NYC Sues Trump Administration Over $80 Million FEMA Migrant Funding Clawback

Mayor Eric Adams seeks to recover rescinded federal funds, accusing the Trump administration of unlawful actions targeting congressionally approved grants.

New York City filed a lawsuit against the Trump administration to recover $80.5 million in FEMA funds withdrawn without notice on February 11, 2025.
The funds were originally granted under the Shelter and Services Program to reimburse NYC for migrant housing costs, which exceeded $7 billion over three years.
The Trump administration claims the funds were misused, citing allegations of spending on luxury hotels, which NYC officials deny as baseless.
The lawsuit argues the clawback violated federal grant terms and lacked proper administrative procedures, calling it a politically motivated action.
The legal action follows criticism of Mayor Eric Adams for cooperating with federal immigration enforcement, which some allege was part of a quid pro quo to dismiss corruption charges against him.