Health Dept Rescinds $10 Billion Freeze on 5 Democratic States After Court Setbacks
Updated
Updated · The New York Times · Jul 14
Health Dept Rescinds $10 Billion Freeze on 5 Democratic States After Court Setbacks
2 articles · Updated · The New York Times · Jul 14
Summary
$10 billion in child care and social-services funding for New York, California, Colorado, Illinois and Minnesota was unfrozen after the Trump administration reversed its pause in court filings Monday.
Repeated losses in the states' lawsuit drove the retreat: a federal judge had blocked the freeze in January and again in February while the case proceeds.
HHS sent near-identical letters last week voiding restrictions imposed since January and dropping demands that the five states provide extra eligibility-verification data.
The freeze had threatened programs serving hundreds of thousands of low-income households and marked another setback to Trump's effort to curb spending and target Democratic-led states over unproven fraud claims.