Good afternoon:
A couple of updates on federal funding and immigration (bolded for reference):
- Funding/Immigration. I am attaching an order in the New York v. Trump litigation (the OMB "temporary pause" in all federal funding litigation) from last month related to the States' motion to enforce the PI as it relates to FEMA funds. I don't believe I previously shared this and the decision ties together the various agency actions to EOs including FEMA money behind withheld based on the Invasion EO's directive to withhold funding to sanctuary jurisdictions. The court ordered the defendants to comply with the PI and cease the manual review process. I am pasting some relevant language below. (This was appealed on 4/28 to the First Circuit)
The record makes clear that FEMA's manual review process imposes an indefinite pause on the disbursement of federal funds to the States, based on funding freezes dictated by: (1) the Invasion EO-an "Executive Order issued by the President before rescission of the 0MB Directive"-and (2) Secretary Noem's NGO Grant Directive and February 19 memorandum-i.e., memoranda that are "materially similar" to the Invasion EO "under which the federal government imposes ... a categorical pause or freeze of funding appropriated by Congress." Thus, FEMA's manual review process violates the Court's preliminary injunction order. So in accordance with the preliminary injunction order, FEMA is hereby ORDERED as follows:
-
Throughout the duration of the preliminary injunction order, FEMA must immediately cease the challenged manual review process implemented pursuant to Secretary Noem's "Direction on Grants to Non-governmental Organizations" and "Restricting Grant Funding for Sanctuary Jurisdictions" memoranda-including the manual review process as described in Cameron Hamilton's March 20, 2025 Memorandum to DHS Secretary Noem.
-
FEMA must immediately comply with the plain text of the preliminary injunction order not to pause or otherwise impede the disbursement of appropriated federal funds to the States based on funding freezes dictated, described, or implied by Executive Orders issued by the President before the rescission of the 0MB Directive, which includes sections 17 and 19 of the Invasion Executive Order.
-
Funding/Immigration. I am attaching the plaintiffs' reply in support of the motion to enforce the PI. I know we previously shared Exhibit 1 which is the Memo on Approval of FEMA Grant Disbursements, but I also want to be sure folks saw Exhibit 2 on p. 42-43 which is a 2/19 Memo from Secretary Noem that defines sanctuary jurisdictions. (We are still waiting on the list of sanctuary jurisdictions that should come out later this month).
-
Funding/Immigration. After the court issued its order to enforce the PI mentioned in #1 above, the defendants sought an emergency motion or reconsideration in light of the Tucker Act issues we've discussed. The court temporarily stayed its ruling on the PI motion to enforce but then ultimately held that the Tucker Act does not bar its jurisdiction. I am attaching that decision here. You'll see on p. 6 the court goes through the differences between this case and the Supreme Court's decision in Department of Education v. California. In particular, the court concluded that its "orders addressing the categorical funding freeze were not enforcing a contractual obligation to pay money." The court underscores that the case is one about "process, not damages."
-
Funding. A member has shared a new requirement for payment justification if you are using the ASAP payment system. I am copying the communication they received from Treasury below my signature block, which includes a couple of links about this (though they are not very well explained). This will apparently go into effect on 5/19.
-
Immigration. I am providing a link to a press release from today from DHS entitled "Department of Homeland Security Investigates State of California for providing federal benefits to Illegal Aliens" - https://www.dhs.gov/news/2025/05/12/department-homeland-security-investigates-state-california-providing-federal. I will try to learn a bit more about this before our call if I can.
-
Immigration. You likely saw the news on Friday evening that the Newark Mayor was arrested at an immigration detention facility in Newark: https://apnews.com/article/newark-immigration-baraka-ice-arrest-c260a4f0fda53ec52bca691a1f68aeda. The arrest was based on trespassing charges.
We have an immigration call at 2 pm eastern on 5/14 and a federal funding call at 2 pm eastern on 5/15. Please also be sure to register for the LGLC webinar on immigration on 5/19 and IMLA's grant compliance webinar on 5/20. https://imla.org/webinar-schedule/. These are both free for members but will not offer CLE. (Kitchen Sink subscribers can get CLE for the IMLA grant compliance webinar).
Thanks,
Amanda
[logo]https://imla.org/
[facebook icon]https://www.facebook.com/InternationalMunicipalLawyersAssociation/[twitter icon]https://twitter.com/imlalegal[linkedin icon]https://www.linkedin.com/company/international-municipal-lawyers-association-inc./
Amanda Karras (she/her)
Executive Director / General Counsel
International Municipal Lawyers Association
P: (202) 466-5424 x7116
D: (202) 742-1018
51 Monroe St. Suite 404 Rockville, MD, 20850
Plan Ahead! See IMLA's upcoming eventshttps://imla.org/events/, calls and programming.
From: asaphelpdesk@fiscal.treasury.govmailto:asaphelpdesk@fiscal.treasury.gov <asaphelpdesk@fiscal.treasury.govmailto:asaphelpdesk@fiscal.treasury.gov>
Sent: Thursday, May 8, 2025 4:03 PM
To:
Subject: [External]New Payment Justification Requirement - - ASAP.govhttps://urldefense.proofpoint.com/v2/url?u=https-3A__linkprotect.cudasvc.com_url-3Fa-3Dhttps-253a-252f-252fASAP.gov-26c-3DE-2C1-2CvXJC-5FKHlNuVe8RO7QbxpTdjj6WzsxCLrOH0s4B8SuGJradZZjy04E7IEHr0-5F6t-2D28P-5FDYlAYF8ViAk7-5FTIZe8qo1BoPIrHZEvoyCWuPqk-2DeT7YCbBw5oO4DAW5g-2C-26typo-3D1-26ancr-5Fadd-3D1&d=DwMFAg&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=jblVzryv37xz6dGHTIBd0omyr7IZ_ghleJygNWPo2JE&m=mLuOTOPHXte34dFmtQMVawOuHaQxDqihv1L6LTbUABIC8TLsOs6yiY18UuyKdvWF&s=5hMfPUHNuk9201BmIuj7PofngRukqACt8iRxXiN4Vwc&e=
Effective Monday, May 19, 2025, the Department of the Treasury's Bureau of the Fiscal Service will require Recipient Organizations to include a justification for each payment.
This field is mandatory and will be required in the first step of the payment request process. View the following presentation to learn more about this new feature: https://fiscal.treasury.gov/files/asap/asap.gov-payment-justification-recipient.pdfhttps://urldefense.proofpoint.com/v2/url?u=https-3A__fiscal.treasury.gov_files_asap_asap.gov-2Dpayment-2Djustification-2Drecipient.pdf&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=jblVzryv37xz6dGHTIBd0omyr7IZ_ghleJygNWPo2JE&m=BJwKKbXsbFMUvO5DH8vP4Lb3DdRQT27UejWon42Snks_oPdVn7v4aAEeZRu9-oVL&s=orwpZkl5eIBqycOWnIbYoW3tmHhmc06ROlYK1bYykEY&e=.
Additionally, Fiscal Service will be holding several webinars to assist agencies with this new requirement. Should you have questions, please contact the Fiscal Service ASAP Production Support at 855.868.0151 (option 2, option 3) or via email at asaphelpdesk@fiscal.treasury.govmailto:asaphelpdesk@fiscal.treasury.gov.
If you are interested in attending one of the upcoming ASAP webinars, please visit the following link: https://fiscal.treasury.gov/asap/#webinarshttps://urldefense.proofpoint.com/v2/url?u=https-3A__fiscal.treasury.gov_asap_-23webinars&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=jblVzryv37xz6dGHTIBd0omyr7IZ_ghleJygNWPo2JE&m=BJwKKbXsbFMUvO5DH8vP4Lb3DdRQT27UejWon42Snks_oPdVn7v4aAEeZRu9-oVL&s=_QArvNyuUUdgosB21Y2SrDOp3FfQs9hQqSD4qlJH7RU&e=
Have a good day,
ASAP.govhttps://urldefense.proofpoint.com/v2/url?u=https-3A__linkprotect.cudasvc.com_url-3Fa-3Dhttps-253a-252f-252fASAP.gov-26c-3DE-2C1-2CNiFS3Oa0lO6nxwgedJbe9UTjy-5FvfVEIpd29Ud-2DrW0BmS-5FZA0v-5F6FbfbwgiUng1vgZvHQJBd3Odo9GiYKuN-2DMp1XGRm29R2nkCO08NZJVRJAlXCM-5FVooAWeJ95iU-2C-26typo-3D1-26ancr-5Fadd-3D1&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=jblVzryv37xz6dGHTIBd0omyr7IZ_ghleJygNWPo2JE&m=BJwKKbXsbFMUvO5DH8vP4Lb3DdRQT27UejWon42Snks_oPdVn7v4aAEeZRu9-oVL&s=bUXGvs45JV5MWUHWi5wPYoxzhbdgY4Kuk5nY9fRn9VM&e= Production Support
Diversified Payment Services Division | Federal Disbursement Services
Bureau of the Fiscal Service, U.S. Department of the Treasury
Good afternoon:
A couple of updates on federal funding and immigration (bolded for reference):
1. Funding/Immigration. I am attaching an order in the New York v. Trump litigation (the OMB "temporary pause" in all federal funding litigation) from last month related to the States' motion to enforce the PI as it relates to FEMA funds. I don't believe I previously shared this and the decision ties together the various agency actions to EOs including FEMA money behind withheld based on the Invasion EO's directive to withhold funding to sanctuary jurisdictions. The court ordered the defendants to comply with the PI and cease the manual review process. I am pasting some relevant language below. (This was appealed on 4/28 to the First Circuit)
The record makes clear that FEMA's manual review process imposes an indefinite pause on the disbursement of federal funds to the States, based on funding freezes dictated by: (1) the Invasion EO-an "Executive Order issued by the President before rescission of the 0MB Directive"-and (2) Secretary Noem's NGO Grant Directive and February 19 memorandum-i.e., memoranda that are "materially similar" to the Invasion EO "under which the federal government imposes ... a categorical pause or freeze of funding appropriated by Congress." Thus, FEMA's manual review process violates the Court's preliminary injunction order. So in accordance with the preliminary injunction order, FEMA is hereby ORDERED as follows:
1. Throughout the duration of the preliminary injunction order, FEMA must immediately cease the challenged manual review process implemented pursuant to Secretary Noem's "Direction on Grants to Non-governmental Organizations" and "Restricting Grant Funding for Sanctuary Jurisdictions" memoranda-including the manual review process as described in Cameron Hamilton's March 20, 2025 Memorandum to DHS Secretary Noem.
2. FEMA must immediately comply with the plain text of the preliminary injunction order not to pause or otherwise impede the disbursement of appropriated federal funds to the States based on funding freezes dictated, described, or implied by Executive Orders issued by the President before the rescission of the 0MB Directive, which includes sections 17 and 19 of the Invasion Executive Order.
1. Funding/Immigration. I am attaching the plaintiffs' reply in support of the motion to enforce the PI. I know we previously shared Exhibit 1 which is the Memo on Approval of FEMA Grant Disbursements, but I also want to be sure folks saw Exhibit 2 on p. 42-43 which is a 2/19 Memo from Secretary Noem that defines sanctuary jurisdictions. (We are still waiting on the list of sanctuary jurisdictions that should come out later this month).
1. Funding/Immigration. After the court issued its order to enforce the PI mentioned in #1 above, the defendants sought an emergency motion or reconsideration in light of the Tucker Act issues we've discussed. The court temporarily stayed its ruling on the PI motion to enforce but then ultimately held that the Tucker Act does not bar its jurisdiction. I am attaching that decision here. You'll see on p. 6 the court goes through the differences between this case and the Supreme Court's decision in Department of Education v. California. In particular, the court concluded that its "orders addressing the categorical funding freeze were not enforcing a contractual obligation to pay money." The court underscores that the case is one about "process, not damages."
1. Funding. A member has shared a new requirement for payment justification if you are using the ASAP payment system. I am copying the communication they received from Treasury below my signature block, which includes a couple of links about this (though they are not very well explained). This will apparently go into effect on 5/19.
1. Immigration. I am providing a link to a press release from today from DHS entitled "Department of Homeland Security Investigates State of California for providing federal benefits to Illegal Aliens" - https://www.dhs.gov/news/2025/05/12/department-homeland-security-investigates-state-california-providing-federal. I will try to learn a bit more about this before our call if I can.
1. Immigration. You likely saw the news on Friday evening that the Newark Mayor was arrested at an immigration detention facility in Newark: https://apnews.com/article/newark-immigration-baraka-ice-arrest-c260a4f0fda53ec52bca691a1f68aeda. The arrest was based on trespassing charges.
We have an immigration call at 2 pm eastern on 5/14 and a federal funding call at 2 pm eastern on 5/15. Please also be sure to register for the LGLC webinar on immigration on 5/19 and IMLA's grant compliance webinar on 5/20. https://imla.org/webinar-schedule/. These are both free for members but will not offer CLE. (Kitchen Sink subscribers can get CLE for the IMLA grant compliance webinar).
Thanks,
Amanda
[logo]<https://imla.org/>
[facebook icon]<https://www.facebook.com/InternationalMunicipalLawyersAssociation/>[twitter icon]<https://twitter.com/imlalegal>[linkedin icon]<https://www.linkedin.com/company/international-municipal-lawyers-association-inc./>
Amanda Karras (she/her)
Executive Director / General Counsel
International Municipal Lawyers Association
P: (202) 466-5424 x7116
D: (202) 742-1018
51 Monroe St. Suite 404 Rockville, MD, 20850
Plan Ahead! See IMLA's upcoming events<https://imla.org/events/>, calls and programming.
From: asaphelpdesk@fiscal.treasury.gov<mailto:asaphelpdesk@fiscal.treasury.gov> <asaphelpdesk@fiscal.treasury.gov<mailto:asaphelpdesk@fiscal.treasury.gov>>
Sent: Thursday, May 8, 2025 4:03 PM
To:
Subject: [External]New Payment Justification Requirement - - ASAP.gov<https://urldefense.proofpoint.com/v2/url?u=https-3A__linkprotect.cudasvc.com_url-3Fa-3Dhttps-253a-252f-252fASAP.gov-26c-3DE-2C1-2CvXJC-5FKHlNuVe8RO7QbxpTdjj6WzsxCLrOH0s4B8SuGJradZZjy04E7IEHr0-5F6t-2D28P-5FDYlAYF8ViAk7-5FTIZe8qo1BoPIrHZEvoyCWuPqk-2DeT7YCbBw5oO4DAW5g-2C-26typo-3D1-26ancr-5Fadd-3D1&d=DwMFAg&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=jblVzryv37xz6dGHTIBd0omyr7IZ_ghleJygNWPo2JE&m=mLuOTOPHXte34dFmtQMVawOuHaQxDqihv1L6LTbUABIC8TLsOs6yiY18UuyKdvWF&s=5hMfPUHNuk9201BmIuj7PofngRukqACt8iRxXiN4Vwc&e=>
Effective Monday, May 19, 2025, the Department of the Treasury's Bureau of the Fiscal Service will require Recipient Organizations to include a justification for each payment.
This field is mandatory and will be required in the first step of the payment request process. View the following presentation to learn more about this new feature: https://fiscal.treasury.gov/files/asap/asap.gov-payment-justification-recipient.pdf<https://urldefense.proofpoint.com/v2/url?u=https-3A__fiscal.treasury.gov_files_asap_asap.gov-2Dpayment-2Djustification-2Drecipient.pdf&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=jblVzryv37xz6dGHTIBd0omyr7IZ_ghleJygNWPo2JE&m=BJwKKbXsbFMUvO5DH8vP4Lb3DdRQT27UejWon42Snks_oPdVn7v4aAEeZRu9-oVL&s=orwpZkl5eIBqycOWnIbYoW3tmHhmc06ROlYK1bYykEY&e=>.
Additionally, Fiscal Service will be holding several webinars to assist agencies with this new requirement. Should you have questions, please contact the Fiscal Service ASAP Production Support at 855.868.0151 (option 2, option 3) or via email at asaphelpdesk@fiscal.treasury.gov<mailto:asaphelpdesk@fiscal.treasury.gov>.
If you are interested in attending one of the upcoming ASAP webinars, please visit the following link: https://fiscal.treasury.gov/asap/#webinars<https://urldefense.proofpoint.com/v2/url?u=https-3A__fiscal.treasury.gov_asap_-23webinars&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=jblVzryv37xz6dGHTIBd0omyr7IZ_ghleJygNWPo2JE&m=BJwKKbXsbFMUvO5DH8vP4Lb3DdRQT27UejWon42Snks_oPdVn7v4aAEeZRu9-oVL&s=_QArvNyuUUdgosB21Y2SrDOp3FfQs9hQqSD4qlJH7RU&e=>
Have a good day,
ASAP.gov<https://urldefense.proofpoint.com/v2/url?u=https-3A__linkprotect.cudasvc.com_url-3Fa-3Dhttps-253a-252f-252fASAP.gov-26c-3DE-2C1-2CNiFS3Oa0lO6nxwgedJbe9UTjy-5FvfVEIpd29Ud-2DrW0BmS-5FZA0v-5F6FbfbwgiUng1vgZvHQJBd3Odo9GiYKuN-2DMp1XGRm29R2nkCO08NZJVRJAlXCM-5FVooAWeJ95iU-2C-26typo-3D1-26ancr-5Fadd-3D1&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=jblVzryv37xz6dGHTIBd0omyr7IZ_ghleJygNWPo2JE&m=BJwKKbXsbFMUvO5DH8vP4Lb3DdRQT27UejWon42Snks_oPdVn7v4aAEeZRu9-oVL&s=bUXGvs45JV5MWUHWi5wPYoxzhbdgY4Kuk5nY9fRn9VM&e=> Production Support
Diversified Payment Services Division | Federal Disbursement Services
Bureau of the Fiscal Service, U.S. Department of the Treasury