The Trump administration’s temporary freeze on some federal payments sent a wave of confusion across Kentucky Tuesday, sparking criticism from Democrats.

By late afternoon, a federal judge had blocked the funding freeze and the University of Kentucky had created a web site to track how the “flurry of activity and policy actions” could affect UK, where federal funds help pay for student financial aid, patient care and research.

Democratic Gov. Andy Beshear raised concerns Tuesday morning about the legality and effects of the action, while a spokesman for Republican U.S. Sen. Mitch McConnell said it’s not unusual for new administrations to review federal grants.?

Meanwhile, public agencies and nonprofits monitored fast changing information from the Trump administration about the meaning of a memo issued late Monday by the U.S. Office of Management and Budget (OMB).

The stakes are high in Kentucky where almost half — 46.4% ?— of state revenue came from the federal government in fiscal year 2022, according to an analysis by The Pew Charitable Trusts. Kentucky received almost $23 billion in federal grants last fiscal year, according to federal records.?

The Kentucky Center for Economic Policy posted a long list of Kentucky’s federal grants, ranging from $820,000 for local development through the Appalachian Regional Commission to $81 million to reclaim abandoned mine lands to $1.2 billion for transportation, including funds for highways and airports.

The temporary stop-payments appeared to be sweeping in a lengthy list in the original memo that included Head Start, the Supplemental Nutrition Aid Program, school meals, suicide prevention for veterans, legal services, Low-Income Home Energy Assistance and a host of U.S. Department of Agriculture programs ranging from the Conservation Reserve Program to Market News.

Later Tuesday, seeking to clarify, the Office of Management and Budget issued a question-and-answer sheet that said there would be no pause in “mandatory programs like Medicaid and SNAP.” The release, which was cited at a White House briefing, also said there would be no pause in Head Start, Pell Grants, rental assistance or funds for farmers. “Any program that provides direct benefits to individuals is not subject to the pause,” it said.

Nonetheless, the freeze “has already resulted in chaos, confusion and concern for many Kentuckians,” said Jason Bailey, director of the Kentucky Center for Economic Policy based in Berea.?

In a statement, Bailey said “the federal budget includes many funding streams that are critical to Kentuckians’ safety, health and well-being and that drive our economy. And while the exact impact of the order remains uncertain, funding for things like veterans’ services, public safety, and schools is immediately threatened,” Bailey said. “This action promises to make life harder for students, veterans, seniors, and people with disabilities while raising questions about the jobs of the thousands of Kentuckians currently working on the federally funded infrastructure and energy projects across the state.”

Also, unclear is whether President Donald Trump has the authority to stop payments authorized by Congress, a point raised by Beshear.

“I have concerns about both the legality of the President attempting to stop or freeze laws explicitly passed by Congress, as well as the damage this action will cause to farmers, small-business owners and struggling families who are receiving important job training or health care services to improve the lives of their children,” the governor said in a statement.?

A spokesperson for McConnell told the Lantern: “New administrations typically take steps to review federal funding allocated to grant recipients. Senator McConnell will continue to advocate for the economic interests of Kentucky, and ensure that every tax dollar is spent responsibly.”?

Officials in Kentucky’s state and local governments said they were monitoring the situation and awaiting more clarity.

Madison Pergrem, a spokesperson for the Kentucky Department of Agriculture and Republican Agriculture Commissioner Jonathan Shell, said the department was “currently reviewing the memorandum to assess its potential impact, if any.”?

Jennifer Ginn, a spokesperson for the Kentucky Department of Education, said in an email that Education Commissioner Robbie Fletcher received information from the U.S. Department of Education that the OMB memo “only applies to discretionary grants” and that the administration plans to review the grants “for alignment with Trump administration priorities.”

Ginn added that the pause does not impact funds received under Title I, the Individuals with Disabilities Education Act (IDEA) or other formula grants. It also does not impact Pell Grants and direct loans under Title IV or the Higher Education Act (HEA). USED is working with the Trump administration “to identify other programs that are not covered by the memo.” When asked about funding for national school breakfast and lunch programs, Ginn said KDE “has not received any indication that those programs are included in the federal funding pause.”

University of Kentucky President Eli Capilouto also said the pause in payments appears linked to achieving Trump priorities established in the president’s earlier executive orders.

“The OMB directive speaks to whether grants and contracts are impacted by President Trump’s recent executive actions around Diversity, Equity and Inclusion (DEI),” Capilouto said in a campus wide message Tuesday afternoon.?

“Our government relations, legal and research teams are evaluating these issues, even as we have worked intently to fully comply with recent court decisions in these areas around college admissions and, for example, with federal policy actions regarding hiring practices,” Capilouto said. “As we have more clarity around some of these specific issues, we will communicate with the community or with those directly impacted.”

Kim Dolan, the vice president of government relations, communications and outreach for the Kentucky Higher Education Assistance Authority (KHEAA), said in an email that “this freeze has no impact on the state grant and scholarship programs KHEAA administers, nor does it impact borrowers on KHESLC’s (our sister agency’s) Advantage Education Loan.”

KHEAA continued to encourage students to complete the 2025-26 FAFSA to determine their eligibility for federal, state and institutional financial aid.

The freeze on payments comes on the heels of the Trump administration’s cancellation of scientific research meetings last week which raised concerns about funding through the National Institutes of Health for research and clinical trials.??

University of Louisville spokesperson John Karman said in an email that UofL had not been notified of a pause on its federal funding as of Tuesday morning. The university will continue to monitor the situation “to determine its potential impact” and provide more information at a later time when it knows more.?

The Kentucky Democratic Party was highly critical of the move Tuesday. In a statement, Communications Director Jonathan Levin said that “Kentuckians deserve stability and compassion, not this Republican-driven chaos that will inflict pain on our families.”

“This sweeping freeze jeopardizes basic programs that Kentuckians depend on to survive,” Levin said. “Programs like LIHEAP, which keeps families warm during the winter, and SNAP, which helps them put food on their tables, as well as FEMA relief for our communities still recovering from tornadoes and flooding, are all at risk.”

This story has been updated with additional comments Tuesday afternoon.?