A federal judge in New York extended an injunction blocking the Trump administration from cutting funding to social service programs in five Democratic-led states, keeping billions of dollars in federal aid flowing while the legal challenge continues.
U.S. District Judge Vernon Broderick granted the request from Minnesota, California, Illinois, New York and Colorado, which together receive more than $10 billion annually for programs that support child care and family assistance.
State officials argued that the administration’s funding freeze caused operational disruption and threatened services for vulnerable families. An earlier temporary restraining order had been put in place to preserve the status quo as the case moved forward.
New York Attorney General Letitia James said the freeze would have caused “severe chaos in the lives of some of the most vulnerable families” in her state. California Attorney General Rob Bonta said the court’s decision showed the administration’s actions were unlawful and harmful to families who rely on the programs.
The Department of Health and Human Services has said the freeze was tied to concerns about fraud and misuse of federal funds in state-administered programs, saying the move reflected a focus on program integrity and fiscal responsibility.
Separate court rulings have also limited the administration’s ability to withhold funds from Minnesota following a major welfare fraud investigation. Judges have questioned whether federal agencies provided a sufficient explanation for timelines and conditions tied to funding restrictions.
The administration has pointed to fraud concerns to justify heightened federal oversight and enforcement actions in the state, while critics say the approach risks disrupting essential services as legal challenges proceed.
