Supreme Court Orders Release of Frozen Foreign Aid in Divisive 5-4 Ruling
A sharply divided U.S. Supreme Court ruled on Wednesday to reinstate a lower-court order requiring the Trump administration to release nearly $2 billion in frozen foreign aid, though the timeline for disbursing the funds remains uncertain.
In a 5-4 decision, the justices rejected an emergency appeal from the Republican administration but directed U.S. District Judge Amir Ali to clarify the details of his ruling, which mandated the swift release of funds for previously completed work.
While the ruling represents a setback for the Trump administration, the nonprofit organizations and businesses awaiting payment remain in limbo. According to court filings, one group was recently forced to lay off 110 employees due to the funding freeze.
Justice Samuel Alito led the conservative dissent, arguing that Ali overstepped his authority and accusing the court of imposing a $2 billion burden on American taxpayers. He was joined by Justices Clarence Thomas, Neil Gorsuch, and Brett Kavanaugh.
Chief Justice John Roberts and Justice Amy Coney Barrett broke ranks with their conservative colleagues, siding with the court's three liberal justices to form the majority.
The Trump administration had initially imposed a blanket spending freeze on foreign aid via executive order, citing concerns over wasteful programs that did not align with the president’s foreign policy objectives. The government later replaced the freeze with individualized reviews, resulting in the cancellation of nearly 10,000 contracts and grants worth $60 billion.
The lawsuit against the administration argued that halting aid funding violated federal law and jeopardized critical life-saving programs abroad. Ali had ordered the temporary restoration of funds on February 13, but later set a deadline for payment after finding the government unresponsive.
Although the Supreme Court’s ruling keeps Ali’s temporary restraining order in effect, the administration’s appeal focused on the timeline for compliance rather than the order itself. The court has now instructed Ali to clarify the government’s obligations and ensure a feasible timeline for compliance.
A hearing on the matter is scheduled for Thursday.
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