WASHINGTON — President Donald Trump’s budget office on Wednesday rescinded an order freezing spending on federal grants, less than two days after it sparked widespread confusion and legal challenges across the country, according to two people familiar with the matter.

A memo that paused federal grants and loans briefly put tens of millions of dollars in local funding for housing, public works and more in jeopardy.

President Donald Trump issued a memo ordering a freezing of federal funds. After lawsuits and a federal judge issuing an injunction, the memo was rescinded.

Non-profit organizations across the US breathed a collective sigh of relief Wednesday after a memo calling to freeze spending on federal loans and grants was rescinded by President Donald Trump’s budget office.