This statement can be attributed to Wendy Chun-Hoon, president and executive director of the Center for Law and Social Policy (CLASP). 

Washington, D.C., January 9, 2026 – This week, the U.S. Department of Health and Human Services (HHS) has announced the withholding of funding for Temporary Assistance for Needy Families (TANF), the Child Care and Development Fund (CCDF) child care subsidies, and the Social Services Block Grant (SSBG) program from California, Colorado, Illinois, Minnesota, and New York. These states stand to lose a total of $10 billion in federal funding this year for allegations of fraud. And the administration has already signaled that broader cuts may be coming. 

Arbitrarily withholding federal funds from these five states is illegal, reckless, and cruel. While instances of fraud should be taken seriously, these unilateral actions to freeze funding for basic needs programs cause widespread harm. In fact, there is no evidence to prove the alleged claims. Programs already have extensive built-in mechanisms for managing allegations, ranging from detailed state plans outlining intentions for how resources will be utilized to extensive reporting and audit requirements.  

TANF provides families who have very low incomes with temporary monthly cash assistance, work activities and support, and child care services. Children and families will bear the brunt of these cuts, while already facing an affordability crisis and cuts to other critical public benefit programs, like SNAP and Medicaid. Without TANF funding, families with low incomes won’t have access to monthly cash assistance that helps parents afford essentials like rent, diapers, and groceries. 

Freezing CCDF funds for child care centers and family child care homes will threaten providers’ ability to provide services and keep their doors open, which will challenge access to care for parents. Most programs operate on razor-thin margins with limited or no reserves. This comes on top of all states being required by the “defend the spend” directive to provide detailed justification to draw down resources to support child care subsidies. 

SSBG freezes will not only impact child care but also local health services, services for vulnerable and elderly adults, services for individuals with disabilities, and more.   

This all comes at a time when states face an increasingly challenging budgetary environment, especially as they begin to implement mandatory changes in SNAP and other programs specified in H.R. 1, which narrowly passed last July and creates new barriers to food assistance and health coverage that will leave millions hungry and uninsured. Moreover, the increased costs of health coverage follow the failure of Congress and the administration to extend the enhanced premium tax credits for the ACA Marketplace. Families are already experiencing increased costs of living. The administration’s persistence in further burdening families by stripping away supports that allow them to thrive will have devastating consequences for all our communities and states.  

The Trump Administration is using politically motivated, racist, and anti-immigrant commentary to villainize those who oppose them and excuse the illegal withholding of federal funding. Children, families, and child care providers will suffer from these actions. Moreover, state administrators of these programs are already facing confusion and chaos, adding to the existing burden of navigating the barrage of regulatory contradictions from the administration. HHS should reverse this decision and provide all states with their funding to serve children and families.