Overview

• A U.S. District Court issued a preliminary injunction halting President Trump's executive order targeting three federal agencies for significant cuts.
• The affected agencies are the Institute of Museum and Library Services, the Minority Business Development Agency, and the Federal Mediation and Conciliation Service.
• Judge McConnell deemed the order 'arbitrary and capricious,' stating it disregarded Congress's authority to create and fund these agencies.
• The lawsuit, led by 21 states, argued the order jeopardized hundreds of millions in federal grants and critical public programs, including literacy and veterans' services.
• The ruling temporarily preserves agency operations while litigation continues, with the judge directing states and the administration to propose a detailed compliance order.