Maryland, 22 states sue Trump administration over federal spending freeze
BALTIMORE -- Maryland has joined 22 other states in a lawsuit against the Trump administration over its decision to implement a spending freeze on federal assistance.
The memo issued by the U.S. Office of Management and Budget said the freeze was to go into effect by 5 p.m. Tuesday - but the measure was blocked by a federal judge. Judge Loren L. Alikhan for the U.S. District Court for the District of Columbia said she was placing the matter on pause while she considered arguments from the U.S. government, and plaintiffs in the case, who asked the court to issue a restraining order against the government to stop the freeze, CBS News reported.
Enforcement of the funding freeze is paused until at least Monday at 5 p.m.
A statement from the Maryland AG's office says the freeze would jeopardize crucial programs.
"All Marylanders would be affected by this unconstitutional pause on federal funding, but those who would bear the brunt of the damage are our most vulnerable and marginalized neighbors who rely on these resources to pay for early childhood education, health care, and housing," Attorney General Brown said. "Our Office uses federal resources to crack down on Medicaid fraud, protect elderly and disabled Marylanders from abuse, and ensure pricing for food remains affordable for everyone in our State. This freeze would have devastating impacts on people's lives across our State and nation, a catastrophe our Office will try to avoid by any means necessary."
Attorney General Brown and the coalition also say the freeze will deprive law enforcement of essential resources.
Medicaid outages
On Tuesday, Maryland was among several other states that reported being locked out of the federal payment system for Medicaid, which ensures Medicaid patients are reimbursed promptly.
According to the Baltimore Banner, Maryland Health Secretary Laura Herrera Scott said state employees received an error message for "system maintenance" when attempting to access their federal funds. As of 4:30 p.m., a spokesperson for the health department reported that Maryland had regained access to the portal but that it was not working correctly.
Maryland leaders react
Moore took a moment to address concerns Tuesday night after the Trump administration announced their plans to temporarily freeze federal aid to several organizations, including many nonprofits.
"Somebody has to explain to me how cutting funding for the victims of abuse or cutting funding for military veterans families who are receiving support to help bury their loved ones. How this makes any sense?" said Moore.
In a statement, the governor also expressed his disapproval of the federal funding freeze.
"The Trump-Vance Administration is trying to hold back money that has already been approved by Congress. These actions could potentially cost jobs, raise prices, and stifle economic growth in Maryland. What's more, these resources are intended for programs at places like Maryland schools, Maryland hospitals, and Maryland nonprofits – touching our first responders, seniors, and Marylanders from the Western Mountains to the Eastern Shore and everywhere in between," Moore said. "This is not what responsible government looks like – it's chaos."
Comptroller Brooke Lierman also reacted in a statement.
"The decision by the Trump administration to attempt to freeze the disbursement of federal grants and loans is deeply concerning because of its potential impact on Maryland residents, communities, businesses, and nonprofits and because of the chaotic nature of the announcement," Comptroller Brooke Lierman said. "Although temporarily stayed by a federal court, this unilateral decision could put crucial programs and services for millions of Americans at risk."
Lierman added that an audit during the 2023 fiscal year revealed that the federal government awarded more than $23 billion in grant funding to Maryland, which she said was used to support families and communities.
Federal spending in Maryland
Maryland has received federal funding for a variety of programs in recent months.
Earlier this month, more than $85 million was allocated to begin redeveloping the Highway to Nowhere in West Baltimore.
In December 2024, Maryland lawmakers announced more than $7 million in federal funding to improve the safety of places of worship in the state. More than 25 of the worship locations awarded funds are in the Baltimore area.
Last month, congress also passed a federal spending package that includes the full cost of rebuilding Baltimore's Francis Scott Key Bridge, which tragically collapsed after it was struck by a cargo ship.
The new Key Bridge is estimated to cost nearly $2 billion and is expected to be completed by the fall of 2028.