Leaders in West Alabama are not yet sure how the area will be impacted by the surprise Monday announcement that the federal government will freeze the disbursement of much of its grant and loan funding to ensure alignment with President Donald Trump's agenda.

As national outlets have spent Tuesday covering, the President's Office of Management and Budget issued a memo on Monday order to "temporarily pause all activities related to obligation or disbursement of all Federal financial assistance, and other relevant agency activities" so those expenses could be checked for compliance with Trump's recent executive orders.

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OMB's Acting Director Matthew Vaeth said the US government spent almost $10 trillion last fiscal year, including $3 trillion on federal financial assistance such as grants and loans.

It's those expenses that will be frozen until they are approved by the new administration, and it's unclear how long that process will take.

"Financial assistance should be dedicated to advancing Administration priorities, focusing taxpayer dollars to advance a stronger and safer America, eliminating the financial burden of inflation for citizens, unleashing American energy and manufacturing, ending “wokeness” and the weaponization of government, promoting efficiency in government, and Making America Healthy Again," the memo said. "The use of Federal resources to advance Marxist equity, transgenderism, and green new deal social engineering policies is a waste of taxpayer dollars that does not improve the day-to-day lives of those we serve."

In a Tuesday update, the OMB said the pause is not across-the-board and will only target programs impacted by seven recent Trump executive orders

What exactly that means for the local governments and agencies that depend on such funding is not yet clear.

Federal money flows to countless West Alabama organizations, including the University of Alabama, Stillman College and Shelton State Community College, the governments of Tuscaloosa and Northport and the County Commission, Tuscaloosa City Schools, the County School System, and many, many more.

Representatives for many of those institutions were not ready to comment on the freeze Tuesday.

"We are aware (of the recent executive orders) and closely monitoring developments," a spokesperson for the University of Alabama said.

A city of Tuscaloosa spokesperson said they are waiting to see how the funding pause is implemented but also working to prepare a list of any projects, positions or programs that could be impacted.

The message from other representatives in the area was similar - it's too early to say what this will mean for Tuscaloosa. There is widespread agreement, though, that many positions, programs and projects in West Alabama are federally funded and may now be subject to review.

For more coverage of the issue as its local impact becomes clearer, stay connected to the Tuscaloosa Thread.

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