President Donald Trump's budget office on Wednesday rescinded an order freezing spending on federal grants, less than a day after Massachusetts and other states sued and a federal judge intervened.

Federal aid is a major source of revenue for states. According to Pew Charitable Trusts, federal grants represented 36.4% of total revenue for state governments in fiscal year 2022.

A judge temporarily blocked the freeze, which the White House says doesn't affect individuals, but federal payment portals are glitching.

Attorney General Andrea Campbell and prosecutors from other states planned to sue President Donald Trump after his administration issued a directive to pause the distribution of federal funding.

The funding freeze "violates the separation of powers," Massachusetts Attorney General Andrea Campbell said, as a colleague from California called it "arbitrary and capricious."

Massachusetts is joining in legal action as President Trump's administration begins a review of spending that could freeze trillions of government dollars.

Trump's raft of executive orders drew swift condemnation and vows to fight from Massachusetts environmental and civil-liberties advocates.

White House press secretary Karoline Leavitt told ABC News chief White House correspondent Mary Bruce Tuesday that every single illegal

Press secretary Karoline Leavitt is set to make her debut behind the podium as the White House holds its first official news briefing Tuesday afternoon. Leavitt is certain to get questions related to the White House budget office’s decision to pause all grants and loans disbursed by the federal government to ensure its programs are consistent with President Donald Trump’s executive orders.

Reacting to reports that President Trump rescinded his federal funds freeze order, Congresswoman Lori Trahan warned "the fight is far from over."

Worcester's immigrants are anxious amid reports of President Trump’s administration authorizing raids of undocumented immigrants in several cities.

President Donald Trump issued a memo ordering a freezing of federal funds. After lawsuits and a federal judge issuing an injunction, the memo was rescinded.