DHS update on federal OMB funding memo and executive orders

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Behavioral Health e-Memo

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01/31/25

DHS update on federal OMB funding memo and executive orders


We are sending this email to address the funding freeze memo issued Monday by President Trump and the federal Office of Management and Budget, and the steps DHS is taking to clarify the situation. As a reminder, a federal court placed a hold on the funding freeze until a hearing can be held on Monday, February 3. In the meantime, the Trump administration rescinded the memo. There remains a great deal of confusion and discussion around numerous executive orders and what would be included in the federal funding freeze.

Important facts to know:

  • A suspension of federal funding would have wide-ranging impacts with real consequences for Minnesotans.
  • As of this moment, the Medicaid payment portal continues to operate and there has been no interruption to Medicaid services funding.
  • DHS staff continues to work with our federal, state, and local partners to understand this order and identify potentially impacted programs and services.

DHS staff is working diligently to understand the extent of the President's numerous executive orders on funding and other issues important to Minnesota. We are also closely monitoring daily updates and adjusting our focus as the situation evolves.
We know uncertainty is causing added stress for you and those you serve. We are committed to providing clarity as soon as possible.

Sincerely,

Teresa Steinmetz
Assistant Commissioner, Behavioral Health Administration


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