Jim Geldermann, a Republican candidate for Illinois House District 17, said the Trump administration’s decision to freeze billions in federal child care and social services funding underscores the need for aggressive audits, accountability measures, and limits on state and nonprofit access to taxpayer funds amid widespread fraud concerns.
The Trump administration is freezing more than $10 billion in federal funding for child care and social services programs across the country, including sizable funding streams for Illinois, citing concerns that benefits were improperly redirected to non-citizens, according to the New York Post. The pause impacts programs including Temporary Assistance for Needy Families, the Child Care Development Fund, and the Social Services Block Grant.
“With the massive fraud uncovered in other Democrat-controlled states and the Pritzker administration’s refusal to submit to an audit, additional monies should be withheld or at least held to pre-COVID levels,” Geldermann told North Cook News.
As part of a probe into alleged misuse of social services dollars, federal authorities formally requested detailed records from Illinois identifying program recipients dating back to 2019, the New York Post reported. While governors in other Democratic-led states denounced the funding freeze as politically motivated retaliation, Illinois officials had not issued a public response at the time.
U.S. Judge Arun Subramanian of the Southern District of New York entered a temporary restraining order Jan. 9 against the administration’s freeze on federal child care and family assistance funds for low-income families in Illinois, according to USA Today. The ruling followed a lawsuit brought by Illinois, California, Colorado, Minnesota, and New York against the U.S. Department of Health and Human Services after the funds were withheld.
A federal judge on Feb. 6 invalidated the Trump administration’s $10 billion freeze on child care and family planning funding targeting five Democratic-led states, including Illinois, according to ABC7 Chicago. Judge Vernon S. Broderick of the Southern District of New York issued a preliminary injunction mandating the administration restore access to the affected funds. The administration had raised fraud allegations but put forward no evidence to substantiate them. The injunction remains in place until a final ruling on the freeze’s legality is issued.
The funding freeze follows reports that Minnesota’s social services system was exploited through what federal prosecutors described as “industrial-scale fraud,” involving sham nonprofits and businesses billing the state for services that were never delivered. Investigators estimate the alleged theft could total up to $9 billion since 2018, potentially making it one of the largest public-benefits fraud cases in U.S. history, according to the New York Post.
Suspects are accused of creating fictitious child care operations, falsifying records, involving family members, and traveling interstate to carry out the scheme. The case encompasses 92 defendants and dozens of convictions, with millions allegedly sent abroad or used to acquire luxury goods.
As additional details surfaced, including a viral video from independent journalist Nick Shirley showing largely empty, state-funded child care facilities receiving millions in taxpayer dollars, Minnesota Gov. Tim Walz abruptly suspended his re-election campaign. Republicans pointed to the decision as evidence of accountability failures during his tenure, according to Minnesota State Wire.
Geldermann said the fraud uncovered in Minnesota illustrates broader systemic weaknesses in government oversight and eligibility verification.
“Minnesota is one type of fraud that is being perpetrated,” he said. “There are able-bodied people who are not qualified to receive assistance and who are registered in multiple states. Because of our outdated government information systems, fraud is easy to perpetuate.”
President Donald Trump commented publicly on the Minnesota case, saying it revealed systemic mismanagement in several states.
“Governor Walz has destroyed the State of Minnesota, but others, like Governor Gavin Newscum, JB Pritzker, and Kathy Hochul, have done, in my opinion, an even more dishonest and incompetent job,” Trump wrote on Truth Social. “NO ONE IS ABOVE THE LAW!”
Just over a year earlier, Gov. JB Pritzker had publicly praised Walz after Vice President Kamala Harris selected him as her running mate, describing him as a “proven leader” with a strong Midwestern work ethic. Pritzker also noted their close working relationship, saying they communicated frequently, according to ABC7 Chicago.
In May 2025, Illinois House Republicans, including Rep. Brad Halbrook of Shelbyville, alleged that more than $1 billion in taxpayer funds were being directed to politically connected nonprofit organizations. Halbrook said $14 million allocated to the Indo-American Center was “just a drop in the bucket,” according to The Center Square.
Republicans proposed a scaled-back $44 billion state budget, which was rejected by lawmakers aligned with Pritzker in the General Assembly.
Geldermann said Illinois should immediately suspend nonprofit grant funding until comprehensive audits are conducted.
“I would suspend all grants to NGOs, audit their mission statements and finances, and at the very least revoke their funding sources where misconduct is found, while pursuing prosecutable instances of fraud,” he said.
According to the Macon Reporter, Illinois House Republicans cited findings from the Illinois DOGE series showing that more than $1 billion in taxpayer money flowed to nonprofits with limited oversight. Major recipients included the Indo-American Center ($25 million), ONE Northside ($1.25 million), the Illinois Hispanic Chamber of Commerce ($11.4 million since 2020, including $4 million in FY25), Centro de Trabajadores Unidos ($7 million total), the Black Researchers Collective ($700,000 annually), the Chicago Therapy Collective ($1.5 million in FY24), and TMH Mancave ($750,000). In addition, more than $73 million went to local chambers of commerce and economic development nonprofits, while racial, ethnic, and religious NGOs received $237 million.
Geldermann said state lawmakers must take immediate action to restore public trust.
“Until full transparency and accountability are enforced, taxpayer funds should not continue flowing unchecked,” he said.
Geldermann, a Republican, is challenging fourth-term incumbent Jennifer Gong-Gershowitz (D-Glenview) for the Illinois House of Representatives in District 17 in the Nov. 3, 2026, general election.
Illinois House District 17 is located in Cook County within the Chicago metropolitan area, centered in Evanston and encompassing parts of the Evanston, New Trier, Niles, and Northfield townships, including the villages of Glenview, Golf, Morton Grove, Northbrook, Skokie, and Wilmette.
