Trillions of dollars of federal money are in jeopardy after an order released by the White House Office of Management and the Budget ordered a widespread freeze of many federal grants and loans. A federal judge in D.C. temporarily halted the order’s enforcement Tuesday evening after a lawsuit alleged it was unconstitutional.
The freeze would affect up to $3 trillion of federal aid, including millions granted to Fordham.
The memo stated all forms of federal assistance not going directly from federal agencies to individuals are to be paused pending a “comprehensive review.” The exception for individual recipients does not cover assistance distributed to individuals by organizations.
Federal student aid provided to individual students — including loans and Pell Grants — is not affected by the pause, according to a message played on the Federal Student Aid phone helpline. The memo also named Medicare and Social Security benefits as exempt.
The memo stated the pause was fulfilling President Trump’s mandate to reduce federal spending and “end wokeness.” Activities related to “foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal” were specifically called out in the memo.
Financial records show that Fordham received over $30 million in government grants in 2024, though it was not immediately clear how much came from the federal government.
Fordham’s $50 million grant from the EPA, with which the university will disperse $40 million in subgrants to organizations dedicated to environmental justice, may be canceled. The EPA grant was funded by the Inflation Reduction Act, a major legislation passed with support from the Biden administration. The Hill reported Tuesday afternoon that the EPA halted the disbursement of federal aid after the memo.
The Center for Community and Engaged Learning, which is responsible for administering Fordham’s grantmaker role for the EPA grant, was not available for comment at the time of publication.
Other grants that Fordham receives, including those from nonprofit organizations that receive federal funding, may also be in jeopardy.
23 state attorneys general have filed another suit to block the order, led by New York and California. New York Attorney General Letitia James said the White House’s action was unconstitutional.
“This president has exceeded his authority, he has trampled the constitution, and undermined a coequal branch of government,” James wrote in a statement.
The New York Budget Office forecasted the state will receive over $88 billion of federal funding in 2025. The New York City Comptroller’s Office reported that the city’s 2025 budget included $9.6 billion from the federal government.
