Trump Administration Halts Child Care Funds Amid Fraud Allegations

The Trump administration freezes over $10 billion in federal child care and family assistance funds to five states, citing concerns of fraud. Democrats, including New York and California governors, condemn the move as politically motivated and vindictive. Rights advocates criticize the targeting of immigrants in Minnesota.

The Trump administration has frozen more than $10 billion in federal child care and family assistance funds to five Democratic-led states, raising allegations of fraud as the primary cause according to the Department of Health and Human Services (HHS). The affected states are California, Colorado, Illinois, Minnesota, and New York.

On Tuesday, the HHS informed these states of the freeze on several funds, which include the Child Care and Development Fund worth $2.4 billion, the Temporary Assistance for Needy Families worth $7.35 billion, and the Social Services Block Grant worth $869 million, pending further review.

The decision has elicited sharp criticism from Democratic governors who view it as a politically charged act. New York Governor Kathy Hochul described the move as "vindictive" and "cruel," while California Governor Gavin Newsom highlighted his administration's efforts in blocking $125 billion in fraud. Advocates argue the administration is targeting immigrants and opponents.

(With inputs from agencies.)