Idaho News

Trump’s attempted freeze on federal grants prompted widespread worries in Idaho

Deanna Watson is the executive director of the Boise City/ Ada County Housing Authorities, which assist people seeking affordable housing through Section 8 vouchers, emergency rental assistance and other programs.
Deanna Watson is the executive director of the Boise City/ Ada County Housing Authorities, which assist people seeking affordable housing through Section 8 vouchers, emergency rental assistance and other programs. smiller@idahostatesman.com

Update: According to an internal memo from the Office of Management and Budget obtained by The Washington Post on Wednesday morning, the Trump administration rescinded its order freezing all federal grants and loans, following outcry from grantees; confusion over what it all meant and who was affected; a pause from a federal judge in Washington, D.C.; and a lawsuit filed by 21 state attorneys general. Trump’s press secretary later said on X that the freeze was not rescinded and emphasized that the executive orders are still in effect.

The original Statesman story from Jan. 28 is below:

Operators of Head Start programs for preschoolers wondered briefly if they would have to close their doors. Idaho’s largest school district said services for special education and low-income students might be affected. A state university placed a pause on spending for federally supported research.

Federal grant recipients in Idaho were thrown into limbo on Tuesday as millions of dollars to programs across the state were temporarily halted under a White House freeze on federal grants and loans.

The Trump administration imposed the freeze effective 3 p.m. Tuesday as it works out how to align spending with a series of executive orders by President Donald Trump to eliminate programs like diversity, equity and inclusion from the federal government. A federal judge late Tuesday temporarily halted the freeze, issuing a “brief administrative stay.”

The freeze sparked uncertainty among governmental and nongovernmental organizations receiving the money.

A memo from the Office of Management and Budget on Monday said the “temporary pause” would apply to “all federal financial assistance including, but not limited to, financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal.”

A Tuesday memo from the office walked some of this language back, stating the pause would target only those programs which could be seen as failing to comply with President Trump’s recent orders. It clarified the pause would not affect direct payments to Americans such as Social Security, Medicare, Medicaid, food stamps or Pell grants for college students.

Idaho universities: Research and training

An Idaho State University administrator said the freeze is “disconcerting” and could affect not only student and faculty research at the university but education access.

A statement from the university’s Office of Research advised a spending pause on any funds supported by federal grants.

Martin Blair, vice president of research and economic development, said the university was awarded just under $26 million in federal grants and loans in the federal fiscal year that ended Sept. 30.

Federal money “supports some of our training programs as well Some of our students who are first-generation students coming back to school,” Blair told the Idaho Statesman by phone. “It’s across the board.”

The main entrance to the Idaho State University-Meridian campus.
The main entrance to the Idaho State University-Meridian campus. Sarah A. Miller smiller@idahostatesman.com

But Blair said he is confident that the university’s programs are designed so that “all students can benefit” and are aligned with the recent executive orders, such as the order banning federal funding for DEI. Blair said the university has already worked to comply with the Idaho Legislature’s ban on state funding for DEI.

“We’re doing things the Idaho way,” Blair said.

Even if funds are unfrozen, Blair said, some programs might have to shift their language so as to not raise any “flags” in the areas of DEI or other types of programs the president’s executive orders have clamped down on.

Public schools: Aid for special education

Niki Scheppers, chief of staff and communications for the West Ada School District, the state’s largest with over 38,000 students, told the Statesman by email that the district is “monitoring the situation closely” and that “the district is prepared to respond to any changes to ensure that our students’ education is not disrupted.”

Scheppers wrote that the district receives federal grants and loans that “support a range of educational needs, such as Title I funding for low-income students, special education services, and federal assistance for school infrastructure projects.”

The district did not say how much federal money it receives.

Dan Hollar, public affairs administrator at the nearby Boise School District, said the district is “monitoring developments closely” but does not yet know what potential impacts could be.

Housing and homelessness assistance

The Boise City/Ada County Housing Authorities said it could not access funds through the federal Housing and Urban Development Department on Tuesday. The authorities’ executive director said that limitation could put money for Boise-area homelessness assistance, public housing and other projects at risk.

The city and county housing authorities, which operate as one under a city-county agreement, receive $13 million to $15 million a year in federal funds, Executive Director Deanna Watson told the Statesman by phone.

“We’re trying to monitor it and figure out which programs might be affected in which ways,” Watson said. “It’s a little fluid and ambiguous right now as to how to interpret some of the phraseology.”

Among the federally funded programs are the Section 8 Housing Choice Voucher Program and Low Rent Public Housing Program. Housing choice vouchers provide monthly rental assistance to low-income tenants in the private marketplace. The voucher payments are made to landlords, not to tenants, so Watson wasn’t sure whether they would be exempt under the direct-payments exception.

“Being able to go in and get funds drawn down is not possible, and I don’t know what tomorrow will bring,” Watson said. “That’s the more concerning thing right now.”

People who rely on housing vouchers should visit the Boise City/Ada County Housing Authorities website and read through a new frequently-asked-questions page on the freeze, she said. Concerned tenants should also contact their congressional offices to explain their situations.

“They’re the ones who can actually exert some kind of influence on federal decision-making,” Watson said.

Head Start for preschoolers

Megan Woller, the executive director of the Idaho Head Start Association, Woller said Tuesday in a phone interview with the Statesman that some grant recipients in Idaho were “wondering if they’re going to need to close their doors today.” The 13 Idaho grantees received over $43 million in the 2024 fiscal year, she said.

The Office of Management and Budget said later Tuesday that Head Start grants were exempt from the freeze. Woller responded to that with relief.

Head Start’s programs served thousands of Idahoans last year, including homeless families, low-income children and children with chronic health conditions, and members of indigenous communities such as the Nez Perce, Coeur D’Alene, and Shoshone-Bannock tribes. There are 270 Head Start and Early Head Start classrooms in Idaho.

The administration’s Tuesday memo said that like Head Start, Medicaid would also be protected from the freeze, though many states reported Tuesday that their Medicaid management portals were down. As of October 2024, almost 315,000 Idahoans were enrolled in Medicaid and the Children’s Health Insurance Program.

Boise Airport infrastructure

The Boise Airport, which is owned and operated by the city, is awaiting reimbursement of about $2.7 million in expenditures through a federal grant, Airport Director Rebecca Hupp told the Statesman. After the Trump administration’s sudden directive, she was unclear when the airport may receive that payment.

“Commercial aviation, including the Boise Airport, is a critical part of the country’s transportation infrastructure and a key driver of economic growth and prosperity,” Hupp said by email. “BOI has been awarded multiple federal grants for infrastructure improvements, including projects that have enhanced the safety of our airfield and added amenities for our passengers. We will continue to closely monitor this issue as it develops to understand its potential impact on the Boise Airport.”

Gov. Brad Little is ‘all in’

While programs across the state race to understand how they’ll be affected, the governor’s office indicated its support for the federal grant freeze, telling the Statesman by email, “Gov. Little is all in on President Trump’s efforts to rein in federal spending.”

Little’s press secretary, Joan Varsek, told the Statesman that Little believes “Idaho is better positioned than any other state to handle changes” like the temporary pause “because of how well we have managed government and the budget at the state level.”

The Idaho Transportation Department, the State Board of Education, and the Idaho Department of Health and Welfare referred Statesman requests for information on the freeze’s impacts to the governor’s office, which did not immediately provide details.

Reporter Kevin Fixler contributed.
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This story was originally published January 28, 2025 at 4:35 PM.

Rose Evans
Idaho Statesman
Rose covers Meridian, Eagle, Kuna and Star for the Idaho Statesman. She grew up in Massachusetts and previously interned for a local newspaper in Vermont before taking a winding path here. If you like reading stories like hers, please consider supporting her work with a digital subscription. Support my work with a digital subscription
Nick Rosenberger
Idaho Statesman
Nick Rosenberger is the Idaho Statesman’s growth and development reporter who focuses on all things housing and business. Nick’s work has appeared in dozens of newspapers and magazines across the Pacific Northwest. Support my work with a digital subscription
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