By Kanishka Singh
WASHINGTON, July 13 (Reuters) – The Trump administration’s Department of Health and Human Services has rescinded a $10 billion freeze on child care subsidies and social services funding for five states governed by Democrats after legal obstacles got in the way of the freeze attempts, court records showed on Monday.
Here are details:
• The Department of Health and Human Services communicated to officials in California, Illinois, Colorado, New York and Minnesota that it was rescinding its January 5 and January 6 letters to the states, including all data requests and information requirements associated with those letters.
• A legal filing on Monday released the communication, which said that the mechanism that the department used to enforce the temporary restricted drawdowns has been terminated.
• A federal judge blocked the move earlier this year for the duration of a lawsuit against the freeze brought by the states.
• Republican President Donald Trump has threatened to freeze federal funding for universities, research institutions and states over a range of issues.
• These include fraud claims, climate initiatives, diversity programs, transgender policies and pro-Palestinian protests against U.S. ally Israel’s assault on Gaza.
• Rights advocates say the measures violate free speech and due process rights.
(Reporting by Kanishka Singh in Washington; Editing by Thomas Derpinghaus)
By Kanishka Singh | Reuters | © Copyright Thomson Reuters 2026.
