‘New ground’: Trump funding pause may halt Colorado River projects, energy rebates

President Donald Trump’s action to pause all federal spending could halt money that proved critical in bringing Lake Mead levels up from historic lows, putting more solar panels on top of Nevadans’ houses and getting more electric vehicles on the road.

Though temporarily blocked by a federal judge as of Tuesday, a memo issued Monday requires federal agencies to identify and review federal financial assistance programs, projects and activities “that may be implicated by any of the President’s executive orders,” including those on diversity, equity and inclusion programs.

The memo said federal agencies “must temporarily pause” all activities that might be implicated by the executive orders, “including, but not limited to, financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology and the green new deal.”

“The use of Federal resources to advance Marxist equity, transgenderism, and green new deal social engineering policies is a waste of taxpayer dollars that does not improve the day-to-day lives of those we serve,” the memo reads.

Jack Pratt, a political strategist for the advocacy leg of the nonpartisan Environmental Defense Fund, said many unknowns remain about which programs could be cut after the review of federal spending — and if they would stand.

“This is really concerning because it is so sweeping, so uncertain. Fundamentally, this is not the way that the system is meant to work,” Pratt said. “Article 1 of the Constitution assigns the power of the purse to Congress.”

Two cornerstone climate laws to be reviewed

Under threat are programs funded by the Bipartisan Infrastructure Law and the Inflation Reduction Act — legislation that delivered billions in drought funding to the Bureau of Reclamation, the federal agency tasked with managing water in the West.

In the later half of the Biden administration, officials touted the historic investments in the Colorado River as the main reason that Lake Mead bounced back from all-time low levels in 2022.

Alex Funk, a water policy expert at the Theodore Roosevelt Conservation Partnership, said he’s heard from agencies across the Colorado River Basin that are unable to move forward with projects meant to use funds appropriated up to a year ago under the Biden administration.

“It’s a very broad, encompassing action to take right out of the gate,” Funk said. “We’re treading some new ground.”

As recently as Jan. 10, the Silver State was one of the beneficiaries of this money, with the Bureau of Reclamation awarding the Southern Nevada Water Authority $60 million to fund the removal of decorative grass throughout the Las Vegas Valley.

“Navigating this challenge on the river is going to continue to require federal resources,” Funk said. “The solutions aren’t necessarily going to be cheap ones.”

Green New Deal?

Per Monday’s memo, agencies have until Feb. 10 to submit detailed information about projects that may be subject to the pause.

It specifically calls out the Green New Deal as an umbrella under which funding may be targeted. The progressive set of policy proposals aimed at slowing down climate change was most recently in national conversation when Rep. Alexandria Ocasio-Cortez, D-New York, and Sen. Ed Markey, D-Massachusetts, failed to move legislation out of the Senate in 2019.

Ben Leffel, a UNLV professor who studies climate change mitigation, said the Green New Deal is being used as a catch-all for any government programs aimed at sustainability, from water conservation to green energy incentives.

“What do you mean, ‘Green New Deal?’” he asked. “Anything to do with climate change? This is an administration by and for oil executives.”

Trump’s actions in his first two weeks don’t bode well for environmental preservation over the next four years, Leffel said.

Energy programs affected, too

Another program that may be at risk is the Nevada Clean Energy Fund’s Solar for All program, meant to subsidize the cost of solar panels for homeowners and low-income renters. Home energy rebates authorized by the Inflation Reduction Act could be on the chopping block, too.

Kristee Watson, executive director for the Nevada Conservation League, called for Gov. Joe Lombardo and Nevada’s congressional delegation to work together to ensure that those programs are saved.

“This federal funding cut threatens to hold back trillions of dollars already approved by Congress — funds that ensure our water is clean, our energy bills stay affordable, and our seniors and Nevada families can access life-saving programs,” Watson said in a statement Tuesday.

Funk, the water policy expert, said he’s hopeful that water conservation funding will emerge unscathed from federal review.

“Most of the funds are also going to pretty rural, red districts,” he said. “These aren’t controversial projects.”

Contact Alan Halaly at ahalaly@reviewjournal.com. Follow @AlanHalaly on X. Review-Journal staff writers Jessica Hill and McKenna Ross contributed to this report.