The Trump administration has terminated roughly $32 million in grant funding to Denver earmarked for the city’s response to the illegal immigration crisis, saying such spending no longer aligns with the federal government’s enforcement priorities. 

“The Department, consistent with President Trump’s direction, is focused on advancing the essential mission of enforcing immigration laws and securing the border,” the letter from the Federal Emergency Management Agency said. 

“Consequently, grant programs that support, or have the potential to support, illegal immigration through funding illegal activities or support for illegal aliens that is not consistent with DHS’s enforcement focus do not effectuate the agency’s current priorities,” the agency said. “The individuals receiving these services often have no legal status and are in the United States unlawfully, such as those awaiting removal proceedings. This, in turn, provides support for illegal aliens and is not consistent with DHS’s current priorities.”

The funding decision by the Trump administration is but the latest in a series of actions to crack down, broadly speaking, on illegal immigration, and, in particular, on “sanctuary” cities.

Since 2023, some 43,000 immigrants — who illegally crossed the southern border with Mexico — have arrived in Denver. Early in the humanitarian crisis, Denver officials decided to assume the responsibility for the response, which has cost city taxpayers more than $80 million. City officials have estimated about half of those stayed, and others accepted city-provided bus and airplane tickets elsewhere.

In the last two years, the city has billed itself as a “welcoming” jurisdiction for the immigrants. Originally, local officials believed Denver’s draw was its relative proximity to Mexico and its status as a “sanctuary city.” But Texas officials in El Paso believe that the city’s offer of shelter and onward travel — while well intended — actually made Denver a magnet for immigrants.

Denver Mayor Mike Johnston was already on the Trump administration’s radar after vowing to repudiate the new president’s plan for a mass deportation. Earlier this year, Johnston said he is preparing the city for “all eventualities,” including losing federal funds, over his public objections to the president’s immigration plans.

In a congressional hearing in March, Johnston framed the crisis in moral terms.

“Denver faced the fundamental question,” Johnston told Congressional members. “What our community would do with a mom and two kids dropped on the streets of our city with no warm clothes, no food, and no place to stay, while maintaining public safety in the city.

 “This was not a question of immigration reform; it was a question of what was the best course forward for the people of Denver and their safety and security. It was also a question of right versus wrong.”

The canceled federal dollars was earmarked for shelter, food, transportation, acute medical care, and personal hygiene supplies for immigrants previously released by Department of Homeland Security into the United States.

Denver was awarded what’s called “shelter and services program” grants in increments of $9 million, $10.8 million and $11.7 million. Reports said the city had already spent $8 million. 

The letter from FEMA noted that it sent a notice to Denver on March 11, informing the city that it was not permitted to incur any additional costs until further notice from the federal agency.

As such, the letter said, Denver’s final federal financial report must include allowable costs incurred before March 11 — but not expenses after that date.

Depending upon a review by FEMA, Denver may or may not be required to refund the federal agency. 

“FEMA will notify you of the final allowable costs for the awards and, if the payments made exceed the final allowable costs, you will need to promptly refund the difference,” the agency said. “If, on the other hand, FEMA determines that the total allowable costs exceed the amount paid to date, then FEMA will make a final payment for that difference.”