January 28, 2025

Ranking Member Takano: Veterans Will Suffer from Federal Funding Freeze

Federal Funding Freeze Will Cause Irreparable Harm to the Organizations Veterans and Everyday Americans Rely on for Essential Services

Press Contact

Elain Shubat

WASHINGTON - Today, Ranking Member Mark Takano wrote Acting Secretary of Veterans Affairs Todd Hunter, urgently seeking information about how new guidance from the White House’s Office of Management and Budget, requiring agencies suspend payments to federal funding recipients by today, January 28, 2025, at 5 P.M., will affect veterans.  

“The breadth of this hasty, ruthless, and irresponsible mandate will directly impact every community in America and will immediately jeopardize public health and safety. The consequences will be swift and brutal. Programs veterans rely on every day to access disability assistance, housing, healthcare, food, education, and mental health and crisis support are endangered due to the thoughtless and heartless actions of the Trump Administration as they further their extreme agenda to undercut the American values millions of veterans fought to defend,” said Ranking Member Mark Takano.  

The full text of the letter is below.  

Dear Mr. Hunter:   

 On the evening of January 27, 2025, the White House Office of Management and Budget (OMB) issued a memorandum requiring each agency to review and pause all federal financial assistance by 5 p.m. today, January 28, 2025. I am appalled that the Trump Administration would so brazenly attack and undermine the organizations and programs that provide essential services in every community in America to further its extreme agenda to roll back the civil rights our veterans fought to defend. This reckless order could decimate thousands of organizations and leave our communities without the services they need. All Americans will suffer, including veterans and their families who have already sacrificed so much for our nation.   

From pausing research on cures for cancer, to closing homeless shelters, halting food assistance, reducing safety from domestic violence, and shutting down suicide hotlines, the impact of even a brief pause in funding could be devastating and cost veterans’ lives.    

VA made tremendous strides and reduced veteran homelessness significantly during the Biden-Harris Administration, and I fear those gains will disappear and we will find more veterans facing housing insecurity due to the immediate impact shuttering funding for programs like VA Grant and Per Diem, Supportive Services for Veterans Families, and Health Care for Homeless Veterans will have on providers and their ability to serve veterans.  These services keep our communities safe.   

VA also administers grants to reduce veteran suicide, promote research for the complex injuries sustained from military service, and ensure care for aging veterans in state veterans homes. Payment for these essential services ends today at 5 pm. Veterans will suffer.   

The breadth of VA-administered programs that will be implicated by this funding freeze is unclear from the OMB guidance. Will G.I. Bill benefits for student veterans, compensation and pension benefits for disabled veterans, dependency & indemnity compensation, and burial benefits be suspended? What is clear is that the Trump Administration either did not consider or, more likely, just does not care about the downstream consequences these brash and cruel mandates will have on the lives of everyday Americans and veterans.   

I ask that you produce the list of all VA federal financial assistance programs and supporting activities that are paused to the Committee by close of business on January 30, 2025, including an accounting of every dollar of funding that is withheld during the period of the freeze. Please also provide a list of all paused Notices of Funding Opportunities (NOFOs).   

Due to the immediate and devastating consequences this funding freeze will have on all Americans in communities across the country, we ask that you provide a briefing to Committee staff no later than February 4, 2025. 

###