Federal funding memo rescinded, OMB actions litigated; county told key programs continue

County staff presented a federal legislative update that summarized recent White House and Office of Management and Budget (OMB) actions, litigation related to an OMB memo on a potential federal funding freeze, and the progress of presidential cabinet confirmations.

In her briefing, a staff speaker identified in the meeting as Catherine said the OMB memo that would have frozen some federal spending was rescinded and that courts had issued temporary restraining orders related to any funding freeze; “As of today, that memo has been rescinded,” she said, and added that some litigation remained pending in federal courts. Catherine and other staff emphasized that payments to individuals — including Social Security, Medicare, Medicaid and other programs that directly benefit individuals — were being treated as carved out from any freeze as of the rescission and the reported court orders.

Brett (staff) added that several cabinet nominees were advancing through confirmation processes and that once key officials are installed, more executive‑branch implementation of the president’s agenda would follow. Committee members asked whether a second OMB memo could reinstate restrictions; staff said the landscape was fluid and that further guidance from OMB or the White House could change interim practice but that, at the time of the briefing, payments to individuals were continuing.

Why it matters: county programs that rely on federal formula funds and grants watch federal budget and OMB actions closely because a funding restriction or impoundment could affect services and county budgeting. Staff pledged to monitor developments and coordinate with the county’s federal lobbyists and legislative contacts.

Questions and clarifications

- When asked whether funds “that benefit the American people” were being released, staff replied that, following the rescission and the court orders, funds that pay individual benefits were not frozen as of that day. Catherine told the committee, “As of today, that's correct. Yes.”

- Committee members asked about specific legislation referenced earlier in the meeting (a congressional bill number that had expired with the previous Congress); staff said the bill was not reintroduced in the current Congress as of that briefing but noted the confirmation of new officials could shape future reintroduction.

Ending note: staff said they would continue to update the committee as OMB guidance, litigation and congressional action evolved.