Trump Administration Freezes All Childcare Funding Until States “Prove They Deserve It”
Trump Administration Freezes All Childcare Funding Until States “Prove They Deserve It”
WASHINGTON — The Department of Health and Human Services confirmed this week that it has frozen all federal childcare payments to all states, pending what officials described as a nationwide verification process to ensure funds are being “used legitimately.”
In a video message released Tuesday evening, HHS Deputy Secretary Jim O’Neill announced the activation of the department’s new “defend-the-spend system,” requiring states to submit documentation including receipts, attendance records, licensing reports, and photographic evidence before funds are released.
Originally believed to apply only to Minnesota, the freeze was later confirmed by the Associated Press to affect all 50 states, requiring each to independently demonstrate compliance before receiving federal childcare support.
An HHS spokesperson emphasized that the burden now lies with states to prove proper usage of taxpayer dollars, adding that the department would review materials “as quickly as possible.”
The move follows heightened scrutiny prompted by a viral video alleging widespread fraud at daycare centers in Minnesota. Multiple outlets have since reported that the claims remain unverified.
Critics argue the freeze risks disrupting childcare services nationwide, particularly for low-income families. Minnesota Governor Tim Walz described the action as “part of a long game,” accusing the administration of using fraud prevention as leverage for broader policy goals.
HHS has not provided a timeline for when funding may resume.
