On Jan. 27, 2025, The Trump Administration, through The Office of Management and Budget (OMB), announced their order to freeze all federal grants and loans. The announcement came through OMB’s memo stating their concern for an apparent $3 trillion of Federal resources and aid being used as a way “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.”
The memo went on to state that to complete an “analysis” of Federal funding there would be a freeze on disbursement of all types of Federal financial aid assistance, which could freeze the aid the 81% of Winona State University students receive from the Free Application for Federal Student Aid (FASFA).
Quickly on Jan. 28, 2025, A U.S. District Judge, Loren L. AliKhan, blocked the memo’s orders and guaranteed that aid funding from the Federal government would continue.
The same day, Kenneth Janz, Winona State President, released an email statement to the Winona State community. In the statement, Janz offered more clarification on how the executive order and its blockage would impact the University. He details in his statement that “direct loans and Pell Grants, among other forms of direct financial assistance to individuals, would not be affected by the governmentwide freeze on federal aid.”
Although, the freeze has been postponed for now, Janz explains there is still an uncertainty in what the effects are.
“The current federal executive order would apply mainly to federal government agencies but could have more local impacts.” Jaz said in his email. “The full impact of the pause remains unknown at this time.”
Sarah Schmick, a third-year standing student, expressed her concern when she first heard the order and her continued anxiety even with the blocks from Judge Alikhan. She began to talk to sister about the possibility of loosing aid.
“I freaked out. I’ve been reading all of the executive orders like obsessively.” Schmick said.
Schmick stated how important financial aid is to her so that she is able to continue to attend Winona State.
“If I didn’t get aid I couldn’t really go to school.” Schmick said. “Even though I work 3 jobs, I still can’t afford college. I was really worried everything I’ve done to go to school is just pointless.”
The order to freeze federal funding by The OMB was rescinded on Jan. 29, 2025, which will hopefully easy the worry and uncertainty of those that receive federal funding.