Chief Justice Roberts has halted a lower court order that required the Trump administration to pay an estimated $2 billion in foreign assistance funds to contractors working for the State Department and USAID by Wednesday night. Roberts acted alone in putting the decision on hold, giving the contractors until noon on Friday to respond. The State Department confirmed it had cut over 9,100 foreign assistance grants and contracts, resulting in a 92% decrease in grants and awards. The Trump administration had appealed the lower court’s decision to the D.C. Circuit Court, but the court had not yet acted by Wednesday evening.
The Acting Solicitor General requested an administrative stay to maintain the status quo while the court reviews the merits of the challenge. The contractors, who were owed millions of dollars for completed work, had sought prompt payment despite the Trump administration’s freeze on funding. The district judge, Ali, who was appointed by former President Biden, had ordered the State Department and USAID to pay the bills within 36 hours.
The Justice Department argued that the order intrudes on the Executive Branch’s prerogatives and the President’s obligation to faithfully execute the laws. Peter Marocco, director of foreign assistance at the State Department, warned that restarting funding for terminated or suspended agreements is a complex process that would take multiple weeks to complete. The Trump administration’s request for emergency relief was declined by the D.C. Circuit Court, leading to the Supreme Court taking up the case. This dispute over frozen foreign aid funds has created chaos and uncertainty for the contractors involved.
