February 9, 2026

Trump's OMB moves to cancel $1.5 billion in federal grants to blue states over waste and woke spending

Reading Time: 4 minutes

The White House just told the Department of Transportation and the Centers for Disease Control and Prevention to claw back more than $1.5 billion in grants flowing to Democratic-led states — and the line items tell you everything you need to know about where your tax dollars have been going.

According to The New York Post, the Office of Management and Budget directed DOT on Wednesday to cancel more than $943 million in grants, while ordering the CDC to cut at least $602 million earmarked for California, Colorado, Illinois, and Minnesota. The rationale from OMB was straightforward: the money was being wasted.

An OMB spokesperson said the states were being targeted for "waste and mismanagement" of taxpayer funds. And if you look at what these grants were actually funding, the phrase feels generous.

Your Tax Dollars at Work

The grant descriptions read like a parody of progressive governance. Consider the highlights on the transportation side:

  • $100 million to the Illinois EPA for building EV charging stations — the single largest transportation grant cited
  • $15 million to Minnesota for EV chargers in "environmental justice communities"
  • $15 million to California for a "robust, accessible, and equitable" EV charging network across nine counties around San Francisco
  • $4.9 million to Boulder County, Colorado, for EV chargers in "low and moderate-income neighborhoods"
  • $3.6 million to Illinois for a research study to translate the CDL test into Spanish
  • $2 million to California for "climate change adaptation" plans

That's a lot of electric vehicle chargers for communities that didn't ask for them. The Minnesota grant alone earmarked $15 million to install EV infrastructure in poor neighborhoods — areas where residents are far more likely to need affordable gas than a place to plug in a $50,000 Tesla. This isn't transportation policy. It's climate ideology routed through the Department of Transportation's checkbook.

Then there's the $3.6 million to translate the commercial driver's license exam into Spanish. Most Americans would assume a competent state bureaucracy could handle a translation project without burning through seven figures. Illinois apparently cannot.

And these itemized grants don't even account for the full $943 million the DOT was told to cancel. The specific projects listed fall far short of that total, meaning hundreds of millions more in grants are on the chopping block that the public hasn't even seen yet.

The CDC Side Is Worse

If the DOT grants were questionable, the CDC allocations were something else entirely. White House officials said health care money had funded research on DEI initiatives or transgender medicine that was "not in line with administration policy."

The specifics:

  • $7.2 million to a state branch of the American Medical Association that officials said had supported gender reassignment surgery for children
  • $7 million to Chicago for STD research involving "adolescents, racial and ethnic minorities and men who have sex with men"
  • $3 million to Colorado to "Address COVID-19 Health Disparities Among Populations at High-Risk and Underserved"
  • $1.2 million to Colorado to partner with local public health departments and clinics
  • $1.1 million remaining for a Los Angeles County HIV behavioral survey — part of an initial $4.3 million grant approved back in January 2022
  • $754,000 to Minneapolis for "Racial and Ethnic Approaches to Community Health"
  • $337,000 to San Francisco for "intersectoral climate adaptation"

The CDC — the agency ostensibly responsible for controlling disease — was bankrolling climate adaptation plans, racial equity frameworks, and grants to organizations promoting child sex changes. Not one of these line items screams "disease control." The agency's own name has become aspirational rather than descriptive.

Meanwhile, hundreds of thousands of federal dollars that California universities were awaiting for various research projects now hang in limbo. The question isn't whether research matters — it's whether the CDC should be funding projects that have nothing to do with its core mission while actual public health needs compete for scraps.

A Broader Offensive

This isn't happening in isolation. The Department of Health and Human Services already moved to freeze more than $10 billion in social services and childcare funding for a handful of blue states and New York back in January. A judge paused that order days later, but the trajectory is unmistakable.

Transportation Secretary Sean Duffy has separately threatened to hold up tens of millions in federal funding from New York over lax rules surrounding commercial driver's licenses for foreign drivers. That fight is ongoing — and it speaks to the same underlying problem. Blue states took federal dollars, attached progressive strings, and assumed no one in Washington would ever pull on them.

President Trump himself had warned sanctuary cities and states that he would begin halting funding in February, arguing their policies foment "fraud and crime and all of the other problems that come." He meant it. And the OMB spokesperson indicated more grant cancellations were expected.

The Hochul Response

New York Governor Kathy Hochul, who accused the White House of politicizing federal funding, offered the standard blue-state playbook — outrage, legal threats, and children as rhetorical shields:

"We'll fight this with every fiber of our being, because our kids should not be political pawns in a fight that Donald Trump seems to have with blue state governors."

She also expressed confidence in the judiciary:

"I believe that we'll be successful in court."

The "political pawns" framing is rich, coming from a governor whose state funnels federal money through a labyrinth of progressive priorities before it reaches any child. If kids are pawns, the question is who placed them on the board — the administration asking where the money went, or the states that spent it on EV chargers and DEI research.

Hochul's legal confidence may be misplaced. The January court pause on the HHS freeze was a temporary restraint, not a ruling on the merits. The administration's strategy of targeting specific grants with documented justifications — rather than broad funding freezes — is built to survive judicial scrutiny. It's harder for a judge to call a cancellation arbitrary when the grant funded "intersectoral climate adaptation" through a disease control agency.

Notably, representatives for the governors of California, Colorado, Illinois, and Minnesota did not immediately respond to requests for comment. The silence from four states about to lose hundreds of millions of dollars is its own kind of answer.

What This Is Really About

For years, the federal grant system has operated as a quiet subsidy for progressive policymaking. Washington sends the money. Blue states launder it through the language of equity, justice, and climate — and the actual intended beneficiaries see pennies on the dollar, if they see anything at all. The Biden administration supercharged this pipeline, and much of the health care money now being clawed back was passed under his watch.

What the Trump White House is doing is not complicated. It's reading the grant descriptions, comparing them to the agencies' actual mandates, and cutting the ones that don't match. A CDC grant should fight disease. A DOT grant should move people and goods. When the money flows instead to "intersectoral climate adaptation" and Spanish CDL translation studies, the word for that isn't investment.

It's mismanagement. And now there's a price for it.

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