SAN ANTONIO – In a confusing twist Wednesday, the Trump administration walked back a federal funding freeze while also saying it would push ahead.
The Office of Management and Budget rescinded a memo it issued Monday night, which had ordered federal agencies to “temporarily pause” any funding that might involve issues targeted by President Donald Trump in his early executive orders, like green new deal or diversity, equity, and inclusion (DEI) programs.
>> Trump White House rescinds memo freezing federal money after widespread confusion
The sweeping memo caused confusion and concern among cities like San Antonio, whose budgets include big chunks of federal grant funding, to wonder how it could affect them.
- San Antonio has $325.5 million in its FY 2025 budget from federal funding.
- Nearly $254 million of that is grants for dozens of programs, including childcare subsidies, costs of operating the city’s Migrant Resource Center, new police officers, and assistance for families of preschool-aged children
- The Department of Human Services gets the biggest share of federal funding with $172.3 million.
- San Antonio Metropolitan Health District ($38.5 million), Neighborhood & Housing Services Department ($23.8 million), police department ($8.4 million), and fire department ($4.5 million) are the next biggest recipients
- Other federal funding is for capital improvements, like the $20 million for a new terminal at San Antonio International Airport.
A federal judge temporarily blocked the order from taking effect Tuesday as planned.
White House Press Secretary Karoline Leavitt though said rescinding the memo did not mean the administration was stopping its plans to freeze some funding.
“The President’s (executive orders) on federal funding remain in full force and effect, and will be rigorously implemented,” she said in a social media post.
This is NOT a rescission of the federal funding freeze.
— Karoline Leavitt (@PressSec) January 29, 2025
It is simply a rescission of the OMB memo.
Why? To end any confusion created by the court's injunction.
The President's EO's on federal funding remain in full force and effect, and will be rigorously implemented.
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