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A federal judge has temporarily blocked the Trump administration's sweeping freeze on federal grants and loans.
U.S. District Judge Loren L. AliKhan blocked the action Tuesday afternoon, just minutes before the freeze on trillions of dollars of federal spending was set to go into effect.
The order will pause the freeze until Monday.
The White House budget office had ordered the temporary freeze on federal spending as the administration conducted an ideological review of almost all federal funding.
What to Know:
- The freeze would have affected financial assistance for foreign aid, NGOs, DEI, and climate initiatives, among other programs.
- Exceptions may be granted on a case-by-case basis, per the Office of Management and Budget memo.
- White House Press Secretary Karoline Leavitt confirmed that direct aid to individuals won't be affected by the funding freeze. When asked about Medicaid, she did not rule out potential disruptions and said she would "check back on that."
- Congressional leaders have expressed strong opposition, citing devastating consequences for communities nationwide.
- Trump has signed a raft of executive orders since entering office on January 20.
Coverage on this live blog has ended but follow Wednesday, January 29's blog for newer updates.
Jan 28, 2025 at 07:58 PM EST
Who Is Loren AliKhan? Judge who blocked Trump’s federal grant freeze
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U.S. District Judge Loren AliKhan temporarily halted President Donald Trump's plan to freeze federal grants and loans on Tuesday right before it was set to take effect.
The judge granted a "brief administrative stay" after a group of nonprofit and public health organizations filed a lawsuit.
AliKhan has served as a district judge for the District Court for the District of Columbia since 2023. She previously served as an associate judge of the District of Columbia Court of Appeals from 2022 to 2023 and the solicitor general of the city from 2018 to 2022.
She was appointed to the district court and court of appeals by then-President Joe Biden.
Jan 28, 2025 at 07:50 PM EST
‘Nothing Is off the table’ for DOGE cuts—even Medicaid, TD Bank predicts
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Medicaid cuts are likely under President Donald Trump's Department of Government Efficiency, also known as DOGE, according to a new economic forecast shared with Newsweek.
The report comes from TD Bank, the sixth-largest bank in North America by branches. Its analysis includes data from numerous federal agencies including the U.S. Treasury, Census Bureau, Congressional Budget Office, Bureau of Labor Statistics and Centers for Medicare and Medicaid Services.
DOGE, which will be led by Elon Musk, has vowed to reduce the federal government's spending by $1 trillion. That's a lofty goal, as federal spending for fiscal year 2024 was $6.75 trillion—and nearly two-thirds of that sum, or $4.1 trillion, was spent on "mandatory" programs, according to TD Bank.
Social Security and Medicare are among the federal government's most significant outlays. Last year, $1.5 trillion was spent on Social Security while $874 billion was spent on Medicare. Despite their prices, Trump has said that neither of the popular programs will be slashed by DOGE.
Read in full from Alexis Kayser, Healthcare Editor, on Newsweek.
Jan 28, 2025 at 07:42 PM EST
Democratic state attorneys generals sue Trump administration over federal funding freeze
Democratic state attorneys generals have filed a lawsuit against the Trump administration over its federal funding freeze.
The suit, filed by 22 states and the District of Columbia, was aimed at blocking the pause on federal grants and loans, which was originally set to begin at 5 p.m. today.
A federal judge in Washington blocked the funding freeze today, with minutes to spare before the deadline, shortly before the state attorneys generals brought their own lawsuit.
The lawsuit criticized the Trump administration, branding it a violation of federal law, and warning it threatened states abilities to provide "essential benefits for residents, pay public employees, satisfy obligations, and carry on the important business of government."
Jan 28, 2025 at 07:22 PM EST
Union says Trump’s federal worker buyout will ’cause chaos’
The President of the American Federation of Government Employees, Everett Kelley, has warned that Donald Trump's federal worker buyout will cause "chaos."
The White House will offer to pay federal employees through September 30, as long as they offer to resign by February 6, Axios reports.
Kelley said the move, the latest in an attempt to purge career federal employees in favor of Trump loyalists, would have "vast, unintended consequences."
He added that Trump's goal was to turn the federal government into "a toxic environment where workers cannot stay even if they want to."
Jan 28, 2025 at 07:20 PM EST
Gov. Tim Walz: ‘Not one damn person thought this through’
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Kamala Harris' former running mate, Minnesota Gov. Tim Walz, has criticized Trump's proposed freeze on federal grants and loans, calling it an "outrageous power grab."
Walz said he has "a lot of questions" about the freeze because, "not one damn person thought this through."
The governor's office said the move would threaten $1.8 billion in monthly funding for Minnesota.
"We will do everything in our power to fill the hole," Walz said.
Walz added that Minnesota pays more into the federal government it gets back.
"Those are our dollars that he's stealing unconstitutionally," he added.
Jan 28, 2025 at 07:05 PM EST
California wildfire relief at risk after Trump funding freeze
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Federal funding for California wildfire relief could face roadblocks or delays after President Donald Trump ordered all federal agencies to stop issuing grants and loans beginning Tuesday evening, according to an internal memorandum sent Monday.
A judge blocked the freeze minutes before it was set to go into effect Tuesday, temporarily delaying it at least until next Monday.
It comes amid an ongoing federal disaster declaration in California as numerous wildfires this month have killed at least 29 people in the Los Angeles area and destroyed thousands of homes.
Read in full from Anna Skinner on Newsweek.
Jan 28, 2025 at 06:48 PM EST
WATCH: Moment White House announces mysterious New Jersey drones ‘not the enemy’
Jan 28, 2025 at 06:45 PM EST
Trump administration will offer buyouts to federal workers who don’t want to return to office
The Trump administration will offer buyouts to federal workers who don't want to return to office.
The White House will offer to pay federal employees through September 30, as long as they offer to resign by February 6, Axios reports.
The Trump administration has ordered federal workers back to the office, calling it "unacceptable" that 94% of employees still worked remotely or hybrid.
It is the latest move as part of a sweeping purge of federal workers, which has also seen the creation of the Department of Government Efficiency.
Jan 28, 2025 at 06:21 PM EST
Democrat lawmakers slam ‘devasting’ freeze
Democratic lawmakers have slammed Donald Trump's "devasting" federal funding freeze.
Virginia Sen. Tim Kaine warned that the move was going to "hurt a lot of people" including low-income seniors at a Virginia healthcare organization.
New Jersey Sen. Andy Kim referred to the freeze as "devastating" and warned it could lead to layoffs at nonprofits and the closure of important programs.
"So when it comes to having to lay off staff, lay off programs, and we're talking about programs to you know, seniors talking to about programs for people with disabilities. It's something that is absolutely catastrophic right now in terms of what people worry about," he said, according to CNN.
Jan 28, 2025 at 06:00 PM EST
School lunches at risk after Donald Trump’s federal funding freeze: NYC official
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President Donald Trump's freeze on federal grants has sparked widespread concern and confusion, with critics warning it could disrupt critical programs like school lunches, childcare and disaster relief.
New York City Comptroller Brad Lander has called the move "illegal."
The directive specifically targets discretionary grants, sparing formula-based funding like Title I for low-income schools and IDEA funding for special education. However, the implications for other programs remain unclear.
Among the programs potentially affected are school nutrition initiatives, such as the National School Lunch Program, which relies on ongoing federal payments to provide meals for millions of children nationwide.
Lander said in a statement that the freeze on federal funds could impact funding for school lunches in New York City.
Read in full from Ashley Parks on Newsweek.
Jan 28, 2025 at 05:40 PM EST
DOJ to pursue litigation and legislation against gender reassignment surgery for minors under order
President Donald Trump's executive order, aimed at curtailing gender transitions for people under age 19, calls on the Department of Justice to pursue litigation and legislation to oppose the practice.
It also orders that federally-run insurance programs, such as Medicaid and TRICARE for military families, remove coverage for the practice.
Jan 28, 2025 at 05:22 PM EST
Trump signs executive order to stop gender transitions for minors
President Donald Trump on Tuesday has signed an executive order aimed at curtailing gender transitions for people under age 19.
Jan 28, 2025 at 05:21 PM EST
GOP lawmakers downplay funding freeze
Republican lawmakers have been broadly supportive of Trump's federal funding freeze, with many downplaying the seriousness of the impact on services, Medicaid, nonprofits and more.
It "doesn't seem that remarkable to me. Maybe I'm missing something," Missouri Sen. Josh Hawley said Tuesday at Capitol Hill.
Idaho Sen. James Risch said the pause was a "work in progress," as he told everyone to "take a deep breath, stay calm."
Senate Majority Leader John Thune said that the move was "not unusual" as the administration takes "a hard look and scrub of how these programs, how they're being spent, and how they interact with a lot of the executive orders that the president signed."
However, some Republicans have raised some concerns, with Nebraska Rep. Don Bacon saying he hopes the pause is short-lived because, There's real people that depend on these grants," and "There's no reason for the disruption."
Maine Sen. Susan Collins added she was "surprised at its breadth" of the pause, while several members mentioned they wanted more answers.
Jan 28, 2025 at 05:09 PM EST
Federal judge orders halt to funding freeze
A federal judge has ordered a halt to Donald Trump's federal funding freeze.
The "brief administrative stay" will preserve the funds for a few more days at least.
Jan 28, 2025 at 05:07 PM EST
Trump’s manufacturing campaign pledge caught in crosshairs of grant pause
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President Donald Trump's federal grant freeze created uncertainty for manufacturers on Tuesday as the Trump administraton paused funds that supported U.S. manufacturing.
Newsweek reached out to the White House for comment via ema
The Manufacturing Extension Partnership (MEP) is one of the many grants that could be affected by the freeze.
The announcement sparked widespread confusion about what grants will be affected, how recipients could continue operations and how long the pause would last. There is an exception funding and grants paid directly to American citizens, Medicare and Social Security will not be impacted.
MEP, a grand operated by the National Institute of Standards and Technology (NIST), is a program that is designed to "strengthen and empower U.S. manufacturers."
Read in full from Andrew Stanton on Newsweek.
Jan 28, 2025 at 04:43 PM EST
New York nonprofits have contracts ‘paused’
Multiple New York nonprofit groups say they have been informed today that their federal contracts have "been paused," according to Kristin Miller, executive director of Homeless Services United.
Department of Veterans Affairs, which funds shelters for veterans, is reportedly among the federal agencies telling nonprofits that their funding has been temporarily halted.
"There are four organizations in New York City that receive federal money for veterans' shelters, and the V.A. is saying 'hold it,'" Miller told the New York Times.
New York State was expected to receive about $90 billion in federal funding in 2025, with $10 billion going to New York City. It's not clear how they will be impacted by Trump's new order.
Gov. Kathy Hochul said that around 45 road projects and Medicaid to around 7 million New Yorkers could be at risk.
Jan 28, 2025 at 04:23 PM EST
Letitia James Announces New Lawsuit Against Trump Administration
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New York Attorney General Letitia James announced a new "imminent" lawsuit against the Trump administration on Tuesday regarding the freezing of federal grant programs.
Newsweek reached out to the White House via email on Tuesday for comment.
In a news conference on Tuesday, James announced the impending lawsuit against the Trump administration along with other Democratic attorneys general.
"Not only does this Administration's new policy put people at risk, but it is plainly unconstitutional," James said.
Trump's White House Press Secretary Karoline Leavitt also spoke about the administration's decision to freeze federal grants during a press briefing on Tuesday, saying: "This is not a blanket pause on federal assistance and grant programs from the Trump administration."
Read in full from Anna Commander on Newsweek.
Jan 28, 2025 at 04:03 PM EST
RFK Jr. confirmation: Caroline Kennedy says cousin ‘predator’ in new video
In a video posted to YouTube on Tuesday, Caroline Kennedy, the sole surviving child of former U.S. President John F. Kennedy, read her letter to U.S. Senators in which she labeled her cousin, Robert F. Kennedy Jr., as a "predator."
Caroline Kennedy sent the scathing letter to senators on Tuesday, just one day before his confirmation hearing as President Donald Trump's pick to lead the Department of Health and Human Services.
In the letter, Caroline Kennedy says Robert F. Kennedy's actions "have cost lives." Addressing committee leaders, the former ambassador to Australia urged senators to reject his nomination, accusing him of preying on the desperation of parents, sick children and even his own family members.
Read the full story by Gabe Whisnant on Newsweek.
Jan 28, 2025 at 03:47 PM EST
Senator Fetterman calls for immediate restoration of federal funds in Pennsylvania
U.S. Senator John Fetterman is closely monitoring the impact of the federal funding freeze in Pennsylvania, following reports that organizations serving low-income families have had their access to funds cut off.
Fetterman's office received calls from over a dozen organizations, including those providing vital services to vulnerable communities.
He also noted reports of Pennsylvania's Medicaid portal being down.
Jan 28, 2025 at 03:32 PM EST
Senate confirms Sean Duffy as transportation secretary amid funding freeze protest
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The Senate confirmed Sean Duffy, a former Fox Business host and Wisconsin congressman, as the new secretary of transportation with a vote of 77 to 22.
The confirmation comes despite unexpected opposition from Senate Democrats, who initially voted to advance Duffy's nomination earlier this week.
Jan 28, 2025 at 03:20 PM EST
White House addresses Medicaid portal outage, confirms no payment delays
White House Press Secretary Karoline Leavitt confirmed that the administration is aware of the ongoing Medicaid website portal outage. In a tweet, Leavitt assured that no payments have been affected and that Medicaid reimbursements are still being processed and sent.
She added that the portal is expected to be back online shortly.
Jan 28, 2025 at 03:16 PM EST
AOC: ‘Trump shut off Medicaid’
Senator Ron Wyden has confirmed via X that Medicaid portals are down in all 50 states. In response, Rep. Alexandria Ocasio-Cortez shared on the platform formerly known as Twitter, "Trump shut off Medicaid."
Jan 28, 2025 at 03:10 PM EST
MTA condemns Trump administration’s federal funding freeze
The Massachusetts Teachers Association (MTA) strongly condemns the Trump administration's freeze on federal grants and loans, calling it unconstitutional and damaging to the state's well-being in a statement sent to Newsweek via email. MTA President Max Page and Vice President Deb McCarthy expressed concerns over the impact of the freeze on vital services, including public education, health care, and infrastructure.
While the full scope of the freeze's effects on Massachusetts public schools is still unclear, the MTA stressed that state schools, colleges, and universities depend on federal funding to serve students and support research.
It added that the freeze threatens educational equity, particularly for low-income families, and will place significant strain on nonprofits serving the most vulnerable communities.
Jan 28, 2025 at 02:57 PM EST
White House memo limits scope of federal funding freeze
The White House has issued a memo that narrows the scope of a freeze on federal financial assistance set to take effect Tuesday evening. According to the Office of Management and Budget memo, the freeze will target programs linked to executive orders on immigration, foreign aid, climate, energy, DEI initiatives, gender identity, and abortion.
The memo clarifies that any program not affected by the president's executive orders will not be subject to the freeze. It also outlines a process for agencies to determine which programs are impacted, stating that some freezes may last only a day.
Programs such as small business funding, Pell grants, and rental assistance will not be paused. However, some programs, including Head Start, have reported funding freezes, raising concerns about the broader impact, CNN reports.
Jan 28, 2025 at 02:41 PM EST
Trump invites Netanyahu for meeting at the White House next Tuesday
Trump has invited Israeli Prime Minister Benjamin Netanyahu to meet at the White House next Tuesday, marking Netanyahu as the first foreign leader to be welcomed during Trump's second term.
The two leaders had discussed the visit during a phone call ahead of Trump's January 20 inauguration, according to a statement from Netanyahu's office.
Jan 28, 2025 at 02:21 PM EST
White House reacts to rising egg prices and shortages
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White House Press Secretary Karoline Leavitt said Tuesday that there has been an increased price "in everything," not just eggs, shifting the blame of inflation on goods to former President Joe Biden's administration.
"There's a lot of reporting out there that's putting the onus on this White House for the increased cost of eggs," Leavitt said during her first official press conference. "I'd like to point out to each and every one of you that in 2024 when Joe Biden was in the Oval Office – or upstairs in the residence sleeping, I'm not so sure – egg prices increased 65 percent in this country."
Read the full story by Gabe Whisnant and Monica Sager on Newsweek.
Jan 28, 2025 at 02:05 PM EST
White House gives update on mysterious New Jersey drones
White House press secretary Karoline Leavitt announced Wednesday that the drones that flew over the Northeast United States in the past months "were not the enemy."
"The drones that were flying over New Jersey in large numbers were authorized to be flown by the FAA for research and various other reasons," Leavitt said, reading a statement by President Donald Trump.
Officials at local and federal levels have been baffled by reports of mystery drone sightings spotted in northeastern states such as New Jersey, New York, Pennsylvania and Connecticut since November. Residents of Ohio, Florida, Massachusetts and California have also reported seeing drones flying overhead, raising concerns about security threats and speculation of foreign involvement.
Federal officials, like former Homeland Security Secretary Alejandro Mayorkas, had repeatedly sought to calm public anxieties, affirming no evidence of foreign involvement or ill intent behind the sightings. That said, conspiracy theories had run rampant online, including by lawmakers.
Read the full story by Monica Sager and Gabe Whisnant on Newsweek.
Jan 28, 2025 at 01:52 PM EST
LULAC warns of human toll from Trump administration’s funding freeze
The League of United Latin American Citizens (LULAC), the nation's oldest Latino civil rights organization, has raised alarms over the Trump administration's freeze on federal funds and grants, which began Tuesday. The organization warned that the move could harm millions who depend on critical programs for healthcare, education, and social services.
"This decision, framed as an ideological review of spending to align with executive orders, jeopardizes critical lifeline programs that millions of Americans rely on for health care, education, and social services," said Roman Palomares, LULAC National President in a statement sent to Newsweek.
The White House justified the freeze as an ideological review to align with executive orders, affecting areas like environmental justice and diversity initiatives. While officials say direct assistance like Social Security and Medicare won't be impacted, LULAC highlighted potential disruptions to healthcare research, education, and other grant-funded programs.
LULAC is working with policy experts to assess the freeze's full impact and pledges to support affected communities. Palomares emphasized the organization's commitment to empowering vulnerable populations, particularly Latinos, during this challenging time.
Jan 28, 2025 at 01:43 PM EST
White House press secretary does not rule out Medicaid being affected by funding freeze
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White House Press Secretary Karoline Leavitt clarified that direct aid to individuals from the federal government will not be impacted by the ongoing funding freeze. However, she noted that much of federal aid is distributed to states and organizations that provide assistance to individuals, leaving uncertainty about whether those funds might be suspended.
When asked specifically about Medicaid, a key program jointly funded by the federal government and states, Leavitt did not rule out the possibility of disruptions, raising concerns about the freeze's broader implications.
Jan 28, 2025 at 01:41 PM EST
Man arrested with Molotov cocktails at Capitol targeted Speaker Mike Johnson and cabinet officials
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Ryan English was arrested Monday after allegedly bringing Molotov cocktails and knives to the Capitol, with plans to kill Speaker Mike Johnson, Treasury Secretary Scott Bessent, and Defense Secretary Pete Hegseth, federal prosecutors revealed.
English turned himself into Capitol Police, admitting he carried two Molotov cocktails made from small vodka bottles stuffed with cloth soaked in hand sanitizer.
According to court filings, English left his Massachusetts home on Sunday with plans to target Johnson and Hegseth but shifted focus to Bessent upon learning of his confirmation vote. Authorities say he abandoned his plan after realizing he couldn't bypass security and considered provoking "suicide by cop."
English faces charges for unlawfully transporting a firearm and bringing an incendiary device into the Capitol.
Jan 28, 2025 at 01:40 PM EST
Leavitt shares who was behind the mysterious New Jersey drones
Press Secretary Karoline Leavitt announced Wednesday at her first press conference for President Donald Trump's administration that the drones that flew over the Northeast U.S. in the past months "were not the enemy."
"The drones that were flying over New Jersey in large numbers were authorized to be flown by the FAA for research and various other reasons," Leavitt read a statement Trump.
Jan 28, 2025 at 01:37 PM EST
Leavitt touts end of DEI, claims America is returned to a merit-based society’
Karoline Leavitt continued to list many of the executive orders Trump has signed since taking office, including him ending DEI programs across federal government.
"He directed all federal agencies to terminate illegal DEI programs to help return America to a merit-based society," she said, adding that he had also "signed sweeping exec order to end the weaponization of government and restore common sense to federal bureaucracy."
Jan 28, 2025 at 01:35 PM EST
White House to expand press passes for new media and independent creators
Press Secretary Karoline Leavitt announced Tuesday that the White House will expand press access to include a broader range of media voices.
The initiative will restore press passes to 440 journalists whose credentials were revoked under the previous administration and open the briefing room to "new media" personalities.
Leavitt stressed the administration's commitment to the First Amendment, stating that independent journalists, podcasters, social media influencers, and content creators can now apply for press credentials.
Jan 28, 2025 at 01:22 PM EST
Leavitt says Trump’s immigration policies sends message to the world
White House Press Secretary Karoline Leavitt said Donald Trump was sending a message to the world with his mass deportation policy.
"President Trump has sent a loud and clear message to the whole world; America will no longer tolerate illegal immigration," she said at her first press briefing.
Leavitt touted Trump's success with Colombia, after he threatened to impose up to 50% tariffs on the country if they did not accept military planes with deportees.
"Within hours, the Colombian government agreed to all of President Trump's demands, proving America is once again respected on the world stage."
Jan 28, 2025 at 01:15 PM EST
Karoline Leavitt is making her debut as the youngest ever White House press secretary
Karoline Leavitt, the youngest person to serve as White House press secretary, is making her debut in the briefing room.
Leavitt, a former Republican congressional candidate who served as deputy press secretary during the first Trump administration, was the national press secretary for Trump's successful 2024 presidential campaign.
She kicked off the briefing today by touting Trump's achievements during his first days in office.
Jan 28, 2025 at 01:06 PM EST
Freeze could force Head Start programs to shut down by tomorrow
Several Head Start programs may be forced to close by Wednesday morning due to the federal grant funding freeze.
Head Start serves around 800,000 low-income children up to the age of five, as well as their families.
"Some programs that I just spoke with are having the discussions and trying to figure out, are they going to be able to open their programs tomorrow or not?" Tommy Sheridan, deputy director of the National Head Start Association, told CNN Tuesday.
Jan 28, 2025 at 12:44 PM EST
First legal challenge against Trump’s transgender troop ban to be filed
Advocacy groups are preparing to file a lawsuit on Tuesday challenging President Donald Trump's new executive order that calls for the Pentagon to revise its policy on transgender service members.
The move could potentially leading to a ban on their participation in the U.S. military.
The legal team behind the lawsuit is the same one that previously fought against Trump's 2017 ban on transgender troops, a policy that was tied up in the courts for years before being overturned by President Joe Biden upon his inauguration.
Trump's latest order, signed on Monday, asserts that the sexual identity of transgender service members "conflicts with a soldier's commitment to an honorable, truthful, and disciplined lifestyle," claiming it could undermine military readiness.
By Michael D. Carroll AND Shamim Chowdhury
Jan 28, 2025 at 12:29 PM EST
Is FAFSA paused? Will Donald Trump’s federal grant pause hit student loans?
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Trump issued a directive on Monday to temporarily suspend all federal grants and loans, potentially affecting trillions of dollars in government funding and disrupting public programs that millions across the country rely on.
According to the White House memo, the suspension begins on January 28 at 5 p.m. EST.
The new directive could affect billions of dollars in funding designated for state and local governments. Federal funding supports thousands of initiatives, including research projects, housing assistance, and education grants.
"This temporary pause will provide the Administration 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," Matthew J. Vaeth, the Office of Management and Budget acting director, wrote in the memo.
"The use of Federal resources to advance Marxist equity, transgenderism, and green new deal social engineering policies is a waste of taxpayer dollars that does not improve the day-to-day lives of those we serve."
Student loans won't be directly affected by the directive. The memo specifies that the pause will not affect Social Security or Medicare benefits, nor does it include "assistance provided directly to individuals."
The suspension specifically targets financial assistance related to diversity, equity, and inclusion initiatives, foreign aid, nongovernmental organizations, the Green New Deal, and gender-related policies.
However, the broad nature of the freeze raises concerns about potential disruptions to educational funding.
While programs like Social Security, Medicare, and other direct assistance to individuals are exempt from this pause, given the scope of the freeze, it's still advisable for students and borrowers to monitor official communications from the Department of Education and their loan servicers for updates.
Read the full story by Tahar Rajab on Newsweek.
Jan 28, 2025 at 12:26 PM EST
Federal grant pause could hit state budgets hard
The federal government's decision to pause grants could significantly impact state budgets, which rely heavily on federal funding. As of late 2022, federal grants accounted for about 36% of state government revenue, according to Pew Charitable Trusts.
Much of this funding supports Medicaid, the federally funded but state-administered health insurance program for low-income individuals. Federal grants to states surged during the COVID-19 pandemic due to relief efforts, but the Trump administration's memo pausing grants exempted Social Security and Medicare, with no mention of Medicaid.
Louisiana, where over half of state revenue comes from federal funding, could be among the hardest hit. In contrast, North Dakota relies on federal dollars for less than a quarter of its revenue, Pew found. This move could place significant strain on states heavily dependent on federal aid.
Jan 28, 2025 at 12:10 PM EST
Trump’s funding freeze tests balance of power with Congress
Trump's sweeping pause on foreign aid, grants, loans, and other federal financial assistance raises a significant challenge to Congress, which holds constitutional authority over federal spending. The move directly opposes funds approved and allocated by lawmakers.
While presidents traditionally request adjustments to align spending with their agendas, the Constitution grants Congress exclusive power of the purse. The executive branch is tasked with implementing these decisions, but disputes over spending authority are not uncommon, particularly when presidents withhold funds—a practice known as impoundment.
Trump's broad freeze could push the limits of statutory guidelines meant to prevent overreach. The administration's move may test whether existing laws can effectively curb a president determined to assert control over spending.
This situation underscores ongoing tensions between the legislative and executive branches over who ultimately directs how federal dollars are spent.
Jan 28, 2025 at 11:58 AM EST
Democrats decry spending freeze as constitutional crisis
Sen. Jeff Merkley (D-Ore.), ranking member of the Senate Budget Committee, declared a "constitutional crisis" over the White House's spending freeze, with the committee set to vote on Thursday on Russ Vought, Trump's budget chief and a key figure behind the freeze.
"Congress holds the power of the purse," added Sen. Patty Murray (D-Wash.), vice chair of the Senate Appropriations Committee, emphasizing the constitutional limits on executive spending authority.
Republican leaders defended the freeze as routine, with Senate Majority Leader John Thune stating it is "a normal practice at the beginning of an administration" to review spending.
Democrats, however, are preparing legal challenges. Senate Minority Leader Chuck Schumer revealed that New York Attorney General Letitia James is ready to file suit, while other lawsuits could come from organizations impacted by the freeze.
The funding halt, which affects agencies and programs nationwide, has sparked fears of complicating bipartisan negotiations to prevent a government shutdown on March 14. Murray warned the move undermines congressional agreements, calling it "massive overreach" and a threat to democratic governance.
Jan 28, 2025 at 11:45 AM EST
Senate Democrats vow to fight White House funding freeze
Senate Democrats are pushing back against a White House decision to freeze federal financial assistance, citing potential harm to Americans across the country. The freeze, announced by the Office of Management and Budget on Monday, halts funding for programs like foreign aid, diversity initiatives, and energy projects, effective Tuesday evening.
Senate Minority Leader Chuck Schumer criticized the move, calling it "a dagger at the heart of the average American family in red states and blue states, in cities, in suburbs, in rural areas." Democrats argue the freeze violates the Impoundment Control Act of 1974, a claim disputed by President Trump and his allies, who question the law's constitutionality.
In response, Democrats have called for delaying the confirmation of Trump's budget chief nominee, signaled potential court challenges, and warned Republicans of the impacts on their states.
Jan 28, 2025 at 11:42 AM EST
First openly transgender infantry soldier Patricia King shares message for Trump
Patricia King, the first openly transgender infantry soldier, expressed her desire for a direct conversation with Trump regarding his views on transgender service members. In an interview with CNN, King shared her belief that talking about people rather than engaging with them personally diminishes empathy and understanding.
King, known for sharing her story and advocating for trans service members, emphasized that being transgender is not what makes her special. Instead, she pointed out that it is the qualities and achievements beyond her identity that define her as remarkable, just like any other individual.
"And to boil us down to just this one thing, it's disingenuous and it's not fair to – to the American public," King said.
Jan 28, 2025 at 11:29 AM EST
Association of American Universities assesses impact of freeze on federal research funding
The Association of American Universities (AAU), which represents 71 of the nation's top research institutions, announced Tuesday that it is still evaluating the effects of a freeze on federal research funding. The freeze, ordered by the White House budget office, has raised concerns among the universities that rely heavily on federal grants and loans to support vital research projects.
The AAU represents universities that secure the majority of competitively awarded federal funding, which plays a crucial role in advancing public health, addressing national challenges, and strengthening the economy. In addition to conducting groundbreaking research, these universities are also key in educating and training the next generation of leaders and innovators.
Member institutions include prestigious universities such as New York University (NYU), Stanford University, the University of Notre Dame, the University of Texas, and Georgia Tech, among others. The freeze on funding could significantly impact ongoing and future research projects, but the AAU is still working to determine the full extent of the disruption.
Jan 28, 2025 at 11:17 AM EST
Donald Trump’s approval rating has declined
The proportion of likely American voters who approve of President Trump's performance has fallen from 56 percent on January 23 to 52 percent on January 28 according to a daily presidential tracking poll produced by Rasmussen Reports.
Newsweek contacted the White House for comment via email on Tuesday outside of regular office hours.
Following his inauguration as president on January 20 Trump hit the ground running with a series of executive orders declaring a national emergency at the southern border over illegal immigration, rolling back federal DEI initiatives, designating Mexican drug cartels as terrorist groups and ending birthright citizenship, though the moves are facing multiple legal challenges.
He also pardoned or dismissed the cases against over 1,500 people who had been charged or convicted over the January 6, 2021, Capitol riot, when Trump supporters stormed Congress in a bid to disrupt the verification of President Joe Biden's election victory.
It is not unusual for a president to slip in approval ratings after assuming office and the president went through a similar round of polling in the Rasmussen Reports tracking poll, which has often found a higher approval rating for Trump than other polls, after being inaugurated for his first term on January 20, 2017.
Read the full story by James Bickerton on Newsweek.
Jan 28, 2025 at 11:00 AM EST
Donald Trump ally challenged on Musk ‘salute’—’do it right now on TV’
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Washington Post columnist Catherine Rampell challenged a Donald Trump rally on Monday over his defense of Elon Musk's controversial hand gesture at Trump's inauguration last week.
During an appearance on CNN NewsNight, conservative CNN contributor Scott Jennings suggested it was "ridiculous" to call Musk's straight-arm gesture a Nazi salute, prompting Rampell to dare him to replicate it on live television.
Newsweek has reached out to Jennings via online form, Rampell via email and Musk via an email to Tesla for comment.
Musk, the world's richest man and a close ally of Trump, has become a polarizing figure in U.S. politics and has used his X platform to push far-right political movements. He has also been accused of amplifying antisemitism on several occasions since he bought Twitter, accusations he denies.
His straight-arm gesture sparked widespread backlash, with critics accusing Musk of mimicking a Nazi salute and some accusing him of harboring Nazi-adjacent views. Musk denies both.
Read the full story by Flynn Nicholls on Newsweek.
Jan 28, 2025 at 10:48 AM EST
Trump’s threat to impose tariffs on copper, aluminium imports could raise costs for consumers
Trump's threat to impose tariffs on U.S. copper and aluminum imports may lead to higher costs for American consumers, analysts and industry participants warned on Tuesday. The proposed tariffs are part of Trump's strategy to encourage domestic production of critical materials used in military hardware. However, experts caution that the move could backfire by increasing prices for consumers due to a shortfall in domestic production.
The U.S. relies heavily on imports for its copper and aluminum needs, with 38% of copper and 82% of aluminum coming from countries like Canada and Mexico. The proposed tariffs could push up prices, as U.S. manufacturers will likely pass on the increased costs to consumers, according to Natalie Scott-Gray, senior metals analyst at StoneX. Existing U.S. smelters, which have been closing, would require significant investment in infrastructure and power contracts to resume production.
The tariff proposal has already had an impact on the market, triggering a rise in copper prices, which hit $4.2705 per lb on the COMEX exchange. Analysts have warned that the tariffs could disrupt trade flows and further inflate prices, particularly for aluminum. Companies such as Alcoa and Rio Tinto, key producers of aluminum, could shift the cost burden to automakers, ultimately raising prices for U.S. consumers.
While Trump has promised lower costs for consumers, the proposed tariffs on imported materials could undermine that goal, raising costs across industries reliant on these metals. As trade flows and market dynamics shift, the long-term effects on consumers and industries remain uncertain.
Jan 28, 2025 at 10:33 AM EST
Trump’s cabinet draws criticism for being populated by billionaires
Trump's second administration has raised concerns due to the disproportionate presence of ultra-wealthy individuals in key roles. Despite his populist rhetoric, which often targets the "forgotten men and women" of America, Trump's appointments resemble the elite circles of his Mar-a-Lago resort, with billionaires taking charge of various departments.
Elon Musk, the world's richest man, is set to head a new Department of Government Efficiency, while other billionaires or mega-millionaires have been appointed to lead critical areas such as treasury, commerce, interior, education, NASA, and even foreign policy posts. While some, like early Trump supporter Debbie Dooley, argue that these figures bring proven success from the private sector, others, including former Labor Secretary Robert Reich, express skepticism about how such wealth will resonate with average Americans struggling with stagnant wages and rising inequality.
Trump's defenders argue that he sets the agenda, and those in his administration who do not align with his vision will be quickly replaced. Nonetheless, critics contend that the concentration of wealth within the government undermines the populist appeal that initially drove Trump's rise to power.
Jan 28, 2025 at 10:20 AM EST
Google to update maps with Gulf of America and Denali name changes
Google has announced that it will comply with Trump's executive action renaming the Gulf of Mexico to the Gulf of America. The change will soon appear on Google Maps, following the company's policy of updating names based on official government sources.
The update will occur once the Geographic Names Information System, a government database of names and location data, reflects the new name. Additionally, Google will update the name of Mount McKinley to Denali, reversing the previous decision by President Obama, who renamed the peak in 2015 to honor the region's Native American heritage.
Jan 28, 2025 at 10:07 AM EST
Sanctuary cities target of Republican investigation
Representative James Comer, the chair of the House Oversight and Government Reform Committee, announced an investigation into sanctuary jurisdictions on Monday.
Sanctuary jurisdictions decline to voluntarily assist federal immigration enforcement authorities, making it harder for undocumented migrants to be arrested and deported.
The investigation comes as President Donald Trump's administration has begun cracking down on illegal immigration. Following Trump's victory in November's election, some mayors of sanctuary cities vowed to fight deportation efforts.
Trump made immigration a central theme of his successful presidential campaign and Americans largely support his mass deportation plans.
A *New York Times/*Ipsos poll carried out from January 2 to 10 found 55 percent of voters strongly or somewhat support such plans. Eighty-eight percent supported "deporting immigrants who are here illegally and have criminal records." Large majorities of both Democrats and Republicans agreed that the immigration system is broken.
Read the full story by Khaleda Rahman on Newsweek.
Jan 28, 2025 at 09:53 AM EST
Karoline Leavitt to make debut as White House press secretary
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Karoline Leavitt, at 27, is set to become the youngest person to serve as White House press secretary when she holds her first briefing on Tuesday at 1 p.m. ET in the James S. Brady Press Briefing Room.
Leavitt, who previously worked as a spokesperson for Donald Trump's campaign and transition, was praised by the former president when he announced her appointment in November. Trump described her as "smart, tough, and a highly effective communicator," expressing confidence in her ability to deliver the administration's message to the public.
While it's unclear how frequently Leavitt will hold briefings, her role comes amid a history of sporadic press interactions under the Trump administration. Previous press secretaries included Sean Spicer, Sarah Huckabee Sanders, Stephanie Grisham, and Kayleigh McEnany, with Grisham notably avoiding regular briefings.
Leavitt's appointment makes her the youngest to hold the position, surpassing Ronald Ziegler, who was 29 when he served under President Richard Nixon. The role of press secretary has traditionally included daily briefings, though Trump's first term saw him engaging directly with the public through rallies and social media, often bypassing traditional press interactions.
Jan 28, 2025 at 09:40 AM EST
F-16s scrambled after possible drone nears Donald Trump’s plane
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Two U.S. Air National Guard F-16C Vipers and one U.S. Coast Guard MH-65 helicopter were scrambled to intercept a possible drone near one of President Donald Trump's backup planes, according to flight tracking data and Air Traffic Control (ATC) audio.
The maneuvers were spotted, using ADS-B Exchange data and ATC recording, by conspiracy theory debunking website Metabunk, reported on by The Warzone and posts from the flight tracking X account Thenewarea51 (@thenewarea51).
When Newsweek put these reports to Joint Base Andrews Air Force Base for comment, it did not deny them. Newsweek has also contacted the White House and the U.S. Air Force, via email, for comment.
The SAM47 USAF Boeing C-32A/757 was reportedly supposed to land at Joint Base Andrews Air Force Base, in Washington D.C., when a "potential drone" sighting delayed it.
The "potential drone" was seen over Freeway Airport, around 10 miles north of Andrews Air Force Base in Maryland, according to the audio.
A spokesperson from the 89th Airlift Wing, which is responsible for the presidential airlift unit and its mission, at Joint Base Andrews told Newsweek: "There was no operational impact to any 89th Airlift Wing aircraft landing at Joint Base Andrews, Md. on January 26, 2025. Aircrew followed Air Traffic Control instructions and landed uneventfully."
In the audio, the ATC operator can be heard telling the pilots of SAM47: "You can expect some delay, I have a scramble in progress" before he tells the Coast Guard helicopter, callsign 'BLACKJACK01', and the F-16s, callsign 'BRAVE01', that the target of interest was a "potential drone." Later in the clip, the operator addresses a second F-16, BRAVE02.
Eventually, the F-16s returned to Joint Base Andrews Air Force Base and the MH-65 returned to Reagan International Airport—none of which intercepted the "target of interest." The C-32A landed without incident.
Read the full story by Jordan King on Newsweek.
Jan 28, 2025 at 09:26 AM EST
Chicago ICE teams focus on criminal immigrants with Trump administration’s backing
Chicago U.S. Immigration and Customs Enforcement (ICE) teams, supported by the Trump administration, are focusing their immigration arrests on criminal individuals, prioritizing the worst offenders, according to Chicago ICE Field Director Sam Olson.
Olson told Fox News on Tuesday that ICE officers are targeting individuals with serious criminal backgrounds, such as sexual assault, murder, and drug offenses, rather than focusing on vulnerable places like schools or churches. He emphasized that the administration has allowed officers more discretion in their decisions. "We're leaving the discretion with our officers, and our officers are trained to make good decisions out there," Olson stated.
With the backing of the Trump administration, ICE operations in Chicago are bolstered by cooperation from other agencies, including the FBI and U.S. Marshals. Olson highlighted the challenges posed by individuals arrested by local or state authorities who are later released, despite ICE placing holds on them.
In order to ensure successful arrests, ICE officers conduct thorough research on targets' whereabouts, with arrest teams often made up of at least 10 agents working together to apprehend a single individual.
Jan 28, 2025 at 09:11 AM EST
Homeland Security Secretary Kristi Noem joins immigration enforcement operation in New York
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Newly confirmed Homeland Security Secretary Kristi Noem participated in an immigration enforcement operation in New York City on Tuesday, marking her first major public action since taking office.
Noem shared a brief video of an arrest on her social media, highlighting her involvement in both criminal and civil enforcement efforts. Sources indicated the operation targeted a member of a Venezuelan gang that had taken control of an apartment complex in Aurora, Colorado. One alleged gang member was apprehended in the Bronx.
The U.S. Drug Enforcement Administration's New York division confirmed its collaboration with the Justice Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Department of Homeland Security on these efforts.
Noem, previously the governor of South Dakota, is tasked with leading President Donald Trump's renewed immigration crackdown alongside "border czar" Tom Homan. Following her Senate confirmation, Noem stated, "The Trump Administration will once again empower our brave men and women in law enforcement to do their jobs and remove criminal aliens and illegal gangs from our country."
Jan 28, 2025 at 08:58 AM EST
Pulitzer Board uses Trump’s own legal argument against him
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Lawyers for the Pulitzer Prize Board have asked a judge to pause President Donald Trump's defamation lawsuit against its members, using the Republican's own legal arguments as part of his defense in other cases.
In filings submitted on Monday, Pulitzer Prize Board said the case involving the awarding of its prestigious reporting prize to The Washington Post and The New York Times for their coverage of alleged Russian collusion during the 2016 election campaign should be put on hold while Trump is in office.
Newsweek has contacted Trump's legal team and the Pulitzer Prize Board for comment via email.
Issues regarding whether a former or sitting president can be prosecuted or investigated were central to the now-dismissed federal probe into Trump's alleged criminal attempts to overturn the 2020 election. Similar legal arguments could now be used to halt civil cases brought forward by Trump now he has returned to the White House.
Read the full story by Ewan Palmer on Newsweek.
Jan 28, 2025 at 08:47 AM EST
Trump order sets stage for potential transgender troop ban
Trump issued an executive order on Monday directing Defense Secretary Pete Hegseth to develop a policy that could lead to banning transgender individuals from serving in the military.
Trump claimed in the order that service by troops who identify as a gender different from their biological one conflicts with military discipline and readiness, describing the issue as detrimental to maintaining an honorable and truthful military culture.
This marks a renewed effort to ban transgender service members, following a similar attempt during Trump's first term that courts blocked and later overturned by President Joe Biden.
Advocacy groups, including Lambda Legal and the Human Rights Campaign, have vowed to challenge the move. "Not only is such a move cruel, it compromises the safety and security of our country," said Lambda Legal attorney Sasha Buchert. "As we promised before, we will sue."
The policy details and implementation are now in the hands of Hegseth, with legal battles expected to follow.
Jan 28, 2025 at 08:34 AM EST
Trump signs executive order targeting transgender troops and COVID vaccine policies
Trump signed an executive order on Monday directing Defense Secretary Pete Hegseth to revise the Pentagon's policy on transgender troops, paving the way for a potential ban on their military service.
The order also reinstates service members who were dismissed or voluntarily left for refusing COVID-19 vaccinations. Additional provisions include rolling back diversity programs and authorizing plans for a space-based missile defense shield.
The changes were outlined on Hegseth's first day as defense secretary, with Trump and Hegseth previewing parts of the orders earlier in the day. The full details were released late Monday.
Jan 28, 2025 at 08:23 AM EST
Democrats criticize Trump’s executive orders on funding
House and Senate Appropriations Committee Democrats voiced concerns on Tuesday over Trump's recent executive orders.
The Democrats said Trump's actions "unilaterally freeze or contravene critical funding" and are creating "chaos across states, families, and communities."
Jan 28, 2025 at 08:11 AM EST
Letitia James calls out Trump’s funding move: ‘Reckless and dangerous’
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New York Attorney General Letitia James has criticized a pause on federal funding by President Donald Trump's administration as "reckless and dangerous."
Newsweek contacted the James' office and the White House for comment via email outside regular business hours.
James, a Democrat, has a long history of challenging Trump. During his first term, she launched several lawsuits against his administration, including over his immigration and environmental policies.
She also filed a lawsuit in 2022 alleging that Trump's company deceived banks, insurers and others by overvaluing assets and his net worth on financial paperwork to secure deals and loans. A judge ruled that Trump and other defendants must pay more than $350 million in penalties—a sum that has now ballooned with interest to almost $500 million.
Following Trump's electoral victory in November, James signaled that she would continue to be a significant legal challenger in his second term, saying, "I am ready to do everything in my power to ensure our state and nation do not go backwards." She is among more than a dozen Democratic attorneys general who are challenging Trump's recent executive order to end birthright citizenship.
Read the full story by Khaleda Rahman on Newsweek.
Jan 28, 2025 at 07:59 AM EST
GM monitors Trump’s tariff plans but avoids immediate changes
General Motors executives are closely watching President Donald Trump's plans to impose 25% tariffs on imports from Canada and Mexico but have not made significant changes to their North American strategy, according to The New York Times.
Paul Jacobson, GM's chief financial officer, stated the company has an "extensive playbook" of potential responses but will only implement them if tariffs become a long-term reality. "We want to make sure we are prudent and don't overreact," Jacobson said during a Monday call with reporters.
The tariffs, set to begin on February 1, could significantly impact GM and other automakers that rely on vehicle and component production in Canada and Mexico. GM, which produced nearly 900,000 vehicles in Mexico in 2024, primarily for the U.S. market, could see higher costs and vehicle prices.
Despite these challenges, GM highlighted progress in its electric vehicle (EV) business and resilience in North America. The company reported a $6 billion profit in 2024, though down from $10.1 billion in 2023, with nearly all profits stemming from North America.
CEO Mary Barra emphasized the company's commitment to advocating for American manufacturing and advanced technology leadership. GM also announced $14,500 bonuses for 46,000 U.S. workers, reflecting its strong domestic performance.
Jan 28, 2025 at 07:47 AM EST
Taiwan calls U.S. semiconductor ties a ‘win-win’ amid tariff threats
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Taiwan's government emphasized its strong semiconductor partnership with the U.S. on Tuesday, describing it as a "win-win" model. The statement comes after Trump announced plans to impose tariffs on imported chips and other goods to encourage domestic production.
Taiwan, home to TSMC, the world's largest contract chipmaker, plays a vital role in the global tech supply chain for major U.S. companies like Apple and Nvidia. Taiwan's economy ministry highlighted the complementarity between U.S. chip designs and Taiwan's manufacturing capabilities, pledging continued cooperation to support mutual interests.
In 2020, TSMC announced plans to build a $12 billion factory in Arizona, later expanding that investment to $65 billion. While TSMC declined to comment on Trump's latest tariff threats, Taiwan's economy minister recently noted that the country's technological edge minimizes potential impacts from U.S. tariffs.
Taiwan's trade surplus with the U.S. surged last year, driven by record demand for semiconductors and high-tech exports.
Jan 28, 2025 at 07:34 AM EST
Trump says Microsoft in talks to buy TikTok, hints at bidding war
Trump announced Monday that Microsoft is in talks to acquire TikTok and expressed support for a potential bidding war over the app. TikTok, owned by China's ByteDance, briefly went offline before a law requiring its sale or ban took effect on January 19.
Trump, who delayed the law's enforcement upon taking office, said he is considering offers for the platform and expects to decide its future within 30 days. Microsoft, TikTok, and ByteDance declined to comment.
The talks follow a similar push during Trump's first term, when Microsoft pursued a deal to buy TikTok but later abandoned the effort. Microsoft CEO Satya Nadella called it "the strangest thing" he had worked on.
Other bidders may include AI startup Perplexity AI, which reportedly proposed merging with TikTok and offering the U.S. government a future stake.
Jan 28, 2025 at 07:20 AM EST
Why has Trump paused federal grants?
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President Donald Trump has ordered all federal agencies to stop issuing federal grants and loans, according to an internal memorandum sent on Monday.
The new order may impact billions of dollars in funding allocated to state and local governments. The federal government funds thousands of programs, including research projects, housing subsidies and educational grants.
The president has signed a raft of executive orders since entering office on January 20. The memo says it applies to prior executive orders for various initiatives, including domestic infrastructure, energy projects, diversity programs, and foreign aid.
"The use of Federal resources to advance Marxist equity, transgenderism, and green new deal social engineering policies is a waste of taxpayer dollars that does not improve the day-to-day lives of those we serve," read the memo, authored by Matthew J. Vaeth, acting director for the Office of Management and Budget.
"This temporary pause will provide the Administration 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 wrote.
The memo continued: "To implement these orders, each agency must complete a comprehensive analysis of all of their Federal financial assistance programs to identify programs, projects, and activities that maybe implicated by any of the President's executive orders."
Newsweek has contacted the White House and the Office of Management and Budget via email for comment outside of regular working hours.
Read the full story by Aliss Higham on Newsweek.
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