Trump 2nd term updates: Trump says USAID is run by 'radical lunatics'

Trump’s administration has rescinded its sweeping directive that Would have paused potentially trillions in loans, grants, and financial assistance, according to a memo obtained by ABC News.

"OMB memorandum M-25-13 is rescinded. If you have questions about implementing the President's Executive Orders, please contact your agency General Counsel," the short memo from Matthew Vaeth, acting director of OMB reads.

The policy reversal follows a tumultuous 48 hours for the White House, as states and local governments raised concerns that funding for health care, law enforcement, disaster aid and infrastructure spending could be paused or delayed during the expansive rollout of the policy.

In a lawsuit challenging the policy on Tuesday, 22 state attorneys general said, “Without this funding, Plaintiff States will be unable to provide certain essential benefits for residents, pay public employees, satisfy obligations, and carry on the important business of government.”

– ABC News’ Katherine Faulders, Peter, Charalambous, Alex Mallin, Ben Siegel

The Trump administration has replaced acting Director of National Intelligence Stacey Dixon with Lora Shiao, who previously served as acting director for one day, from Jan. 20 to 21, 2021, before former DNI Director Avril Haines was sworn in. The change occurred Friday, a source told ABC News.

Dixon, a longtime government official, served under the Trump administration but was appointed by former President Joe Biden. She was the highest-ranking Black woman in the intelligence community and previously served as the principal deputy director of National Intelligence. She had been chosen by the Trump transition team to serve as acting director.

Shiao will remain in the position until a new DNI director is confirmed, and is expected to stay in the role until then. Trump’s pick for DNI director, former Rep. Tulsi Gabbard, will have her confirmation hearing for the position on Thursday.

-ABC News' Beatrice Peterson

Members of the EPA's Clean Air Scientific Advisory Committee and Science Advisory Board were abruptly let go Tuesday night after receiving a notice from Acting EPA Administrator James Payne saying the groups would be "reset."

In an emailed announcement obtained by ABC News, Payne said, "A decision has been made to reset the Science Advisory Board (SAB) and Clean Air Scientific Advisory Committee (CASAC) and reestablish its current membership."

The CASAC and SAB are charged with providing independent, scientific advice to the EPA on the National Ambient Air Quality Standards, as well as other programs and regulations implemented by the agency.

In a written statement to ABC News, one of the ousted members of the Clean Air Scientific Advisory Committee, Dr. Mary B. Rice, expressed her concern over who the EPA may bring in to replace the removed members and whether they would ensure the "margin of safety" national air quality standards are meant to provide under the Clean Air Act.

– ABC News' Kelly Livingston

Top white shoe law firm Sullivan and Cromwell will represent President Donald Trump when he appeals his criminal conviction in New York, according to new court filings Wednesday.

Among Trump’s new lawyers is firm co-chair Robert J. Giuffra.

“President Donald J. Trump’s appeal is important for the rule of law, New York’s reputation as a global business, financial and legal center, as well as for the presidency and all public officials. The misuse of the criminal law by the Manhattan DA to target President Trump sets a dangerous precedent, and we look forward to the case being dismissed on appeal,” Giuffra said in a statement.

The change in attorneys followed Trump’s naming of his lead attorneys, Todd Blanche, Emil Bove and John Sauer, to top roles in the Justice Department.

Blanche has been nominated for deputy attorney general, Sauer as solicitor general and Bove principal associate deputy attorney general.

– ABC News’ Katherine Faulders, Peter Charalambous, and Aaron Katersky