WASHINGTON, Jan 7 — United States President Donald Trump’s administration is freezing more than US$10 billion (RM40.5 billion) in federal childcare and family assistance funds to California, Colorado, Illinois, Minnesota and New York, the Health and Human Services Department (HHS) said, citing what it called concerns about fraud and misuse.
The Trump administration has threatened federal funding cuts to organisations and states over a number of issues since taking office — ranging from alleged fraud in programmes of Democrat-governed states to diversity initiatives and pro-Palestinian university protests against US ally Israel’s assault on Palestine’s Gaza.
Yesterday, HHS said it notified the five states, all with Democratic governors, that its freeze applied to the “Child Care and Development Fund” worth US$2.4 billion, the “Temporary Assistance for Needy Families” worth US$7.35 billion, and the “Social Services Block Grant” worth US$869 million.
In a statement, the department said the states’ access to those funds would be restricted pending further review.
Democrats condemned the freeze. “Our states should not be political pawns in a fight that Donald Trump seems to have with blue state (Democratic states) governors,” New York Governor Kathy Hochul said, adding that the move is “vindictive” and “cruel”.
In recent weeks, the Trump administration has singled out Minnesota, alleging rampant fraud by immigrants in the welfare system and social service programmes.
Trump administration officials have frequently and sharply attacked the state’s Somali community, the largest in the country, as well as Minnesota Governor Tim Walz, the 2024 Democratic vice-presidential nominee, and Democratic Representative Ilhan Omar, a Somali-American who represents a Minneapolis-based district in Congress.
Rights advocates say the Trump administration is using fraud investigations as an excuse to target immigrants and political opponents more broadly.
