Maryland Comptroller Brooke E. Lierman has strongly criticized the Trump administration’s recent decision to temporarily freeze the disbursement of federal grants and loans, calling it a reckless move that could have dire consequences for Maryland’s economy and communities.
In a statement issued today, Lierman expressed deep concern over the financial uncertainty caused by the abrupt announcement. “The decision by the Trump administration to attempt to freeze the disbursement of federal grants and loans is deeply concerning because of its potential impact on Maryland residents, communities, businesses, and nonprofits,” she said. “The chaotic nature of this announcement only exacerbates the risks.”
The federal funding freeze, which was set to take effect on January 28, 2025, was partially blocked by a federal court but remains a looming threat to billions of dollars in financial assistance nationwide. According to Lierman, Maryland received over $23 billion in federal grant funding during the 2023 fiscal year, supporting critical programs and services. A pause in these disbursements, she warned, could jeopardize key initiatives, including public health services, infrastructure projects, and aid programs for vulnerable populations.
State and Local Leaders Push Back
Maryland Governor Wes Moore also issued a statement reacting to the Trump-Vance Administration’s Freeze.
“The Trump-Vance Administration is trying to hold back money that has already been approved by Congress. These actions could potentially cost jobs, raise prices, and stifle economic growth in Maryland. What’s more, these resources are intended for programs at places like Maryland schools, Maryland hospitals, and Maryland nonprofits – touching our first responders, seniors, and Marylanders from the Western Mountains to the Eastern Shore and everywhere in between.” Governor Wes Moore,
Lierman reaffirmed her commitment to working alongside Attorney General Anthony Brown, and Treasurer Dereck Davis to mitigate the potential economic fallout of the freeze. She also emphasized the need for continued collaboration with both federal and local partners to protect Maryland’s financial stability.
“I am resolute in my support for our federal, state, and local government workforce, our private businesses, and our nonprofit partners,” Lierman stated. “My agency will do everything we can to ensure Maryland communities remain resilient and that our state is well-positioned for long-term economic growth and success for all.”
Mounting Concerns Over Trump Administration Policy Direction
The Trump administration has defended the freeze as a necessary review process to align federal spending with its policy priorities. However, critics argue that the move disproportionately threatens essential programs, including school meal initiatives, disaster preparedness funding, and community development grants. Acting OMB Director Matthew Vaeth justified the decision by stating that federal funds should not be used for “Marxist equity, transgenderism, and Green New Deal social engineering policies.”
Lierman, along with other state leaders, has dismissed such rhetoric as a distraction from the real consequences of the policy. “This is not about partisanship; it’s about protecting Marylanders from unnecessary economic hardship,” she said.
Legal Battles and Uncertain Future
The federal grant freeze has already sparked legal challenges, with a coalition of states, led by New York, filing a lawsuit to block the measure. While a temporary court stay has halted parts of the order, the uncertainty surrounding federal funding remains a pressing concern.
As Maryland officials continue to monitor the situation, Lierman assured residents that her office will take proactive measures to safeguard the state’s economy. “Throughout this current challenge and future ones, we will work tirelessly to support Maryland’s communities and ensure continued economic growth,” she pledged.
For now, the fate of billions in federal aid remains in limbo, with Maryland leaders bracing for further developments in the coming weeks.
