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*FOR IMMEDIATE RELEASE:*
January 31, 2025




*Media Contact:*
Danny Wimmer <[email protected]>






Federal Court Blocks Trump Administration from Freezing Essential Funding, Following Lawsuit from AG Nessel

LANSING – Michigan Attorney General Dana Nessel today released the following statement after a federal court granted a motion filed by her office and a coalition of 22 other attorneys general to halt the implementation of a new Trump administration policy that would block federal agency grants, loans, and other financial assistance programs: 

"Today, we secured a temporary restraining order to halt the Trump White House’s unprecedented, reckless, and illegal attack on vital government services millions of Michiganders rely upon every day, from Head Start to Medicaid. This unilateral freeze on federal funding violates the constitution and other federal laws and poses a direct threat to the health, safety, and well-being of millions of Michigan residents and Americans across the country,” Nessel said.  

“While it remains unclear what has been ordered or rescinded by the White House, our legal challenge secured clarity from a federal Court that will keep these funds where they belong: supporting essential programs that keep roofs over working-peoples' heads and schoolbooks in classrooms. These programs must be robustly defended any time they come under threat from the whims of President Trump, and I am proud to defend them alongside my colleagues nationally. I am grateful for victory today, and ready to defend this State and her people today, tomorrow, and every day.” 

Today, the U.S. District Court for the District of Rhode Island granted the coalition’s request for a temporary restraining order, halting the implementation of the administration’s policy. This temporary restraining order extends beyond the January 28 administrative stay granted by the U.S. District Court for the District of Columbia in response to a lawsuit brought by nonprofit groups that receive federal funds.  

“Though I am grateful to have our order today, this case is far from finished,” Nessel continued. “I will continue to pursue my lawsuit to secure the highest degree of legal protections possible for these programs and to assert the vitality and strength of the laws violated by this White House. Sadly, the chaos wrought and damage done by this attempted funding freeze will not be so easily undone, and I will remain engaged with our program partners in this state until these harms are resolved, and until we deliver strong, lasting relief in defense of these vital programs.”   

The proposed policy, issued by the President’s Office of Management and Budget (OMB) on January 27, would put an indefinite pause on the majority of federal assistance, jeopardizing funds for health care, education, law enforcement, disaster relief, infrastructure, and more. On January 28, Attorney General Nessel and 22 other attorneys general  sued to immediately stop the enforcement of the OMB policy and preserve trillions of dollars in essential funding [ [link removed] ].  

On Wednesday, only hours before an initial hearing in this case, the President hastily rescinded the memo, but public messaging both by the White House Press Secretary and on the White House’s official X account indicated that the funding freeze was still in effect. Following OMB’s issuance of the policy, Medicaid funds in multiple states were frozen. Head Start programs across the country were cut off from funds, leading some childcare centers to close. Despite the District Court for the District of Columbia’s stay, disruptions to critical funds are continuing across the country.  

The temporary restraining order (PDF) [ [link removed] ] prohibits the Trump administration from imposing a blanket freeze on federal funding. This temporary restraining order is valid until the Court rules on a motion for preliminary injunction. 

The lawsuit was led by the attorneys general of New York, California, Illinois, Massachusetts, New Jersey and Rhode Island. Joining the lawsuit are the attorneys general of Arizona, Colorado, Connecticut, Delaware, Hawaii, Maine, Maryland, Michigan, Minnesota, Nevada, New Mexico, North Carolina, Oregon, Vermont, Washington, Wisconsin, and the District of Columbia. 

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