Lujira Cooper, left, checks in with O.K. Fox at the Edie Windsor SAGE Center in New York City on August 24, 2022. Photo by Neil Grabowsky/Through The Lens Studios for LGBTQ Nation.
A federal judge has issued a 30-day restraining order on President Donald Trump’s attempt to ignore federal law and freeze trillions in federal funding to alleged diversity, equity inclusion (DEI) and accessibility initiatives. While Trump issued the freeze to stop funding initiatives that “advance Marxist equity, transgenderism, and green new deal social engineering policies,” the freeze has prevented numerous social service organizations from accessing pre-allotted funds for various programs including healthcare, childcare, emergency shelters, food assistance, scientific research, workforce trainings and more.
The judge’s order came in response to a multi-party lawsuit filed by Democracy Forward on behalf of several organizations including SAGE, a national organization advocating for LGBTQ+ elders.
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Last week, Matthew Vaeth — the acting director of Trump’s Office of Management and Budget (OMB), an office that oversees every federal agencies’ spending — issued a memo directing all federal agencies and departments to “temporarily pause all activities related to obligation or disbursement of all Federal financial assistance.”
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“The use of Federal resources to advance Marxist equity, transgenderism, and Green New Deal social engineering policies is a waste of taxpayer dollars that does not improve the day-to-day lives of those we serve,” wrote Vaeth, adding that the pausing all federal grants and loans was necessary to ensure that all spending conformed to Trump’s political agenda.
However, Vaeth’s vague memo caused widespread confusion and panic from organizations that suddenly found themselves frozen out of the federal disbursement portals and without funds to continue their work, even if the organizations had no direct involvement with DEI, accessibility, “Marxism,” trans issues or preventing climate change.
Democratic attorneys general in 22 states filed lawsuits against Vaeth’s order. New York State Attorney General Letitia James called Vaeth’s directive “reckless, dangerous, illegal and unconstitutional,” Reuters reported. Democrats and other independent organizations called the funding freeze illegal and unconstitutional because Congress had already passed laws authorizing the funding, and a president cannot simply revoke or refuse to follow congressional legislation just because they disagree with it.
In her 30-page ruling, U.S. District Judge Loren AliKhan noted that numerous organizations still cannot access their legally allotted government funding, even though Vaeth formally rescinded the memo last week after a widespread outcry.
“The declarations and evidence presented by Plaintiffs paint a stark picture of nationwide panic in the wake of the funding freeze. Organizations with every conceivable mission — healthcare, scientific research, emergency shelters, and more — were shut out of funding portals or denied critical resources beginning on January 28,” AliKhan wrote in her ruling, issued on Monday.
AliKhan issued a similar ruling last week, but the Justice Department told her that she had no authority to intervene after OMB rescinded Vaeth’s memo, rendering her ruling moot. Nevertheless, AliKhan said there’s evidence that the Trump administration has continued to deny payments, so she directed all federal agencies to continue funding any efforts pre-authorized by congressional budgeting law.
“Each day that the pause continues to ripple across the country is an additional day that Americans are being denied access to programs that heal them, house them, and feed them. Because the funding freeze threatens the lifeline that keeps countless organizations operational, Plaintiffs have met their burden of showing irreparable harm,” wrote AliKhan, who was appointed by former President Joe Biden.
Trump’s Department of Justice criticized AliKhan’s ruling, saying it interferes with the executive branch’s authority, but SAGE praised the ruling.
“Restricting federal grants and loans would severely impact the lives of older Americans, including LGBTQ+ elders, who are more vulnerable to health issues, disabilities, and social isolation, and often struggle to access the care and services they need,” said Michael Adams, SAGE CEO. “We are grateful for this ruling, which protects our older neighbors, friends, and loved ones from the harmful freeze on federal grants and loans.”
The Justice Department has said that Trump’s administration still plans to end funds in line with his numerous executive orders, including his orders seeking to defund all legal recognition of trans people in government, hospitals and schools.
“[AliKhan’s judicial] order is a lifeline that provides the breathing room needed for our clients to continue to provide services people across this country rely on,” said Skye Perryman, President and CEO of Democracy Forward. “We look forward to pursuing this case on its merits in court on the behalf of our clients and the American people.”
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