Federal Government Seeks to Revoke $188 Million in Aid Funds for New York City

New York City Mayor Adams announced on Tuesday (April 8) that the federal government has notified the city about the revocation of $188 million in federal funding, which includes over $80 million that was withdrawn from the Federal Emergency Management Agency (FEMA) back in February. At that time, the federal government expressed concerns that these funds were being used to accommodate undocumented immigrants in hotels.

Adams stated that this money was approved by Congress as part of housing and service programs, and New York City intended to use these funds to reimburse the city for the care of asylum seekers.

Furthermore, the federal government has also notified New York to return $106 million in immigrant-related funds that have already been received.

“Individuals receiving these services generally do not have legal status and are residing unlawfully in the United States, such as those awaiting deportation procedures,” a FEMA spokesperson stated in a letter to New York’s Office of Management and Budget. “Therefore, funding programs that support or may potentially support activities related to illegal immigration do not align with the enforcement priorities of the Department of Homeland Security (DHS) and will not be a priority option for DHS.”

In a statement to the media, Adams mentioned that the city’s law department is currently evaluating its legal options.

“As I have repeatedly stated, New York City did not create this crisis – it is the result of decades of federal inaction and failure to pass comprehensive immigration reform. However, New Yorkers and residents of other major cities across the nation are being forced to pay the price,” Adams said. “We will continue to fight to ensure that our city’s residents receive every dollar they are entitled to and prevent the recovery of these funds.”

According to city data, over 230,000 immigrants have surged into New York City in the past three years, resulting in a $7.5 billion loss for taxpayers.

After the federal government withheld $80 million in February, New York City took legal action. This time, FEMA has given New York City 30 days to challenge the termination of the latest round of funding.