Multiply that trickle of information across other federal agencies. Colleges don’t just receive funding from the Education Department. Veterans Affairs handles GI benefits. The Department of Agriculture funds extension services. The National Institutes of Health makes research grants — though it’s already subject to other Trump-administration restrictions.
- “I think every agency is scrambling,” Sarah Spreitzer, vice president and chief of staff for government relations at the American Council on Education, told the Daily Briefing. “I am hopeful it will somehow be coordinated so we’re getting similar guidance from every agency.”
The White House said the memo was only supposed to align spending with Trump’s executive orders, including those trying to stamp out DEI and foreign aid. But states nonetheless had trouble accessing Medicaid funds, and preschool centers had difficulty getting reimbursements under the Head Start program, The Washington Post reported.
Within 24 hours, colleges clamped down on spending. Administrators at the University of Mississippi told a biology professor not to charge feed for live animals to federal grants because it was impossible to guarantee the professor would be reimbursed, according to Mississippi Today/Open Campus. The University of Chicago’s provost told faculty members not to buy new supplies, start new experiments, or travel on federal funding lines while the White House’s memo is in effect, the Chicago Sun Times reported.
Higher-ed associations balked. ACE, the Association of Public and Land-Grant Universities, and the National Association of College and University Business Officers called for the funding freeze to be rolled back. Here’s a sample of statements from association leaders:
- “This is bad public policy, and it will have a direct impact on the funds that support students and research,” Ted Mitchell, ACE’s president, said. “The longer this goes on, the greater the damage will be.”
- “This action will sideline world-leading American scientists who are working toward cures for cancer, developing breakthroughs in AI and quantum computing, driving progress in advanced manufacturing, and supporting American farmers,” Mark Becker, APLU’s president, said.
- “We are deeply concerned how these actions may negatively impact student success and the ability of our institutions to continue to deliver educational programs and services,” Charles L. Welch, president of the American Association of State Colleges and Universities, said.
- “The recent flurry of executive orders from the new Trump administration have caused colleges and universities to divert attention away from their primary missions to interpret how potential program reviews and funding restrictions will harm their students, research, and communities,” Kara D. Freeman, NACUBO’s president, said.
Democrats called the move illegal. Several state attorneys general sued to stop it. So did advocacy groups for nonprofit organizations and small businesses, Reuters reported.
- The Impoundment Control Act, a Nixon-era law, limits the president’s ability to choose not to spend money appropriated by Congress. A White House Q&A maintained that the freeze is a “temporary pause” and not an impoundment — a distinction that the courts may have to decide.
At the end of the day, a judge blocked agencies from implementing the spending freeze. U.S. District Judge Loren AliKhan issued a stay to “preserve the status quo” until oral arguments can be heard on Monday.
The bigger picture: This isn’t just an esoteric legal battle pitting Trump’s expansionist executive branch against Congress’s power of the purse. The confusion threatens to send colleges into penny-pinching mode, and even a limited spending freeze could disrupt research and other programs that are harder to restart than they are to pause.
Read the full story: A Federal Funding Pause Sent Shockwaves Through Higher Ed. Here’s What We Know.