Notice of Regarding Funding Pause -Temporary Restraining Order
Type: Special Notice
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HOMELAND SECURITY, DEPARTMENT OFFEDERAL EMERGENCY MANAGEMENT AGENCYFEMAWASHINGTON, DC, 20472, USA
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    The Department of Homeland Security, specifically the Federal Emergency Management Agency (FEMA), has issued a special notice regarding a temporary restraining order (TRO) that affects federal financial assistance programs, including grants. This TRO, resulting from the case of New York et al. v. Trump, prohibits federal agencies from pausing or canceling financial awards based on a rescinded Office of Management and Budget (OMB) memorandum or recent Presidential Executive Orders, emphasizing the importance of adhering to congressional appropriations. The order aims to protect essential state programs from the adverse effects of funding pauses, which have already caused operational challenges, and will remain in effect until further court rulings. For additional information, interested parties can contact FEMA Industry at FEMA-Industry@fema.dhs.gov.

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    The document outlines a temporary restraining order (TRO) issued in the case of New York et al. v. Trump concerning an alleged funding pause of federal financial assistance linked to an Office of Management and Budget (OMB) memorandum. The TRO prevents federal agencies from pausing or canceling financial awards based on the rescinded OMB memo or recent Presidential Executive Orders. It emphasizes that this prohibition applies to all current and future federal funds. The Court found that the plaintiffs—several states—are likely to succeed in their claims that the Executive's actions violate the Administrative Procedure Act (APA) and the Constitution due to unauthorized unilateral funding pauses and resulting irreparable harm to essential state programs. The Court noted the balance of equities supports the TRO as it safeguards vital services affected by the funding pause, which has already caused confusion and operational challenges. The order will remain effective until further court ruling, underscoring the importance of adhering to congressional appropriations and statutory guidelines in federal financial disbursement.
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