In a four-page order issued Wednesday, U.S. District Judge John McConnell reaffirmed that while a temporary restraining order remains in place against the administration’s broader funding freeze, the government is still permitted to limit access to federal funds in accordance with applicable laws. The ruling underscores that the White House does not need a court’s permission to cut off funding if the decision aligns with existing laws and regulations.

“The [court’s previous order] does not bar both the President and much of the Federal Government from exercising their own lawful authorities to withhold funding,” McConnell wrote.

Despite this clarification, he also issued another blow to the Trump administration by denying an emergency request from the Justice Department to continue withholding certain FEMA and other federal funds, stating that the administration’s legal justification for the freeze was insufficient.

The ruling follows a legal battle between the administration and Democratic attorneys general from 22 states and Washington, D.C., who sued after the White House’s Office of Management and Budget attempted to impose a spending freeze affecting billions of dollars. An appeals court on Tuesday declined to pause McConnell’s initial order, prompting the DOJ to seek further clarification.

Trump and key allies, including billionaire Elon Musk, have criticized court rulings that stalled the administration’s efforts to cut federal spending, arguing that judges are interfering with executive authority.

McConnell, who is overseeing New York v. Trump in Rhode Island, has drawn sharp criticism from conservative advocates in recent days for his earlier ruling that temporarily blocked the administration’s federal spending freeze. Critics argue that his decision overstepped constitutional boundaries by infringing on the president’s Article II powers, which grant executive authority over budget execution. The ruling, which required the government to continue funding certain programs despite White House objections, was labeled by Trump allies as an example of judicial overreach. Some have pointed to McConnell’s background as an Obama appointee, alleging partisan bias in his handling of the case.

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Democratic officials have argued that the rulings are necessary to uphold congressional spending power. The case remains ongoing, with further court filings expected in the coming days.

This is a developing story and will be updated.