In a memo dated January 27, 2025, to all executive departments and agencies, Matthew Vaeth, Acting Director of OMB, has placed a pause on activities, effective January 28, 2025, related to financial assistance to ensure alignment with the President’s policies. The pause includes issuing new awards and disbursing funds under existing programs. Agencies must report their findings and proposed actions to the OMB by February 10, 2025.
The Administration describes their sudden action as “decisive,” intended to redirect Federal resources toward President Trump’s programs and away from programs addressed in earlier executive orders. As agencies undertake this review, exceptions may be granted by the OMB on a case-by-case basis to continue certain programs. This rigorous scrutiny seeks to optimize Federal spending and demonstrate the Administration’s commitment to prioritizing American interests.
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