Overview
- Announcing the move in a Detroit Economic Club speech, President Trump said payments will stop to sanctuary cities and to states that host them, citing public safety and fraud concerns.
- Pressed for details on which programs would be affected, the White House offered no specifics and Trump said only, "You'll see," calling the impact significant.
- The Justice Department has published a list naming states such as California, New York and Illinois, along with major cities including New York, Chicago and San Francisco, as sanctuary jurisdictions.
- Federal judges have previously barred broad funding crackdowns, and a judge last week temporarily blocked an HHS halt of child care subsidies to five states while litigation proceeds.
- Targeted financial actions are already underway: CMS told Minnesota it plans to withhold $515 million quarterly from certain Medicaid programs, and Trump said nearly 8,000 SBA loans in Minnesota were suspended, prompting vows to sue from leaders in cities like Chicago and New York.