Note: This is breaking news. We will update this page as the story progresses with more details.

Earlier today, President Donald Trump's administration announced a temporary halt on most federal grants and loans to local governments, hospitals, schools, and businesses. 

This decision affects over $3 trillion of the $10 trillion spent by the federal government in 2024, causing significant disruption across various sectors.

The administration’s intention was to ensure that programs are free from elements that they deem inconsistent with its policies. However, the move led to extreme confusion and concern in multiple sectors of the U.S. economy, particularly in education and healthcare where delayed Medicaid payments and shutdowns of payment systems have been reported.

Several organizations, including the National Council of Nonprofits and the American Public Health Association, have filed lawsuits challenging the legality of the funding freeze. 

How Could a Funding Freeze Affect the Drilling Industry?

By freezing government funding, critical organizations and initiatives in our industry—like HEET, NGWA, IGSHPA, Justice40 grants, workforce development funding, diversity construction funding, and the Water Systems Council—are left hanging in complete uncertainty. This puts everything they do at risk, from groundbreaking initiatives to services and projects that countless people rely on. 

Update 1/28 at 5:00 pm EST: A federal judge, U.S. District Judge Loren L. AliKhan temporarily blocked the freeze on federal grants and loans until Monday.