The President’s plan to freeze loans and grants caused widespread panic among local governments, schools and nonprofit organizations for whom federal finance is a lifeline.
The order to pause the funding freeze came minutes before it was due to take effect.
The judge said her temporary ruling was intended to “maintain the status quo.”
AliKhan scheduled another hearing for Monday at 3pm (GMT) to determine the next steps.
The groups said OMB lacked authority to unilaterally terminate all federal financial assistance programs across the government, and that the directive targeted grant recipients based in part on recipients’ rights to free expression and association under the U.S. Constitution’s First Amendment.
Separately, states including New York, California and Massachusetts said they will file a lawsuit targeting the directive.
Additional reporting by Reuters
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