Trump to end federal funding to sanctuary cities and states

PROVIDENCE, R.I. — President Donald Trump announced that starting February 1, sanctuary cities and states will no longer receive federal funding.

Trump made the remarks during a Detroit speech. He said jurisdictions that limit cooperation with federal immigration enforcement will lose federal payments. When asked which programs would be affected, he called the cuts “significant” but gave no specifics.

Rhode Island on the List
Rhode Island appears on a Department of Justice list of so-called sanctuary communities. This term generally refers to areas that restrict cooperation with Immigration and Customs Enforcement. There is no single legal definition.

Other Federal Funding Actions
The administration has also threatened or frozen Medicaid and Medicare funding in some states. Officials say these actions are not related to immigration. Instead, they are tied to alleged fraud, mismanagement, or failure to meet federal oversight requirements. In Minnesota, certain Medicaid programs were labeled “high risk” after the state rejected required corrective plans, prompting proposed funding withholdings.

State Response
Governor Dan McKee criticized Trump’s actions during Rhode Island’s State of the State address. He warned that federal funding cuts could have serious consequences for the state.

Courts have blocked similar attempts to withhold federal funds from sanctuary jurisdictions in the past. Legal experts say lawsuits are likely if the administration moves forward. It is unclear how much federal money Rhode Island could lose or which programs would be affected.

Background: AG Letter to Rhode Island
In August 2025, U.S. Attorney General Pam Bondi notified McKee that Rhode Island had been labeled a “sanctuary jurisdiction.” She urged the state to end policies that interfere with federal immigration enforcement.

The August 13 letter gave McKee until August 19 to confirm compliance and describe steps to eliminate what the Trump administration considers sanctuary practices. Bondi also warned that officials who block federal enforcement could face criminal charges and that Rhode Island risked losing federal funding.