Federal judge blocks Trump administration’s freeze of $10 billion in child-care funds

A federal judge in New York temporarily blocked the Trump administration’s move to freeze $10 billion in child care funding in five Democratic-led states, including California.
Friday afternoon’s decision caps a tumultuous period that began earlier this week when the U.S. Department of Health and Human Services told California officials and officials in Colorado, Illinois, Minnesota and New York it would freeze federal funds over fraud concerns.
On Thursday, states sued the administration in federal court in Manhattan. The states sought a temporary restraining order, asking the court to freeze funding and block the administration’s request for large amounts of administrative data.
An attorney for the states argued Friday morning that there is an urgent need for funding and that stopping it would cause chaos by depriving families of the ability to pay for child care and harm child care providers who would lose revenue.
In a brief ruling, Judge Arun Subramanian said “good cause has been shown for the issuance of the temporary restraining order.”
The White House did not immediately respond to a request for comment.
The federal government’s effort was seen as a broad attack on social services in California, shaking up tens of thousands of working families and the state’s child care industry. Providers told The Times that freezing funding could endanger childcare centres, many of which operate on low profit margins.
“The underlining theme is that child care and other federally funded social service programs are important family supports,” said Nina Buthee, executive director of EveryChild California. “These are essential infrastructures that our communities need and depend on, and they should not be political tools. So for this judge to step in and block this dramatic freeze, I think it’s only a good thing.”
In a trio of letters sent Jan. 6 to Gov. Gavin Newsom, the U.S. Department of Health and Human Services said it was concerned about the “potential for extensive and systematic fraud” in child care and other social service programs that rely on federal funding and had “reason to believe” that the state was “providing illegal assistance to illegal aliens.”
The letters did not provide evidence to support the allegations. State officials said the allegations of fraud were unfounded.
Newsom said he welcomes any fraud investigation the federal government can conduct, but that cutting funding hurts families in need. About $1.4 billion in federal child care funding has been frozen based on letters from Health and Human Services, according to the State Legislative Analyst’s Office.
“You want to support families? You believe in families? Then you believe in supporting child care and child care workers in the workforce,” Newsom told MS NOW.
After Subramanian issued the ruling, Newsom’s press office told
“It took less than 24 hours for a federal judge to halt Trump’s politically motivated child care cuts in California.” account sent.
Health and Human Services had said in initiating the freeze that it would review how federal money was used by the state and restrict access to additional money during its investigations. The federal government requested a variety of data, including documentation of child care participation. It also called for strengthening fiscal accountability requirements.
“President Trump has demonstrated time and time again that he is willing to throw vulnerable children, seniors, and families under the bus if he thinks it will further his vendetta against Democratic-led states,” Bonta said in a statement following the decision. “Withdrawing funds for child care and other family benefits is cruel, reckless, and most importantly, illegal.”
For Laura Pryor, research director at the California Budget and Policy Center, it’s a “breath of relief.”




