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President Trump Executive Order Rescinded - Good News for Airport Improvement Projects

February 07, 2025 1:48 PM | Tony Fiore (Administrator)

President Donald J. Trump and Vice President J.D. Vance were officially sworn into office on Monday, January 20, 2025.  Among many Executive Orders one in particular entitled "Unleashing American Energy" prescribed limitations on disbursements of Inflation Reduction Act (IRA) funds.  It directed federal agencies to "immediately pause the disbursement of funds" from the IRA and the Bipartisan Infrastructure Investment and Jobs Act (IIJA). 

On Wednesday, January 22, the White House Office of Management and Budget (OMB) clarified that the pause "only applies to funds supporting programs, projects or activities that may be implicated by the policy established in Section 2 of the order."  This includes funding related to climate mitigation and incentives for electric vehicle charging - not road, bridge or airport projects.

On January 27, 2025, OMB released a memorandum further detailing the temporary pause of agency grant, loan, and other financial assistance programs.  The temporary pause was intended to give the Administration time to review agency programs and determine the best uses of the funding of those programs consistent with the law and the President's priorities.  All agencies were instructed to submit to OMB detailed information on any programs, projects or activities subject to the pause no later than February 10, 2025.  They subsequently asked for the information requested by February 7, 2025.

On January 29, 2025 the original OMB memo had been rescinded.  Therefore, existing funding for airport improvement projects should not be affected.  But, this does mean the new administration will be scrutinizing funding through all agencies in the coming months.

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