Information on Executive Orders

To assist Kentucky nonprofits in staying up to date on the sweeping changes resulting from the White House Executive Orders (EOs), we’ve curated a resource page with the expectation of ongoing updates. Please sign up for our newsletter and follow us on Facebook and LinkedIn for the latest news. KNN commits to keeping you informed with the latest and most accurate information. 

Key resources (see more below):

Latest Updates

2/6/25, 11:00am ET

Thanks to the lawsuit filed by the National Council of Nonprofits and partners, a federal court has halted the Trump administration from implementing any pauses to federal spending. All federal agencies have been instructed to release any funding that was paused. Attorneys are working with the Dept. of Justice to propose a schedule by Feb. 14 for the court to decide if they will grant a preliminary injunction. Click to read the National Council of Nonprofits Summary of the judge’s order.

Remember to share your impact stories – click the button above.

A Message from KNN’s CEO

Nonprofit colleagues and champions,

You are not alone. Your voice, your advocacy, your stories matter. Things are moving rapidly and remain confusing. And still, nonprofits are a powerful force for good and are stronger when we stand together, united.

The work of our nonprofit sector is vital to thriving Kentucky communities. KNN’s goal is to mitigate any negative impact on the operations of Kentucky’s 13,587 charitable nonprofits and our 162,862 employees working to serve you, me, and our neighbors.

We urge you to stand with KNN and one another and to lean into your mission, your values, and the collective strength of our nonprofit sector. We are with you!

Danielle Clore, CEO

Events and Recordings

Take Action Now

Nonprofits directly or indirectly impacted by the EOs and/or experiencing a funding pause or review of your grant:

  • Sample Subject: Federal Funding Pause or Cuts to (Organization) Will Hurt the People of KY and the Economy
  • Be specific about how any funding freezes or cuts will impact jobs at your organization (i.e., how many jobs are funded federally?)
  • Explain how proposed frozen funds or cuts support people in their districts
  • If you are able to, identify the timeline for federal cash on hand (i.e, when will you run out of cash if you are unable to draw down funds?)
  • Emphasize the confusion and chaos of this moment, and that even if this decision is reversed, or found to be illegal, damage is already occurring  – this entire situation is impacting your organization’s ability to accomplish your mission.
  • Ask how they plan to protect the most vulnerable Kentuckians, and indirectly, the nonprofits that serve them.
  • Ask how they are collecting information from constituents about the impact of a grants pause.
  • Engage your people: Share the message you send to Washington with those you serve, your staff, your donors, volunteers, board, etc. and ask them to communicate with our federal delegation also. Washington needs to hear from the people impacted by the EOs.
  • Share your story with KNN: Help KNN understand the issues your organization is facing so we can best advocate for our sector. Click here.

All nonprofits:

  • Join nonprofits across the nation in sending a message to Congress:Join KNN and nonprofits across the country and sign to this letter by February 7. KNN will be forwarding this letter to our Federal Delegation members.
  • Ask your nonprofit partners receiving federal funds directly or through state/local pass-through funds how you can help – we are in this together!
  • JOIN KNN! You need a strong state association of nonprofits and KNN needs you – resources and advocacy don’t happen without members and donors. If you are not one of our 1100 members across Kentucky, click here to stand with us as a KNN member. Click here to make a gift to invest in KNN’s work.
  • Sign up to receive the latest updates from KNN’s e-newsletter. We will keep you updated on changes that affect your organization and the Kentuckians you serve.
  • Register for KY Nonprofit Day at the Capitol: Let’s have the biggest crowd ever at KNN’s annual advocacy day at the state Capitol. Now is the time to send the message that KY Nonprofits are MORE THAN CHARITY!  Click to register to join us on 2/11.

Federal Funding Pause

  • 1/20/25: President Trump begins signing Executive Orders (EOs) , including several that directly impact charitable nonprofits 
  • 1/27/25: Office of Management and Budget (OMB) sends memo to federal agencies ordering pause of many grants and loans, including those to nonprofits, to align funding with EOs   
  • 1/28/25: OMB sent an outline to federal agencies on which grants to evaluate and the evaluation criteria 
  • 1/28/25: White House released a FAQ to clarify programs exempt from funding freeze and which EOs are implicated  
  • 1/28/25: Lawsuit filed by the National Council of Nonprofits and partners to challenge validity of memo requiring funding pause  
  • 1/28/25: Judge ordered an administrative stay until February 3 
  • 1/28/25: Lawsuit filed by 22 state Attorneys General challenging the funding pause
  • 1/29/25: OMB rescinded the memo requiring funding pause  
  • 1/29/25: White House Press Secretary posted that only the OMB memo was rescinded and that the funding pause is still in effect
  • 1/31/25: Judge in lawsuit filed by state attorneys general issues temporary restraining order
  • 2/3/25: A federal court halted the Trump administration from implementing any pauses to federal spending. All federal agencies have been instructed to release any funding that was paused.

FAQ

We’ll do our best! The original OMB memo dated 1/27/25 established the federal grants pause and the 1/29/25 memo rescinded this order. While the blanket funding pause is rescinded, the social media post reiterated that the Executive Orders, including an Executive Order that directs federal agencies and OMB to remove DEI practices from federal grant processes and agreements remains in full effect. That Executive Order requires that federal contracts and grant agreements (in the future, at least) include terms requiring grantees and contractors to comply with federal anti-discrimination rules and to agree not to have DEI programs. It also gives OMB authority to provide guidance and issue directives across the federal government on elimination of DEI references, requirements, or programs within federal agencies, federal grants, and federal contracts. That Executive Order does not, however, establish a funding pause for federal grants and loans. (Here is the social media posting referenced in the question.)

Potentially, a federal grants pause could apply to any federal grants to nonprofits and to state and local governments (and some of these state and local grants are then awarded to nonprofits). The original memo on 1/27/25 directed agencies to “pause all activities related to obligation or disbursement of all Federal financial assistance, and other relevant agency activities that may be implicated by the executive orders, including, but not limited to, “financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal.” Because several of these terms are not clearly defined, is it unclear how various federal agencies interpreted the memo to require a pause. According to a federal guidance FAQ released on 1/28/25, the pause would not have applied to federal aid to individuals, including Social Security, Medicare, Medicaid, Supplemental Nutrition Assistance Program (SNAP), Pell grants, and rental assistance, so these payments would have continued. Under the original memo, OMB would have the authority to grant exceptions to allow agencies to grant new awards or make payments on a case-by-case basis. See the White House guidance sent to federal agencies for a list of grants under review and how those grants would be evaluated.  We are uncertain how federal agencies plan to carry out the Executive Orders at this time.

Unfortunately, we are not certain. The original OMB memo was unclear on how long the pause in grants would be in effect and at this time, we are not clear on their planned next steps.

Potentially, yes. And it remains possible that federal agencies may still cancel grants that are deemed inconsistent with recent Presidential Executive Orders.  There is much uncertainty.

Unfortunately, this is unclear. Federal agencies may continue their review on a case by case basis. They may wait for direction from the Office of Management and Budget. KNN will continue to provide updates.

Nonprofits should be in touch with their grant administrators to get a better sense of their granting agencies’ plans for any future guidance from OMB that could pause the federal grantmaking process. Organizations that rely heavily on federal government funds and whose granting agencies anticipate that potential future action from OMB could lead to disruptions of grant disbursements may want to take steps to ensure that they have adequate funds in reserve or available from other funding services to be able to weather any such disruptions.  

In addition to the steps above in “Take Action Now,” KNN is asking nonprofits to respond to this quick survey to understand the impact of a pause on federal grants. Your responses will help KNN best advocate for solutions to provide for continuity of federal funding.  We also encourage nonprofits to communicate with their staff, constituents, other funders, donors, etc. It’s important that our communities understand the issues facing your organization.