Trump administration freezes $10 billion in child, family aid

Trump administration freezes $10 billion in child, family aid

CNBCnation

Key Points:

  • The Trump administration has frozen $10 billion in federal grant funds for child care and family assistance programs in five Democrat-led states—California, Colorado, Illinois, Minnesota, and New York—citing widespread fraud concerns in state-administered programs.
  • The freeze affects three programs under the U.S. Health and Human Services Department: Child Care and Development Fund, Temporary Assistance for Needy Families (TANF), and Social Services Block Grant, with over $7.3 billion in TANF funds and nearly $2.4 billion in CCDF funds frozen.
  • This action follows Minnesota Governor Tim Walz's withdrawal from a third term amid fraud scandals in state social service programs, including child-care services allegedly costing over $9 billion