A federal judge on Friday blocked the Trump administration from pausing $10 billion in child-care and anti-poverty funds to five Democratic-led states, granting a 14-day restraining order after the states warned of “operational chaos.”

> At a Glance
> – Judge Arun Subramanian halted the funding freeze for 14 days
> – California, Colorado, Illinois, Minnesota, New York argued the pause is illegal
> – Programs affected serve low-income families, including child-care subsidies
> – Why it matters: Millions of parents and providers face uncertainty if money stops
The administration on Tuesday said it was holding back money from the Child Care and Development Fund, Temporary Assistance for Needy Families, and Social Services Block Grant because it “had reason to believe” states were giving benefits to undocumented immigrants-without offering proof.
Legal Challenge
State attorneys told the court that money had already been delayed for at least four of them, putting child-care centers and families in limbo.
Jessica Ranucci, a lawyer for New York’s Attorney General, warned:
> “If the states can’t get child-care funds, there will be immediate uncertainty for providers and families.”
The federal government, represented by Kamika Shaw, countered that funds had not actually stopped flowing.
What’s Next
Judge Subramanian, appointed by President Biden, did not decide the merits but said the states showed enough harm to keep the money flowing while hearings continue.
| Program | Purpose | Annual Aid to Five States |
|---|---|---|
| Child Care & Development Fund | Subsidize child care for low-income families | Part of $10B+ total |
| Temporary Assistance for Needy Families | Cash aid & job training | Included above |
| Social Services Block Grant | Flexible social services | Included above |
Key Takeaways
- 14-day freeze on the freeze: Funds must keep moving for now
- No evidence cited: Feds have not shown states misspent money
- States call it political: Lawsuit claims targeting of Trump adversaries
- Next court date set: Arguments will decide longer-term fate
The ruling gives millions of parents, child-care providers, and social-service agencies temporary relief while the courts weigh whether the administration can legally withhold the grants.

