Schrier on Trump spending freeze: ‘100% illegal’

WASHINGTON, D.C. — President Donald Trump's order freezing federal grants and loans while they're reviewed for ideological consistency sowed confusion in Congress, one central Washington Democratic legislator said.

U.S. Rep. Kim Schrier, D-8th District, called the move announced early Tuesday "100% illegal" in a Zoom call with NCWLIFE, and said constituents and agencies that rely on federal funding are devastated by the news.

"What they have done is just injected so much uncertainty, so much chaos, so much worry in my constituents," said Schrier, a Sammamish pediatrician. "And I want people under to understand that even if you don't think this affects you — say you're not on Medicaid or you don't personally get a grant. Well, if you are being treated for cancer and you're part of a study, that grant funding just ended and your chemotherapy is paused."

A federal judge blocked the president's order just before it was to take effect Tuesday at 5 p.m., pausing its impact for at least a week. And 22 states plus the District of Columbia are suing in federal court to overturn it.

Observers have argued about the seemingly vast extent of the freeze, while the White House issued a clarifying memo Tuesday afternoon saying that direct-assistance program including Medicare, Medicaid, Social Security, student loans and food stamps would not be affected.

But among those funding streams affected is transportation. Among local projects that Schrier has championed are the Confluence Parkway  and South End Bike-Pedestrian project, a set of street and bridge designs paid for in part by $105 million in federal reimbursement grants.

Wenatchee city administrator Laura Gloria told NCWLIFE today the city has spent and been reimbursed for approximately $12 million in design, engineering and right-of-way acquisitions.

"However, it is my understanding that all future reimbursements are on pause while OMB reviews and analyzes grant programs for eligibility," Gloria said in an email. "The impacts to the city are currently unknown as the executive order was very broad and did not provide clarity on which programs may or may not be impacted."

U.S. Rep. Dan Newhouse, a Republican congress member for central Washington's 4th District, defended the spending freeze as a fiscally responsible measure.

“As a member of the House Appropriations Committee and a fiscal conservative, this pause is in line with the need to rein in out-of-control spending and reduce the impacts of inflation," Newhouse said in a statement emailed to NCWLIFE. "It is important to remember this pause is temporary and does not impact individual assistance to recipients, but is being used to evaluate if existing federal funding (complies) with the executive orders issued by the President since taking office. We are working in Congress to make smart cuts and locate efficiencies that are in line with our ongoing efforts to reduce wasteful spending.” 

But Schrier said the White House action infringes on the spending powers of Congress. The act of "impoundment," or withholding federal funds allocated by a congressional vote, has been held illegal since 1974.

"This is 100% illegal," she said. "We have a balance of powers in this country. The House of Representatives initiates any spending bills. It is the  power of Congress to appropriate funds, to say, how are we going to spend tax dollars? We agree on that in a bipartisan way, and we say how things should be spent and what matters to our constituents and what programs are deserving of funding. ...

"We're all scrambling to figure out what is and is not being cut, and how we're going to manage," Schrier said.