Federal Judge Halts Trump Administration’s Attempt to Cut Funding to 34 ‘Sanctuary’ Cities and Counties

Boston Mayor Michelle Wu responds to a letter from U.S. Attorney General Pam Bondi demanding that Boston lift its sanctuary city policies at a press conference in Boston, Massachusetts. Brian Snyder/Reuters

In January 2024, the Trump administration announced plans to withhold federal funding from 34 cities and counties deemed ‘sanctuary’ jurisdictions for limiting cooperation with immigration enforcement.

A US federal judge has blocked the Trump administration's attempt to cut federal funding to over 30 "sanctuary cities" and counties that have declined to cooperate with the administration's immigration policies. These cities, including Los Angeles, Baltimore, Boston, and Chicago, have laws and policies limiting local law enforcement's assistance with federal immigration arrests.

By March 2024, affected cities like San Francisco, Chicago, and Seattle filed lawsuits, arguing the cuts were unconstitutional. Legal battles escalated over months, with hearings focusing on federal overreach and local autonomy.

On August 20, 2025, Federal Judge Sarah Thompson issued a ruling blocking the funding cuts, stating they violated Congressional authority over federal budgets.

US District Judge William Orrick issued a preliminary injunction, stating that the Trump administration's executive orders and actions are "unconstitutional" and pose a "coercive threat" to local governments.

The ruling protects over 30 cities and counties, including prominent locations like San Francisco, Portland, and Seattle.

The cities and counties involved argue that billions of dollars in federal funding are at stake due to the administration's policies.

The Trump administration has intensified its efforts against sanctuary cities, identifying over 500 jurisdictions that limit cooperation with Immigration and Customs Enforcement (ICE).

The Trump administration signed two executive orders in January and February, which the cities and counties claim unlawfully threatened to cut off funding unless they cooperated with federal immigration law enforcement. The administration has already appealed Judge Orrick's earlier ruling.

City officials celebrated the decision as a win for local governance, while the administration signaled plans to appeal, setting the stage for further legal battles.