Five Democrat-led states have taken legal action against the Trump administration for freezing $10 billion in federal childcare and family assistance funds.
States Demand Evidence For Freezing Funds
The states of California, Colorado, Illinois, Minnesota, and New York have filed a lawsuit against the Trump administration.
The U.S. Department of Health and Human Services (HHS) had announced the freeze on Tuesday, citing the need for further review. The states argue that the HHS did not provide a valid reason for the freeze, failed to present evidence supporting their fraud concerns, and overstepped Congress’s spending authority as outlined in the U.S. Constitution.
$10 Billion Aid Freeze Across Three Programs
The decision to suspend over $10 billion in federal aid to these states was based on concerns about fraudulent allocation to non-citizens. This move affected three major programs: the Child Care Development Fund (CCDF), the Temporary Assistance for Needy Families (TANF) program, and the Social Services Block Grant program.
Notably, the decision cites a 2019 HHS Office of Inspector General report, which found that New York City had wrongly billed the federal government over $24.7 million for child care subsidies.
Impacted State Governors Slam Trump
The leaders of the involved states have severely criticized the decision to freeze federal funds. Illinois Governor JB Pritzker slammed the Trump administration’s decision to freeze funds and accused President Donald Trump of “trying to punish” people he didn’t agree with.
At the same time, New York Governor Kathy Hochul called the administration’s move “vindictive” and “cruel”.
Image via Shutterstock
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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