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By Sophie Clark
Live News Reporter
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The Supreme Court has backed a federal judge's power to order Donald Trump's administration to pay nearly $2 billion to U.S. Agency for International Development contractors.
The sharply divided court voted 5-4 on Wednesday to reject the Justice Department's emergency application to block U.S. District Judge Amir Ali's order setting a firm deadline for the administration to unfreeze funds.
The aid was initially blocked after Trump signed an executive order on his first day in office.
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Why It Matters
The Counsel for Global Health Council and Counsel for AIDS Vaccine Advocacy Coalition, et al. told the Supreme Court that without these payments, their work, which is lifesaving for millions of people, and "the existence of fellow foreign-aid partners—[would come] to the brink."
And, that the diseases they help to prevent overseas will "reach our shores."
Additionally, they said this case only came to the Supreme Court because the government failed to comply with lower court order rulings.
What To Know
In an executive order, President Trump paused funding for all foreign aid programs and the U.S. Agency for International Development (USAID) projects that did not "fully align" with the Trump administration. Secretary of State Marco Rubio's call to end payments for foreign aid programs seconded this.
These decisions were taken to court, and Judge Ali initially issued a temporary restraining order (TRO) on the government's freeze across foreign aid payments.
On February 25, following the Trump administration's failure to comply with the TRO, as it had still frozen funds for aid organizations around the world, the administration was called to court again to explain what it was doing to fund aid organizations. It was unable to do this.
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Judge Ali then gave his "minute order" ruling that the administration owed $2 billion to aid organizations for work they had already completed. This came after 12 days of the government's failure to comply with court orders.
The government appealed this to Chief Justice Roberts, who initially put a stay on the payments. However, he and four other justices have now ruled that the administration owes that sum of money to foreign aid groups.
The dissenting judges said this decision is an "extreme response." The foreign aid groups said the government is in this position due to "an emergency of its own making."
They also argued that not only does the Supreme Court not have jurisdiction to review district court "minute orders," the administration also only appealed the $2 billion, not the initial TRO, meaning they would still be subject to unfreezing their funds as ordered by the TRO, stating:
"The district court made clear that the February 25 order did not enlarge the scope of the government's obligations under the TRO or its previous enforcement orders. A decision vacating the February 25 minute order therefore would not alter the government's obligation to comply with the TRO."
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What People Are Saying
Former Senate legislative assistant Jeremy Bates in an amicus brief for the aid organizations: "President Trump asks the Court to defend what he breached. His breaches cost the United States unity, reputation, treasure, and blood. Rarely has equity ever seen a party whose hands are so unclean. The Court should deny the stay."
Counsel for Global Health Council, et al. and Counsel for AIDS Vaccine Advocacy Coalition, et al.: "This industry-wide extinction is sure to have devastating and far-reaching effects on the American economy. And respondents' work advances U.S. interests abroad and improves—and, in many cases, literally saves—the lives of millions of people across the globe. In doing so, it helps stop problems like disease and instability overseas before they reach our shores. The government's actions have largely brought this work to a halt.
Justice Alito, along with Justices Gorsuch and Kavenaugh, in the dissent: "Does a single district-court judge who likely lacks jurisdiction have the unchecked power to compel the Government of the United States to pay out (and probably lose forever) 2 billion taxpayer dollars? The answer to that question should be an emphatic "No," but a majority of this Court apparently thinks otherwise. I am stunned."
What Happens Next
The Trump administration will need to pay $2 billion to foreign aid organizations. If it fails, the administration may be held in contempt.
Update 3/5/25, 11:42 a.m. ET: This article was updated with additional information.
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