The Trump administration has initiated a review into organisations providing temporary housing and aid to migrants, raising concerns that federal grants may have been misused in violation of US smuggling laws.
The Federal Emergency Management Agency (FEMA), which funds migrant support services, is now demanding detailed records from grant recipients, including names and contact details of migrants served, as well as specific descriptions of the services provided.
Federal grants under scrutiny
In a letter dated Tuesday, obtained by The Associated Press, Cameron Hamilton, acting administrator of FEMA, stated that the Department of Homeland Security (DHS) has “significant concerns” about how federal funds were allocated to address the surge in migration under former President Joe Biden.
“Funding will be withheld during the review,” Hamilton warned in the letter.
While the letter does not explicitly threaten criminal prosecution, it references US Criminal Code Section 1324, a felony offence that prohibits the illegal transportation or harbouring of undocumented migrants.
Furthermore, FEMA is requiring executive officers from the recipient organisations to sign sworn statements confirming they have no knowledge or suspicions of anyone within their organisation violating the smuggling law.
FEMA did not immediately respond to media requests for comment late Wednesday.
Impact on aid organisations
This latest move is seen as a new crackdown on organisations that provide essential support to migrants, including food, housing, and transportation assistance.
Many migrants arriving in the US are often exhausted, financially strained, and unfamiliar with the systems in place to help them navigate their journey to family members or sponsors.
Some aid groups now fear they could lose funding or face legal consequences simply for helping migrants find shelter or reach their destinations.
Political battle over immigration aid
The review comes amid ongoing tensions over immigration policy, particularly between the federal government and Republican-led states such as Texas.
Texas Governor Greg Abbott, a strong ally of Donald Trump, had previously attempted legal action against migrant aid groups, arguing they were facilitating illegal immigration. However, his efforts were blocked in court.
Now, the Trump administration’s move appears to be a federal extension of the same crackdown, targeting state and local governments that have received funding under FEMA’s Shelter and Services Program.
Millions in funding at risk
For the 2024 fiscal year, FEMA’s Shelter and Services Program allocated $641 million to various state and local governments and aid organisations.
Among the major recipients of these funds were:
- New York City
- Philadelphia
- Chicago
- Denver
- The United Way of Miami
- San Antonio Food Bank
- Catholic Charities (various branches)
It remains unclear whether any government agencies have also received similar letters demanding compliance with the review.
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Legal concerns over federal enforcement
The Trump administration has been highly critical of states and cities that limit cooperation with federal immigration authorities.
Just last month, the federal government sued the city of Chicago, arguing that its policies interfered with federal immigration enforcement.
Now, this FEMA funding review raises new questions about whether the administration is using financial pressure as a tool to target migrant-friendly cities and organisations.
Legal experts warn that the threat of withheld funding could discourage humanitarian aid, leaving thousands of migrants without essential support.
What happens next?
The affected organisations now have 30 days to submit the requested information to FEMA.
Aid groups are expected to challenge the legality of the review, arguing that their work is humanitarian and does not violate smuggling laws.
Meanwhile, immigration advocates fear that this federal crackdown could leave migrants stranded, increase homelessness, and put additional pressure on already overwhelmed local shelters.
With the 2024 US presidential election approaching, immigration remains a hotly debated issue, and the FEMA review is likely to fuel further political clashes over the country’s approach to border security and humanitarian aid.
