Stop me if this sounds familiar: A federal judge has issued a temporary restraining order (TRO) against the Trump administration...
Who are we kidding? Of course it sounds familiar. It's pretty much a daily occurrence — sometimes multiple times a day. This particular case/order has to do with funding for programs that (ostensibly) support needy families with children. The administration announced on Tuesday that it was freezing child care and family assistance grants in five states due to fraud concerns.
The U.S. Department of Health and Human Services today froze access to certain federal child care and family assistance funds for California, Colorado, Illinois, Minnesota and New York following serious concerns about widespread fraud and misuse of taxpayer dollars in state-administered programs.
“Families who rely on child care and family assistance programs deserve confidence that these resources are used lawfully and for their intended purpose,” said Deputy Secretary Jim O’Neill. “This action reflects our commitment to program integrity, fiscal responsibility, and compliance with federal requirements.”
The action applies to three programs overseen by HHS’s Administration for Children and Families (ACF) — Child Care and Development Fund, Temporary Assistance for Needy Families, and Social Services Block Grant. In letters sent to the governors of the five states, ACF notified them that access to these funding streams is now restricted pending further review, which impacts the following totals:
- Child Care and Development Fund (CCDF): nearly $2.4 billion
- Temporary Assistance for Needy Families (TANF): $7.35 billion
- Social Services Block Grant (SSBG): $869 million
Of note, the announcement provided that the freeze, "will now require these five states to submit a justification and receipt documentation before any federal payment is released."
SEE ALSO: Trump to California, Newsom: You're 'More Corrupt Than Minnesota,' and We're Coming for You
Naturally, the states filed suit on Thursday, challenging the funding freeze, characterizing it as "extraordinary and cruel." Along with their complaint, filed in the Southern District of New York, they filed an emergency motion for a TRO.
The court held a hearing on the emergency motion on Friday afternoon, and Judge Arun Subramanian (if his name sounds familiar, it could be because he was the judge who presided over Sean "Diddy" Combs criminal trial last fall) swiftly entered the requested order.
Pursuant to the order, the administration is:
1. Directed to restrain and stayed from implementing the ACF Funding Freeze, as applied to the Child Care Development Fund, Temporary Assistance to Needy Families, and Social Services Block Grants programs. See Dkt. 8 at 1. This includes the entirety of the letters sent to plaintiffs on January 5 and 6; and
2. Directed to immediately remove any restrictions, outside of permitted statutory authority, on plaintiffs’ ability to draw down funds under the Child Care Development Fund, Temporary Assistance to Needy Families, and Social Services Block Grants programs.
Subramanian notes in his brief order that:
This relief is preliminary in nature and is designed to protect the status quo while plaintiffs’ motion for a preliminary injunction is briefed and decided. The order shall automatically expire in 14 days, subject to any further order from the Court.
In other words, this is far from the final word on the matter — it's merely a temporary pause of the freeze (or vice-versa) while the matter is more thoroughly briefed and presented to the court.
In response to the TRO, Deputy Secretary of Health and Human Services Jim O'Neill shared the following statement to X:
To prevent fraud, we asked states to provide receipts before sending taxpayer money for child care.
— Deputy Secretary Jim O'Neill (@HHS_Jim) January 9, 2026
Five blue states sued and an activist Biden-appointed judge just ordered us to stop asking.
What are they afraid of?
We will comply with the court, but we will fight. We will…
To prevent fraud, we asked states to provide receipts before sending taxpayer money for child care.
Five blue states sued and an activist Biden-appointed judge just ordered us to stop asking.
What are they afraid of?
We will comply with the court, but we will fight. We will appeal. We will keep asking questions.
We will stop the fraud.
RedState will continue to monitor the case and provide updates as warranted. Stay tuned!
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