
"The states say HHS and the Administration for Children and Families abruptly cut off money for child care, cash assistance and social services programs without evidence, without due process and without legal authority. Filed in U.S. District Court for the Southern District of New York, the suit alleges that the freeze was triggered not by fraud findings but by viral misinformation, political rhetoric and public threats from President Trump and top officials. The funding freeze puts low-income families, kids and people with disabilities at immediate risk, they argue."
"The funding freeze has sent child care providers scrambling at a time when costs are already rising and providers are scrambling to makeup for lost pandemic-era funding. Labor shortages are an increasing worry amid the fallout from increased immigration enforcement. That's already making it difficult for parents to find care for children - in turn, making it tougher to stay employed. Anecdotally, centers around the country are also reporting increased harassment in the wake of the Minnesota fraud scandal and a viral YouTube video."
Five states filed a lawsuit in the U.S. District Court for the Southern District of New York challenging an abrupt funding freeze by HHS and the Administration for Children and Families. The suit contends the freeze lacked evidence, due process, and legal authority and resulted from viral misinformation, political rhetoric, and public threats rather than fraud findings. The states say the freeze endangers low-income families, children, and people with disabilities and claims partisan punishment of Democrat-led states. The freeze has forced child care providers to scramble amid rising costs, lost pandemic relief, labor shortages, and increased harassment, making care harder to find and work harder to keep.
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