The memo, which was issued on Monday by the Office of Management and Budget, had frightened states, schools and organisations that rely on trillions of dollars from Washington.
Administration officials said the pause was necessary to review whether spending aligned with Trump’s executive orders on issues like climate change and diversity, equity and inclusion programs.
But today, they sent out a two-sentence notice rescinding the original memo.
The reversal was the latest sign that even with unified control of Washington, Trump’s plans to dramatically and rapidly reshape the government has limits.
Administration officials insisted that despite the confusion, their actions still had the intended effect by underscoring to federal agencies their obligations to abide by Trump’s executive orders.
“The Executive Orders issued by the President …