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SIOUX FALLS, S.D. (KELO) – The White House is pausing federal grants and loans as President Donald Trump`s administration begins an across-the-board ideological review of its spending.
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The pause is already causing disruption for many nonprofits in South Dakota. The Compass Center, a provider of crisis intervention and violence prevention services, announced an immediate impact will be stopping the Youth Violence Intervention and Prevention program.
“This isn’t just about funding—it’s about people’s lives,” Michelle Trent, Executive Director of The Compass Center, said in a news release. “Every day, our services help prevent violence, support survivors, and build a safer community. Any disruption to these services puts our most vulnerable community members at risk.”
The Compass Center says there are potential disruptions to other crisis response services and risk to ongoing victim support services for as long as the federal pause remains.
The funding freeze takes effect at 4 p.m. Tuesday. Shortly after 4:40 p.m. Tuesday, a federal judge temporarily blocked a push from President Donald Trump to pause federal funding while his administration conducts an across-the-board ideological review to uproot progressive initiatives.
The decision could cause widespread disruption in health care research, education programs and other initiatives. Even grants that have been awarded but not spent are supposed to be halted.
It’s unclear how sweeping the pause will be.
Klobuchar, Democrats condemn the pause
Democrats like Minnesota’s U.S. Senator Amy Klobuchar say Congress approved the grants and the President’s move is unconstitutional.
“Last night, in defiance of federal law, Donald Trump made the decision to stop Federal funding which as my colleagues have pointed out, could impact everything and will impact everything from small businesses to local law enforcement to child care,” Klobbuchar said during a news conference.
KELOLAND News is exploring how the order will impact nonprofits in KELOLAND and will bring you on-air and online Tuesday night.
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