About $185 million in federal grant funding disrupted, Minnesota budget office reports

The Minnesota Capitol is lit up at sunrise Wednesday, May 24, 2017, as legislators inside debate tax and education bills. It was the first day of a special session to finish passing a $46 billion state budget. — The Minnesota Capitol.

By Mary Murphy

March 19, 2025 at 6:09 AM

ST. PAUL 鈥� Federal funding was disrupted for 28 state grants in Minnesota, according to a March 10 report from Minnesota Management and Budget.

Minnesota government agencies identified 28 federally funded grants that were delayed, frozen or inaccessible as of March 10, the Minnesota Management and Budget (MMB) agency reported Friday, March 14. MMB shared a list of the disrupted grants, which total roughly $185 million, in an unofficial report to Forum News Service.

The Minnesota Department of Public Safety reported 20 federal grant disruptions, the Department of Natural Resources (DNR) cited four and the Department of Agriculture and Department of Commerce reported two affected grants each.

Natural resources

The Minnesota DNR reported a total of roughly $6 million in grants that are identified as "on hold鈥� in the Automated System for Award Payments, or ASAP.

This includes grants directed toward peatland restoration in Red Lake, a Roseau River juneberry project, nature-based solutions in the prairie wetlands and for the National Fish Passage program in the Otter Tail River.

Agriculture

The Minnesota Department of Agriculture reported about $20 million in grant disruptions. One grant 鈥� $12 million for the , which invests in locally and regionally produced food 鈥� is identified as not 鈥渁ppearing鈥� in the ASAP system.

Payments have reportedly been halted for a $8 million Department of Agriculture grant for the program, according to the MMB report.

Public safety

The Department of Public Safety reported 20 grants, totaling around $81 million, being unavailable due to the grant payment system, PARS, experiencing 鈥渟ystem challenges.鈥� The affected grants include funding for homeland security, disaster assistance, flood mitigation and cyber security.

Commerce

The largest item on the list is a $76 million grant from the U.S. Department of Energy to the Minnesota Department of Commerce. Funds for the grant, which aims to reduce energy costs for low-income households, are accessible but payments are delayed, the commerce department reported.

Commerce also reported to MMB that a $1 million grant was not appearing in ASAP.

Ahna Minge, assistant commissioner for budget services and state budget director for MMB, said some of the grant disruptions are traceable to specific executive orders from President Donald Trump, while other disruptions are currently unexplained.

The funding disruption list from MMB reflects reported disruptions as of March 10.