The funds are mostly for emergency management reimbursement programs, not road patrol.
Federally funded projects include long-term repairs related to natural disasters, as well as Homeland Security grants for terrorism prevention.
Captain Kevin Sweeney is with the Michigan State Police. He says the state is working with local officials to make federal requests despite the holds.
"These holds on these grants have the potential to disrupt services and payroll for personnel if it continues."
The state police say they haven't received reimbursement funds since February 11th. They also say FEMA is undergoing a manual review process for all projects.
FEMA did not immediately respond to a request for comment.