this post was submitted on 06 Jan 2026
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The cuts to several states come amid an escalating fraud fallout fueled by a dubious YouTube investigation of Minnesota day cares.

The Trump administration on Monday said it had slashed billions in social services funds to a handful of blue states as part of its escalating response to new and unproven fraud allegations in Minnesota.

The Department of Health and Human Services will freeze $10 billion worth of federal grants to California, Colorado, Illinois, Minnesota, and New York, an HHS official told HuffPost, confirming news first reported by The New York Post.

It’s not clear whether the freeze was inspired by specific fraud allegations or solely for political reasons. Officials did not immediately provide a public explanation.

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[–] givesomefucks@lemmy.world 125 points 4 days ago (2 children)

Those blue state citizens are what funds the red states...

I've been saying it for almost a year now, it won't be easy but blue states need to stop having employees federal taxes sent off every check. Instead send it to a fund, when trump pulls shit like this, use the fund to make up the difference.

It's gonna come to that point eventually and it's a complicated process, so we should have it set up and ready to pull the trigger.

[–] wonderingwanderer@sopuli.xyz 11 points 4 days ago (1 children)

For real, if California and New York alone stopped paying federal taxes, the federal government would go bankrupt immediately.

Why pay into a system that won't pay anything back out to you? Those funds are just going to the likes of Thiel and Musk, who already don't pay enough taxes. Fuck em.

[–] givesomefucks@lemmy.world 4 points 4 days ago (2 children)

On an individual level everyone can do this today, change your federal withholding to $0 on a w4.

It's 100% legal, and you will still need to pay taxes in April. But you can just not pay anything ahead of time. That whole process is essentially a payment plan that's relatively new but already taken for granted of by the government.

[–] Bronzebeard@lemmy.zip 1 points 3 days ago

There's an under withholding penalty fee to prevent exactly this.

[–] wonderingwanderer@sopuli.xyz 4 points 4 days ago (1 children)

We've already seen enough examples of "doing things at the individual level" to know that not even close to "everyone" will be on board.

By all means, do it. But don't expect the level of solidarity required to make the federal treasury even notice.

Things like this require collective action, and since the average american is union-phobic, the only organizations we can look to are the state governments. But since they don't handle federal taxes, there's not much they can do short of seceding from the union. Which would be a bit too extreme as long as there's even an inkling of hope in a free and fair election followed by a peaceful transfer of power saving us.

In short, we're fucked.

[–] givesomefucks@lemmy.world 2 points 4 days ago (1 children)

I'm not even pushing it, just saying technically anyone could do it easily.

[–] wonderingwanderer@sopuli.xyz 1 points 4 days ago

I agree, and I even explained that in a different comment somewhere. I just find it highly doubtful that enough people will do it for it to make a difference.