More than 50 lawsuits are challenging the Administration’s executive orders, including these affecting nonprofit funding:

1. Undermining NGOs

Updated February 9, 2025

Read TNPA’s press release here.

On February 7, the White House issued an executive action ordering federal departments to stop funding nongovernmental organizations (NGOs) that, in the administration’s opinion, undermine the national interest. The heads of executive departments and agencies are ordered to review all funding to NGOs to align future funding decisions based on the current administration’s priorities.

The Nonprofit Alliance strongly opposes the executive action, which casts a baseless and harmful shadow over the work of NGOs at home and abroad. These organizations are on the front lines addressing critical issues such as disaster relief, public health, education, and human rights—work that aligns with the values and principles of the American people.

Labeling NGOs as undermining national interests while tying funding decisions to undefined and shifting political priorities jeopardizes essential services and vulnerable communities that rely on them. This action introduces uncertainty and political bias into a funding process that should prioritize impact and accountability above ideology.

The nonprofit sector has long been a trusted partner in advancing American values, supporting security, and fostering global stability. We urge the administration to reconsider this misguided policy and instead focus on strengthening the vital partnerships between government and NGOs that serve the best interests of the nation and the world.

2. Dismantling USAID

Updated February 27, 2025

On February 26, the Supreme Court paused a February 13 order by U.S. District Judge Amir Ali to disburse withheld foreign aid. In the February 13 order, the judge noted the absence of “any explanation for why a blanket suspension of all congressionally appropriated foreign aid, which set off a shockwave and upended reliance interests for thousands of agreements with businesses, nonprofits, and organizations around the country, was a rational precursor to reviewing programs.” In  a filing, the U.S. Government said that “Additional time is required because restarting funding related to terminated or suspended agreements is not as simple as turning on a switch or faucet. Rather, the payment systems of USAID and State are complicated and require various steps before payments are authorized.” 

Resources:

USAID Stop Work Tracker

Guide for USAID Stop Work Orders

3. Freezing Federal Funding

Updated February 25, 2025

On February 25, a federal judge imposed a long-term injunction against the federal funding freeze. U.S. District Judge Loren AliKhan’s order applies to funding that has already been approved for grants and other awards. This follows her original temporary restraining order issued on February 3. In a parallel case, on February 10, U.S. District Judge John McConnell in Rhode Island ordered the Administration to “immediately” unfreeze domestic spending until he determines whether the temporary restraining order he issued on January 31 will extend through the period of ongoing legislation.

The White House Office of Management and Budget (OMB) is enjoined from implementing, giving effect to, or reinstating under a different name its directive to halt federal spending broadly.

This court action is in response to the OMB’s memo issued on January 29 directing federal agencies to “temporarily pause all activities related to the obligation or disbursement of all Federal financial assistance, and other relevant agency activities, that may be implicated by [President Trump’s] executive orders.”