This story has been updated as of Wednesday, Jan. 29, 2025 at 1:20 p.m.
A funding freeze from the White House will pause federal grants and loans starting on Tuesday, Jan. 28, at 5 p.m. EST, according to the Associated Press. On Jan. 29, The New York Times said the Trump administration rescinded its order to freeze federal funding.
“The federal funding freeze does not apply to student loans and Pell grants, according to the Education Department,” said The New York Times.
A federal judge in the District of Columbia has blocked the Trump administration’s freeze on federal funding temporarily, according to The New York Times.
According to the AP, “the funding freeze by the Republican administration could affect trillions of dollars and cause widespread disruption in health care research, education programs and other initiatives. Even grants that have been awarded but not spent are supposed to be halted.”
On Friday, Jan. 24, University of Kentucky President Eli Capilouto sent out an email acknowledging the possible changes the Trump administration could have on the campus community.
The Kernel reached out to UK Chief Communications Officer Jay Blanton for a quote, and he referred the Kernel to Capilouto’s email addressing Trump’s executive orders. Blanton said he would inform the Kernel when a new statement is available.
Blanton has since forwarded an update from Capilouto on the federal policy changes. The update was also sent in an email to the campus community on the evening of Jan. 28.
According to the update, UK has developed a website to centralize any and all information on the policy changes and what it may mean for the university.
The memo informing Americans of the freeze was sent out on the night of Jan. 27 by Matthew J. Vaeth, acting director of the White House Office of Management and Budget, according to NBC News.
“‘Federal agencies must temporarily pause all activities related to obligation or disbursement of all Federal financial assistance, and other relevant agency activities that may be implicated by the executive orders, including, but not limited to, financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal,’” Vaeth said, according to the NBC article.
The memo, NBC said, does not detail which groups or programs specifically will be affected but says that federal aid must line up with Trump’s policy agenda. Medicare and Social Security benefits will not be affected by this freeze.
This pause in aid like grants and loans will “‘allow time to review agency programs and determine the best uses of the funding for those programs consistent with the law and the President’s priorities,’” Vaeth said, according to NBC.
This is an ongoing story and will continue to be updated as new information is available. A press brief is set to start at 1 p.m. on Jan. 28 with more information.