White House rescinds order freezing federal grants after widespread confusion

White House Office of Management and Budget on Wednesday rescinded an order from earlier this week by President Trump, freezing spending on federal loans and grants, which sparked widespread confusion and legal challenges across the country, according to The Associated Press.

The Monday evening order sparked uncertainty over crucial funding for states, schools and organizations that rely on trillions of dollars from the federal government. 

The AP's reporting that the order has been rescinded is based on two sources who spoke on the condition of anonymity but confirmed that the OMB pulled the order Wednesday in a two sentence notice to agencies and departments.

The OMB decision was made in a memo shared by Democracy Forward, which led a legal challenge over the effort. But the White House said that only the original memo calling for the freeze had been rescinded — not its effort to review federal spending, according to NPR.org.