abuse investigations; and Medicaid fraud prosecution.
Raoul is co-leading this lawsuit alongside attorneys general from Arizona, California, Colorado, Connecticut, Delaware, District of Columbia, Hawaii, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, North Carolina Oregon Rhode Island Vermont Washington Wisconsin.