This article was originally posted at 3:19 p.m. CST on Tuesday, Jan. 28. It was last updated with additional information at 4:35 p.m. CST on Tuesday, Jan. 28.

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OMAHA (DTN) -- After concerns were raised over the status of billions of dollars in USDA operating and farm ownership loans -- and an array of other loan and grants -- the White House on Tuesday said individual assistance should not be affected by the Trump administration's freeze on loan and grants.

The White House Office of Management and Budget (OMB) on Monday sent out a memo spelling out an immediate freeze on all federal loans and grants. The memo called for immediate reviews of all financial assistance, stating the order is for "eliminating the financial burden of inflation for citizens, unleashing American energy and manufacturing, ending 'wokeness' and the weaponization of government, promoting efficiency in government, and Making America Healthy Again."

Following confusion over the order that tied up state Medicaid portals, a federal judge in the U.S. District of Columbia blocked the White House action on Tuesday afternoon, at least temporarily.

Earlier on Tuesday, OMB issued a clarification that specifically stated, "Funds for small businesses, farmers, Pell grants, Head Start, rental assistance, and other similar programs will not be paused." The "FAQ" also stated Social Security, Medicare, Medicaid and the Supplemental Nutrition Assistance Program (SNAP) would not be affected.

OMB also issued a 52-page spreadsheet that detailed a laundry list of federal programs that agencies must examine and report back on by Feb. 7. The list included more than 400 USDA programs, some active and some from the past. Many of those programs listed are used by individual farmers and ranchers.

In fiscal year 2023, USDA issued $4.7 billion in operating loans and farm ownership loans through the Farm Service Agency to 22,600 loan recipients. Those totals include loan guarantees that were issued by banks but backed by USDA.

USDA last year supported $206 million in rural home loans as well.

During her first press conference on Tuesday, White House Press Secretary Karoline Leavitt spelled out some of the details in the OMB memo.

"This is not a blanket pause on federal assistance and grant programs from the Trump administration," Leavitt said. She added, "If you are receiving individual assistance from the government, you will still receive that."

Leavitt said the OMB order to agencies ties back to President Donald Trump's executive order creating the Department of Government Efficiency (DOGE). The executive order called for no more funding for "illegal DEI programs" or "green" programs or "woke" programs, Leavitt said.

The freeze immediately led to questions over the status of USDA loans and grants, including those set aside for "socially disadvantaged" farmers.

DTN repeatedly sought clarification from USDA on Tuesday regarding which programs are affected, but the department did not respond.

In terms of diversity, equity and inclusion, USDA issued $1 billion in loans to farmers who meet the definition of "socially disadvantaged" farmers in 2023. Oklahoma, with a large population of Native American farmers, accounted for $222 million in socially disadvantaged loans, followed by Arkansas, which had $112 million.

"Socially disadvantaged" is a classification spelled out in the farm bill since the 1990s. They include farmers who are Black or African American, American Indian or Alaska Native, Hispanic or Latino, and Asian or Pacific Islander. For some, but not all, USDA programs, the socially disadvantaged category also includes women, USDA states on its website.

Several of USDA's programs set aside up to 40% of grant funds under the Justice40 pilot program that included rural renewable energy and other infrastructure programs as well.

Other USDA loans and grants to local governments, businesses and non-profits that are likely affected by the freeze include:

-- Rural Utilities Services: $6.5 billion.

-- Rural Rental Assistance: $1.65 billion.

-- National Institute for Food and Agriculture (NIFA): $936 million.

-- Water and Wastewater Treatment: $872 million.

-- Rural Broadband ReConnect Program: $400 million.

-- Business and Industry Guaranteed Loans $48 million.

Those figures come from USDA's 2024 budget.

BROOKE ROLLINS, EGGS AND 'MASS KILLING' OF CHICKENS

In her press conference, Leavitt was asked about the price of eggs, which has skyrocketed to an average of $5-$6 a dozen in most markets and hit over $8 a dozen in some states.

The costs have come due to the H5N1 avian influenza, which has led to the culling of 17 million chickens and turkeys in the past 30 days, and 147 million poultry going back to 2022.

Leavitt blamed the Biden administration for culling the poultry flocks in response to H5N1 infections.

"As far as the egg shortage, what's also contributing to that is the Biden administration, and the Department of Agriculture directed the mass killing of more than 100 million chickens, which has led to a lack of chicken supply in this country, therefore, lack of egg supply, which is leading to the shortage," Leavitt said in her briefing.

Leavitt said it was important for the Senate to confirm Brooke Rollins as Agriculture secretary. Leavitt said Rollins is already working with the White House economic team on ways to address the egg shortage and prices.

Chris Clayton can be reached at Chris.Clayton@dtn.com

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