Coalition Sues Federal Government Over OMB’s Large-Scale Funds Freeze

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Nonprofit groups, public health organizations and small businesses sued for a temporary restraining order to block the Office of Management and Budget’s mass freeze of federal grants, loans and funding streams.

The suit is in District Court for DC. OMB’s order is classified as impoundment under the law. It has been tried on a smaller scale before, unsuccessfully. Impoundment usurps Congress’ “power of the purse.”

The organizations that joined together for the lawsuit include the National Council of Nonprofits, American Public Health Association, Main Street Alliance and SAGE.

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