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Judge orders Trump admin to restore $10B in low-income funding to NY, other states for now
By
Ryan Kost
Published Jan 10, 2026
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JB Nicholas / Gothamist
By
Ryan Kost
Published Jan 10, 2026
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A federal judge in Manhattan has temporarily blocked the Trump administration from freezing billions of dollars in child care and anti-poverty funding to New York and four other states, ordering federal officials to lift restrictions on the money while the case moves forward.
U.S. District Court Judge Arun Subramanian, who was appointed by former President Joe Biden, granted the state’s request for a temporary restraining order following a hearing Friday. The judge ruled the states had shown good cause to halt the funding freeze pending further litigation.
New York and four other Democratic-led states had sued the Trump administration earlier this week after the Department of Human Services announced it would hold $10 billion in federal funding from three major programs: the Child Care and Development Fund, Temporary Assistance for Needy Families (TANF) and the Social Services Block Grant.
Those programs represent about $3.1 billion in federal money for hundreds of thousands of New York families annually, according to state officials.
The order, which remains in effect for up to 14 days unless extended, directs federal officials to remove any restrictions that prevent the states from drawing down funds under those programs.
The administration had said the freeze was necessary to give the department time to investigate potential fraud. The states, however, argued the cuts could quickly disrupt services — and that the administration offered no evidence to justify the action and had unlawfully singled them out.
The federal Department of Health and Human Services did not immediately return a request for comment.
Tagged
Health and Science
budget
new york city
Ryan Kost
Ryan Kost is a reporter on the day-of news desk, where he covers breaking news and writes enterprise stories about jails, courts, prosecutors and government accountability. His work focuses on the public institutions that shape life in New York. Before joining the newsroom, he lead a multi-part investigation with Columbia Journalism Investigations and New York Focus into how New York prosecutors handle wrongful conviction claims. He's also been a staff writer at The San Francisco Chronicle, The Associated Press and The Oregonian. Got a tip? Signal: ryankost.20
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