The OMB memo had directed federal agencies to pause grants and loans pending a review of compliance with the agenda of President Donald Trump.The OMB memo had directed federal agencies to pause grants and loans pending a review of compliance with the agenda of President Donald Trump.
The White House on Wednesday formally rescinded a controversial memo that had ordered a freeze on federal grants and loans, NBC News reported.
The freeze, which had been set to take effect late Tuesday afternoon, was paused Tuesday by a federal judge to give her time to consider arguments challenging its legality.
The memo ordering the freeze had been issued by the Office of Management and Budget.
Acting OMB Director Matthew Vaeth, in a new memo issued Wednesday, wrote, “OMB Memorandum M-25-13 is rescinded. If you have any questions about implementing the President’s Executive Orders, please contact your agency General Counsel.”
NBC News obtained Vaeth’s new memo from a serious. A senior administration official confirmed to NBC that the original OMB memo is rescinded, and said that additional guidance is to come.
CNBC has requested comment from OMB.
– CNBC’s Kevin Breuninger contributed to this article.
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