BOISE, Idaho — “It’s a pretty big shock to the system,” said Kevin Bailey with the Idaho Nonprofit Center, referring to the recent attempt to pause federal funding that came at the behest of the Trump Administration.
Nonprofits, public health leaders, and small businesses are pushing back after The Office of Management and Budget (OMB) ordered all federal agencies, "must temporarily pause all activities related to obligation or disbursement of all federal financial assistance.” The financial freeze was set to begin at 3 p.m., only to be halted by D.C. District Judge, Loren AliKhan.
Before the order was put on pause by the AliKhan, new White House Press Secretary, Karoline Leavitt held her first press conference to address confusion about which programs would and wouldn't be affected by the freeze. She explained that individual federal benefits would not be impacted. "I’m not naming everything that’s included, but just to give you a few examples: Social Security benefits, Medicare benefits, food stamps, welfare benefits, [and] assistance that is going directly to individuals will not be impacted by this pause,”
The memo also stated that “financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal” would have been part of the pause.
“This is to ensure that every penny that is going out the door is not conflicting with the executive orders and actions that this president has taken,” added Leavitt.
Several Treasure Valley area nonprofits Idaho News 6 spoke with over the phone Tuesday morning expressed uncertainty because of the ‘vague’ nature of the memo. “There is a lack of clarity at this point,” explained Bailey.
The Idaho Nonprofit Center told Idaho News 6 that a federal funding freeze would likely impact hundreds of Idaho nonprofit organizations, including healthcare entities that offer reduced rates, after-school care programs, and suicide and crisis intervention hotlines.
The National Council of Nonprofits is among the plaintiffs that filed suits against the White House order. Their suit claims: “This reckless action by the administration would be catastrophic for nonprofit organizations and the people and communities they serve.” The suit adds that the negative effects felt from the order "will hit Main Street hard."
In response to the White House's attempted funding freeze, Idaho Democratic Party Chair, Lauren Necochea said in a statement: "[the order] flagrantly disregards the separation of powers, stripping Congress of its authority over federal spending."
