The Dictatorship
Trump is daring anyone to stop his illegal funding freeze
When President Donald Trump named Russel Vought to run the Office of Management and Budget, I warned it was a sign that his administration intended to seize total control of federal spending from Congress. Two weeks ago, I said that if Vought were confirmed, billions of dollars in projects would go unfunded at the president’s whim, no matter what legislators have said.
I was wrong. They didn’t even wait for Vought to be confirmed.
Instead, on Monday night, OMB’s acting director, Matthew J. Vaeth, sent a memo across the federal government ordering a freeze of “all Federal financial assistance.” The memo insists on calling this a “pause.” A federal judge intervened on Tuesday afternoon, issuing an administrative stay to hold off on the OMB order being fully implemented until Monday at soonest. But beyond the immediate and likely catastrophic impact of halting, even briefly, any portion of the $3 trillion in annual spending Vaeth cites, the memo serves as a reminder that any “temporary” power that Trump claims for himself won’t be easily relinquished.
While Vaeth was anything but vague about the reasoning behind the funding freeze, the scope of the pause itself has been wildly confusing.
“The use of Federal resources to advance Marxist equity, transgenderism, and green new deal social engineering policies is a waste of taxpayer dollars that does not improve the day-to-day lives of those we serve,” Vaeth wrote in the memowhich was first reported by Marisa Kabas of The Handbasket. It then required federal agencies to go through all grants and loans that it doles out to ensure that they align with the firehose of executive orders that Trump has issued. In the meantime, Vaeth ordered agencies to “temporarily pause” any programs that could contradict those orders “including, but not limited to, financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal.”
While Vaeth was anything but vague about the reasoning behind the funding freeze, the scope of the pause itself has been wildly confusing. While exempting programs that provide assistance “directly to individuals,” as well as Social Security and Medicare, the order could potentially affect a big and broad swath of programming. Accompanying the memo was a nearly 900-page spreadsheet for officials to plug in the details of their programs and identify which funding is legally required to be distributed before March 15, when the current short-term spending bill runs out of money. And because the two-page memo lacked specific guidance, the odds are good that program officials — with the encouragement of their newly installed political minderswho the order tasks with overseeing this process— will err on the side of shutting down anything that could conceivably fall into one of Vaeth’s ideological buckets.
For a glimpse at how this will play out in the short term, look to the halt on foreign aid handed down last week. That freeze didn’t just call for a review but a “stop work” order for all currently funded programs. On Monday, several U.S. Agency for International Development staffers were placed on leave for supposedly violating the pause — a warning to others who might want to keep doing their jobs in the face of a blatantly illegal order. Since that halt, a sense of confusion and concern has reigned in the international aid community.
The mess will surely worsen now that domestic programs are included. Not even the administration seems to know the scope of what it’s asking: When reporters asked White House press secretary Karoline Leavitt, at her first briefing, if Medicaid would be affected, she replied, “I’ll check back on that and get back to you.” OMB itself issued a follow-up that said Medicaid, SNAP, Pell grants and “other similar programs” will not be paused.
The shifting guidance has had nigh-cartoonish consequences. The spokesperson for Meals on Wheels on Tuesday told HuffPost’s Arthur Delaney that “the uncertainty right now is creating chaos for local Meals on Wheels providers not knowing whether they should be serving meals today.” (Leavitt said at her briefing that the group would not be included in the pause.) The idea that a program as innocuous seeming as Meals on Wheels could see its funding frozen may seem absurd. But as we saw with “anti-woke” laws in Floridavagueness prompts pre-emptive cooperation and censorship from those who fear retaliation. Can anyone say with a straight face they know for sure whether MAGA views feeding the elderly as overly “inclusionary” for old people?
Aside from being a major crisis for these organizations, the memo from OMB is a bright red warning sign that any funding the White House “temporarily” pauses could easily become permanently blocked. Under the Impound Control Act of 1974it doesn’t matter if Trump doesn’t like how federal money is being spent. He simply doesn’t have the power to withhold, or “impound,” funds that Congress has appropriated. There are a few exceptions to this, but as University of Michigan law professor Sam Bagenstos noted on Blueskyeven temporary pauses are illegal under the Impound Control Act. But in his Senate confirmation hearing this month, Vought said that he thinks the act is unconstitutional. He has argued in the past that a president can unilaterally withhold whatever funding doesn’t align with his vision. And if Congress doesn’t like it, Vought says, that’s too bad.
With Congress inactive, that leaves enforcement most likely up to the courts.
Speaking of Congress, the ranking Democrats from the House and Senate Appropriations Committees wrote to OMB on Monday night to demand that Vaeth “reverse course to ensure requirements enacted into law are faithfully met and the nation’s spending laws are implemented as intended.” House Democrats are meanwhile out of town for the week but holding an emergency virtual caucus meeting on Wednesday afternoon to discuss the “illegal Republican funding freeze.”
But it seems congressional Republicans are more than happy to give up their power of the purse. The GOP-controlled Senate shows no signs of delaying confirmation of Vought or any of Trump’s other nominees, even as the president effectively strips legislators of their authority. Amazingly, House Appropriations Chair Rep. Tom Cole, R-Okla., is apparently unclear on whether appropriations even count as “laws” rather than a “directive.” (They do, but it really shows how far we’ve come from when the House Appropriations chair was one of the most powerful positions in the country.)
With Congress inactive, that leaves enforcement most likely up to the courts. Democratic state attorneys general are already preparing a lawsuit to get the freeze overturned, and further briefings will soon move forward in the suit from an NGO that prompted Tuesday’s administrative stay, setting us up for a potential speed run to the Supreme Court. Given Chief Justice John Roberts’ views about the separation of powersit’s hard to see him lining up against the Impound Control Act and its clear support for Congress’ Article I control over federal spending. But as the Prospect’s Daniel Dayen notedit’s clear that the administration wanted to be sued over this action and that Trump’s advisers are confident their cause will prevail among enough justices to win out.
As the matter winds through the courts, Democrats can’t sit back and let this slide. There needs to be members of Congress hitting every local news station to explain why popular programs like Head Start might be shuttered if deemed a “DEI initiative,” how the GOP is glad people’s medical bills aren’t being paidand exactly who is to blame. Further, it should be a no-brainer that any funding bill that requires Democratic support — including keeping the government open in mid-March — must include clear language repudiating Trump’s cash grab before it receives a single Democratic vote. Anything less will be an open invitation for this administration to continue attacking both our constitutional system and the millions of Americans who depend on the funds Trump is illegally slashing.
Hayes Brown is a writer and editor for BLN Daily, where he helps frame the news of the day for readers. He was previously at BuzzFeed News and holds a degree in international relations from Michigan State University.
The Dictatorship
Trump administration pauses some Medicaid funding to Minnesota
WASHINGTON (AP) — Vice President JD Vance announced Wednesday that the Trump administration would “temporarily halt” some Medicaid funding to the state of Minnesota over fraud concernsas part of what he described as an aggressive crackdown on misuse of public funds.
Vance, who made the announcement with Dr. Mehmet Oz, the administrator for the Centers for Medicare and Medicaid Services, said the administration was taking the action “in order to ensure that the state of Minnesota takes its obligations seriously to be good stewards of the American people’s tax money.”
Oz, who referred to people committing fraud as “self-serving scoundrels,” said the federal government would hold off on paying $259.5 million to Minnesota in funding for Medicaid, the health care safety net for low-income Americans.
“This is not a problem with the people of Minnesota, it’s a problem with the leadership of Minnesota and other states who do not take Medicaid preservation seriously,” Oz said.
Wednesday’s move is part of a larger Trump administration effort to spotlight fraud around the country. That effort comes after allegations of fraud involving day care centers run by Somali residents in Minneapolis prompted a massive immigration crackdown in the Midwestern city, resulting in widespread protests. President Donald Trump, in his State of the Union address on Tuesday, announced Vance would spearhead a national “war on fraud.”
Trump also recently nominated Colin McDonald to serve as the first assistant attorney general in charge of a Justice Department division dedicated to rooting out fraud.
Minnesota pushes back
Oz said the administration was simultaneously notifying Minnesota’s Democratic Gov. Tim Walz as he was making the announcement publicly.
“We will give them the money, but we’re going to hold it and only release it after they propose and act on a comprehensive corrective action plan to solve the problem,” Oz said.
He said Walz would have 60 days to respond and advised health care providers and Medicaid beneficiaries who were concerned to contact Walz’s office.
Walz, former Vice President Kamala Harris’ 2024 running mate, said in a pair of social media posts that the administration’s move had nothing to do with fraud.
“This is a campaign of retribution. Trump is weaponizing the entirety of the federal government to punish blue states like Minnesota,” Walz said. “These cuts will be devastating for veterans, families with young kids, folks with disabilities, and working people across our state.”
Minnesota Attorney General Keith Ellison said in a statement that his team has secured over 300 Medicaid fraud convictions since he took office in 2019. And he noted that he called on the Legislature earlier Wednesday to give him more staff and new legal tools to combat Medicaid fraud.
“Courts have repeatedly found that their pattern of cutting first and asking questions later is illegal, and if the federal government is unlawfully withholding money meant for the 1.2 million low-income Minnesotans on Medicaid, we will see them in court,” Ellison said.
Oz said the Centers for Medicare and Medicaid Services were also taking action to crack down on fraud in Medicare, the health care system relied upon by millions of older adults.
He said CMS for six months would block any new Medicare enrollments for suppliers of durable medical equipment, prosthetics, orthotics or other supplies used to treat chronic conditions or assist in injury recovery.
The Office of the Inspector General for the U.S. Department of Health and Human Services found last year that Medicare improperly paid suppliers nearly $23 million for durable medical equipment from 2018 through 2024. But it found that most of that was before January 2020, when changes to the system were implemented.
Oz also announced a new crowdsourcing effort he said would help “crush fraud” by soliciting Americans’ tips and suggestions.
“All of us are smarter than any one of us,” he said.
In a news release accompanying the announcement, CMS said the funding being paused in Minnesota included some $244 million in unsupported or potentially fraudulent Medicaid claims and about $15 million in claims involving “individuals lacking a satisfactory immigration status.”
Immigrants who are not living in the U.S. legally, as well as some lawfully present immigrants, are not allowed to enroll in the Medicaid program that provides nearly-free coverage for health services.
CMS said in the release that if Minnesota fails to satisfy its requirements, it may defer up to $1 billion in federal funds to the state over the next year. CMS spokesperson Catherine Howden said the agency’s review of potential fraud cases would include sampling claims to see if they comply with federal requirements, and potentially requesting more information about specific claims.
Akeiisa Coleman, the senior program officer for Medicaid at the Commonwealth Fund, said CMS was taking a “highly unusual step” in deferring funding. She said if the state doesn’t have enough funds available, it may have to halt payments to providers, which could affect care.
Democratic-run states face cutoffs
The administration has threatened to cut off funding for various programs for some Democratic-run states over fraud concerns over the last few months.
One judge blocked those actions and required that payments flowing to Minnesota and four other states — California, Colorado, Illinois and New York — for a variety of social service programs. The government had said that there was “reason to believe” that those states were granting benefits to people in the country illegally. It did not initially explain where that information came from, but a government lawyer told the judge it was largely in reaction to news reports about possible fraud.
Another judge said she would not let it cut off funding for administrative costs for 22 states that have refused to hand over information about applicants and recipients of food aid through the Supplemental Nutritional Assistance Program.
The latest action was prompted in part by a series of fraud cases, including a nonprofit called Feeding Our Future accused of stealing pandemic aid meant for school meals. Prosecutors have put the losses from that case at $300 million.
Since then, Trump has targeted the Somali diaspora in Minnesota with immigration enforcement actions and has made a series of disparaging comments about the community. During his State of the Union address on Tuesday, Trump said “pirates” have “ransacked Minnesota.”
Federal agencies have also been enlisted to assist in targeting fraud in Minnesota.
Last December, the U.S. Treasury Department issued an order requiring money wire services that people use to send money to Somalia to submit additional verification to the Treasury.
The Center for Medicare and Medicaid Services told Minnesota in January that it intended to freeze parts of payments for some Medicaid programs that were deemed high-risk. The state said that those cuts would add up to more than $2 billion annually if they lasted and made an administrative appeal.
___
Associated Press writers Geoff Mulvihill in Philadelphia, Steve Karnowski in Minneapolis and Fatima Hussein in Washington contributed to this report.
The Dictatorship
MAGA world’s violent pregnancy-related rhetoric is on full display
Conservatives’ crusade against reproductive freedom is deathly serious. Two controversies over the past week highlight some of the violence undergirding the MAGA movement’s assault on the idea of people choosing when and whether to bear children.
In Tennessee, two GOP state lawmakers are gauging interest in legislation that would make people eligible for homicide charges — and potentially the death penalty — for receiving or assisting with an abortion.
The bill’s co-sponsor in the state Senate said he doesn’t think the bill currently has the votes but ultimately could. Per the WSMV television station in Nashville:
“We want to be very open and have a conversation, whether it’s controversial or not — let’s hear from all sides to see where we are as Tennessee and where we stand,”[stateSenMark[stateSenMark] Pody said. “Talking to some colleagues, we don’t have the votes to move something like that in the Senate at this moment.”
Pody said he does not consider the bill dead on arrival in the Senate, adding he believes there is a possibility for negotiation and that Republicans in the House and Senate could reach an agreement on language that could pass both chambers.
Most Americans seem to think we shouldn’t kick the tires on state-sponsored executions for abortion recipients. Pody apparently disagrees.
His fellow co-sponsor in the House, state Rep. Jody Barrett, didn’t sound any more sane in his exchanges about the bill with reporter Chris Davis from WTVF, the CBS affiliate in Nashville.
“Murder should be murder, whether it’s a person in being or a person in utero,” Barrett said.
I asked Barrett directly about the criticism that the bill unfairly targets mothers.
“I think that’s a talking point saying that you’re targeting mothers. We’re not targeting mothers. We’re targeting unborn children and trying to protect them and give them the protection under the law for you and me,” Barrett said.
The tacit admission came later:
“A simple examination of the death penalty in Tennessee would show that that’s just not realistic. Now, do I have to admit that the death penalty is a possibility? Sure. But since the death penalty was reinstated in Tennessee in 1977, there’s been less than 200 people sentenced to death, and only 16 have actually been executed — none of them women,” Barrett said.
It’s safe to say the latter remarks are probably not going to be enough to soothe concerns about this morbid proposal — one that mirrors several others across the country in the past year.
In Vermont, a different controversy is unfolding over a right-wing influencer named Hank Poitras, who was elected chairman of a county GOP committee — and who once delivered an extremely graphic diatribe about committing an act of violence on a woman’s womb after she got pregnant.
Ja’han Jones is an MS NOW opinion blogger. He previously wrote The ReidOut Blog.
The Dictatorship
Trump administration pauses Medicaid funding to Minnesota
The Trump administration is temporarily halting $259 million in Medicaid funding to Minnesota, Vice President JD Vance announced Wednesday.
Vance said the payments will be paused “until the state government takes its obligations seriously to stop the fraud that’s being perpetrated against the American taxpayer.”
The news of the temporary halting of the massive amount of federal funding — which provides health insurance to low-income people — comes as the state has been a target of the federal government following allegations of fraud perpetrated by child care providers in the state. In December, federal officials froze $185 million in child care funds to Minnesota, and last month, the administration announced it was freezing $10 billion in funding for social services programs in five Democratic-led states, including Minnesota.
The latest news also follows President Donald Trump’s announcement at the State of the Union address Tuesday night that he was tasking the vice president with waging a “war on fraud.”
Dr. Mehmet Oz, administrator for the Centers for Medicare and Medicaid Services, said Wednesday that officials identified “scammers” who he claimed “hijacked … a certain part of the Minnesota Medicaid system.”
Federal prosecutors have confirmedthere was large-scale social services fraud in Minnesota, with dozensof people — many of whom are Somalis — having been convicted of stealing more than $1 billion in public funds intended for food, housing and services for people with disabilities. But the administration did not provide detailed evidence on Wednesday of the alleged large-scale Medicaid fraud in Minnesota that Oz claimed.
“These schemes disproportionately involve immigrant communities,” Oz said. Generally, undocumented people are not able to be enrolled in Medicaid.
Vance mentioned a program that he said claimed to offer after-school services to autistic children but did not actually do so, though he did not offer any identifying information.
Oz added that the top fraudulent biller in the state “submitted 450 days where they claim they were working more than 24 hours a day,” but also did not provide corroborating information.
According to the health policy research organization KFF, Medicaid covers nearly 1.2 millionkids and adults in Minnesota, more than half of whom are nursing home residents. More than three-quarters of Medicaid enrollees in the state are working full time, that data also shows.
Oz said the federal government will only release the funds “after they propose an act on a comprehensive corrective action plan to solve the problem,” adding that Gov. Tim Walz, D-Minn., has 60 days to do so. He suggested similar announcements to come in other states “soon,” and mentioned Florida, New York and California as potential future targets.
“This is not a problem with the people of Minnesota,” Oz said. “It’s a problem with the leadership of Minnesota and other states who do not take Medicaid preservation seriously.”
Vance added: “The main reason that we’re doing this is that we want to make sure that the people of Minnesota have access to the services that they’re entitled to.”
In a post on X on Wednesday night, Walz said the announcement “has nothing to do with fraud,” and added, “The agents Trump allegedly sent to investigate fraud are shooting protesters and arresting children. His DOJ is gutting the U.S. Attorney’s Office and crippling their ability to prosecute fraud. And every week, Trump pardons another fraudster.”
Minnesota lawmakers and the state’s attorney general, Keith Ellison, have introduced legislation that would add more than a dozen new staffers to the AG office’s Medicaid Fraud Control Unit and that would strengthen state fraud laws.
In a statement provided to MS NOW, Ellison hinted the state may sue in response.
“Courts have repeatedly found that their pattern of cutting first and asking questions later is illegal, and if the federal government is unlawfully withholding money meant for the 1.2 million low-income Minnesotans on Medicaid, we will see them in court,” he said.
Shireen Gandhi, commissioner of the Minnesota Department of Human Services, which administers Medicaid, said the government’s actions “significantly harm the state’s health care infrastructure and the 1.2 million Minnesotans who depend on Medicaid,” adding that federal officials “chose to ignore more than a year of serious and intensive work to fight fraud in our state.”
Spokespeople for Sen. Tina Smith, D-Minn., and Sen. Amy Klobuchar, D-Minn., did not immediately respond to MS NOW’s request for comment.
Nour Longi and Emily Hung contributed reporting.
Julianne McShane is a breaking news reporter for MS NOW who also covers the politics of abortion and reproductive rights. You can send her tips from a non-work device on Signal at jmcshane.19 or follow her on X or Bluesky.
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