Arizona Takes a Stand: Joins Lawsuit to Halt Trump’s Federal Payment Freeze

Arizona has joined 22 other states in a lawsuit against President Donald Trump concerning his recent freeze on federal grants, the Attorney General’s Office announced on Tuesday.

The legal action came just as a federal judge in Washington, D.C., issued a temporary block on Trump’s payment pause, responding to a lawsuit filed by the National Council of Nonprofits. This stay is expected to last until Monday.

Nonprofits, which often rely heavily on federal funding, have expressed concerns about how this freeze will impact their operations. “Donald Trump may have won the election, but that does not grant him dictatorial powers,” stated Arizona Attorney General Kris Mayes during a press conference. “No presidential election grants any president that authority.”

The lawsuit argues that Trump’s freeze, initiated by his Office of Management and Budget, violates both the U.S. Constitution and the Administrative Procedure Act. It alleges that the order undermines Congress’s exclusive power over federal funding decisions.

“The president doesn’t have unilateral authority to countermand what Congress has already authorized by law,” Mayes emphasized.

Leading the legal challenge are attorneys general from states including New York, California, and Illinois, who have filed their concerns in federal court in Rhode Island.

In light of the situation, White House Press Secretary Karoline Leavitt attempted to mitigate fears, asserting that the freeze would not affect individual assistance programs like Social Security or SNAP. However, the initial memo detailing the freeze listed a wide range of affected programs, leading to confusion.

Christian Slater, spokesman for Governor Katie Hobbs, reported that Arizona’s Medicaid portal was inaccessible for much of Tuesday. The Arizona Health Care Cost Containment System (AHCCCS) serves approximately 2 million residents.

Mayes remarked, “It looks like the Trump administration may be reconsidering parts of the freeze after learning of our lawsuit,” though certainty about the outcome remains elusive.

According to estimates from The Pew Charitable Trusts, the freeze could have serious implications. In fiscal year 2022, federal grants accounted for $1 trillion in state funding, which represents over a third of total state revenue. This funding is crucial for public services such as healthcare, education, and infrastructure.

Mayes described the potential fallout as “incalculable,” particularly for individuals on Medicaid who might forgo vital healthcare services, potentially leading to dangerous outcomes such as increased drug overdoses due to cuts in drug trafficking prevention funding.

The lawsuit’s proponents argue that local law enforcement efforts against drug cartels will also suffer significant setbacks. “Trump is defunding our efforts to combat drug cartels while labeling them terrorists—this is outrageous,” Mayes stated.

Reactions from Arizona lawmakers were swift. House Minority Leader Oscar De Los Santos warned that lives could be at stake because of Trump’s order. He dubbed the action either an act of “incredible cruelty” or “bumbling incompetence.”

The programs potentially affected by the payment pause include vital services across various sectors such as agriculture, healthcare, and education, reflecting a broad scope of economic and social services.

Governor Hobbs called the situation chaotic, especially for veterans, law enforcement, and families in need. “I will not stand by while everyday people in my state are harmed,” she declared.

In Phoenix alone, the city relies on a staggering $3.255 billion in federal grants, with Mayor Kate Gallego noting that $1.6 billion is still pending. Potential losses could affect essential services, including police and fire department operations, which have been allocated over $35 million in federal support.

U.S. Senator Mark Kelly also condemned the federal payment freeze, stressing that local officials are increasingly anxious about funding for critical services. “President Trump’s recklessness is going to harm Arizonans,” Kelly stated.