The Trump administration has decided to withhold over $10 billion in federal funding from several states governed by Democrats, specifically targeting funds for child care and social services.
This decision follows concerns that taxpayer-supported programs, such as the Child Care Development Fund, Social Services Block Grant program, and Temporary Assistance for Needy Families (TANF), may have been misallocated to individuals who are not US citizens.
This initiative aligns with President Donald Trump’s ongoing strategy to address immigration issues within the United States, with the Department of Health and Human Services halting these programs in states like California, Colorado, Illinois, Minnesota, and New York.
The most significant portion of the funding freeze affects TANF, with at least $7.35 billion now withheld from these states. Additionally, nearly $2.4 billion from the Child Care Development Fund is impacted, along with an extra $869 million connected to the Social Services Block Grant program.
According to officials,
As reported by the New York Post, letters are set to be dispatched to state governments on Monday (January 5), explaining the funding freeze amid concerns that benefits might be wrongly allocated to non-US citizens.
On Truth Social, the 79-year-old President criticized Minnesota Governor Tim Walz, accusing him of misusing taxpayer money.
“Minnesota’s Corrupt Governor will possibly leave office before his Term is up but, in any event, will not be running again because he was caught, REDHANDED, along with Ilhan Omar, and others of his Somali friends, stealing Tens of Billions of Taxpayer Dollars,” Trump stated.
“I feel certain the facts will come out, and they will reveal a seriously unscrupulous, and rich, group of ‘SLIMEBALLS.’ Governor Walz has destroyed the State of Minnesota, but others, like Governor Gavin Newscum, JB Pritzker, and Kathy Hochul, have done, in my opinion, an even more dishonest and incompetent job. NO ONE IS ABOVE THE LAW!”
Misuse of funds is a recurring concern, as over six years ago, the Department of Health and Human Services Office of Inspector General discovered that New York City had improperly claimed more than $24.7 million in child care subsidies.
Minnesota has also faced increased scrutiny, with federal agencies previously investigating whether public funds were illegally used to support unauthorized migration.
These investigations have led to further examinations by the Treasury Department and the House Oversight Committee into alleged widespread fraud involving nonprofits associated with the Somali community in the Twin Cities.
More updates are expected to follow.