US authorities have halted funding for kindergartens in New York City: how will this affect parents' expenses?

The US Department of Health and Human Services (HHS) is suspending $10 billion in federal funds to five "blue" states. This decision stems from allegations of fraud in child care programs. This has already drawn sharp criticism from New York officials and senators, according to reports. ABC7.

We are talking about five states:

• California;
• Colorado;
• Illinois;
• Minnesota;
• New York.

According to a department representative, the funds are being frozen due to suspicions of widespread violations in the implementation of child care programs.

Department position

"For too long, Democratic-led governors and states have been complicit in allowing massive fraud to occur under their watch," an HHS spokesperson said.

Authorities are requiring five states to provide:

• children's attendance records;
• child care facility inspection reports.

New York Governor's Reaction

New York Governor Kathy Hochul reacted sharply to the federal government's decision.

"Why is this administration waging such a frontal attack on the children of this country? They stopped feeding our children back in November. Now they won't vaccinate our children. They won't allow their parents to maintain health insurance without dramatically increasing premiums so our children can grow up safe and healthy," Hochul said.

On the subject: Mamdani wants to close programs for gifted children in kindergartens

"And now they don't care about childcare at all. We will fight this with all our might, because our children should not be political pawns in the fight Donald Trump seems to be waging against the governors of blue states," she added.

Impact on low-income families

Economists warn of serious consequences. They say the funding cuts will hit the parents of approximately 123,000 children in New York City who currently rely on these programs.

"The funds they threaten to freeze go directly to families—poor and low-income families who need childcare vouchers to work or go to school," emphasized Lauren Melodia, director of economic and budget policy at The New School's Center on New York City.

"Freezing these funds will mean that such families will be unable to go to work, study, or send their children to childcare facilities," she explained.

New York Senators Chuck Schumer and Kirsten Gillibrand also strongly condemned the decision.

"What kind of heartless person uses innocent children as political pawns? This goes beyond putting pressure on blue states. This decision upends the lives of working families and forces our children to pay the price for political games," Schumer said.

Accusations of supporting illegal families

Another claim made by the Trump administration is that funds are being directed to families without legal status.

"This is absolutely not true. These funds are not being sent to families who are not eligible for federal assistance," Lauren Melodia refuted such claims.

She said families receiving support through Temporary Assistance for Needy Families and child care vouchers are U.S. citizens or permanent residents.

Family advocates note that the federal government is creating a "perfect storm" for working parents. The labor market is weakening. This month, stricter eligibility requirements for SNAP benefits under the so-called Big Beautiful Bill go into effect.

At the same time, the number of childcare programs is declining, making it even more difficult for parents to balance work and childcare.