Trump slashes funding for blue state projects as shutdown clash escalates

Published October 1, 2025 8:35pm ET



The Trump administration has targeted billions of dollars worth of federal funding allotted for blue state projects less than 24 hours after government funding lapsed, ratcheting up the pressure in a shutdown fight with Democrats on Capitol Hill.

White House budget director Russell Vought announced Wednesday that nearly $8 billion in energy funding in 16 Democratic-led states, including California and New York, was being cancelled, though he did not specify which programs would be affected.

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