Laurie Parman, a candidate for Illinois House District 66, said the federal funding freeze shows the urgent need for stronger oversight of state spending and nonprofit programs to ensure taxpayer dollars actually reach those they are meant to help.
The Trump administration has placed a freeze on more than $10 billion in federal funding for child care and social services across the U.S., including substantial amounts allocated to Illinois, amid concerns that non-citizens fraudulently claimed some benefits. Programs affected include Temporary Assistance for Needy Families, the Child Care Development Fund, and the Social Services Block Grant, according to the New York Post.
“With regard to money going to non-profit organizations, I think it is critical to take this federal pause in order to investigate if the money is indeed going to its intended recipients,” Parman told the Kane County Reporter. “Lawmakers in the House of Representatives whom I know and trust think an investigation is warranted. Just think how much better off the intended recipients would be if they did, in fact, have all the money allotted to them.”
Federal officials formally requested detailed records from Illinois dating back to 2019 to investigate alleged misuse of social services funds, according to the New York Post. While governors in other Democratic-led states publicly condemned the freeze as political retaliation, Illinois officials had not responded at the time.
Parman emphasized protecting taxpayer funds.
“Yes, I definitely believe in protecting the hard-earned money of the taxpayers of Illinois,” she said. “We worked for that money. It is not ‘free money’. Obviously, the federal government, up to this administration, has not been prioritizing the citizens who provide the money. I personally applaud the Trump Administration for doing something about this issue.”
A Jan. 9 temporary restraining order issued by U.S. Judge Arun Subramanian of the Southern District of New York suspended the administration’s freeze on federal child care and family assistance funds benefiting low-income Illinois families, according to USA Today. The order came after Illinois, California, Colorado, Minnesota, and New York sued the U.S. Department of Health and Human Services over the funding cutoff.
A federal judge on Feb. 6 struck down the Trump administration’s $10 billion freeze on child care and family planning funding affecting five Democratic-led states, including Illinois, according to ABC7 Chicago. Judge Vernon S. Broderick of the Southern District of New York granted a preliminary injunction compelling the administration to restore the withheld funds. The administration cited fraud concerns but offered no supporting evidence. The injunction holds until the court reaches a final decision on the freeze’s legality.
The freeze comes as Minnesota’s social-services system faced massive fraud, with fake nonprofits and businesses billing the state for services never delivered. Investigators estimate losses could total $9 billion since 2018, making it one of the largest public-benefit fraud schemes in U.S. history, according to the New York Post.
Suspects allegedly established fraudulent child care fronts, falsifying records, enlisting relatives, and crossing state lines to execute the scheme. The operation has produced 92 defendants and dozens of convictions, with millions allegedly moved offshore or used for luxury purchases.
As new details emerged, including a viral video from independent journalist Nick Shirley showing nearly empty, state-subsidized childcare centers collecting millions in funds, Minnesota Gov. Tim Walz abruptly suspended his re-election campaign, according to Minnesota State Wire. Republicans cited the move as evidence of accountability failures under his leadership.
President Donald Trump commented, saying the Minnesota scandal exposed widespread mismanagement across multiple states, according to the New York Post.
“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 said on Truth Social. “NO ONE IS ABOVE THE LAW!”
Parman rasied concerns about the governor’s judgment.
“I am sorry to have to notice that our governor is either a very poor judge of character or he is knee-deep in the same fraud as Tim Walz,” she said. “I can’t think of what ‘Door #3’ could possibly be.”
Just over a year ago, Pritzker publicly praised Walz after Vice President Kamala Harris selected him as her running mate, calling him a “proven leader” and highlighting their personal relationship. Pritzker said the two “hit it off immediately,” exchanged cell phone numbers, and spoke frequently, according to ABC7 Chicago.
Parman called for a full audit of nonprofit funds in Illinois.
“The first step must be a full audit of funds given to Non-Governmental Organizations (NGOs),” she said. “Illinois has been uncooperative with the Federal Government in many instances. The Minnesota federal pause, if replicated in Illinois, could make an Illinois audit possible.”
In May 2025, Illinois House Republicans, including State Rep. Brad Halbrook (R-Shelbyville), said more than $1 billion in taxpayer money was being funneled to politically connected nonprofits. Halbrook said $14 million for the Indo-American Center was “just a drop in the bucket,” according to The Center Square.
Republicans put forward a pared-down $44 billion state budget, which was ultimately dismissed by Pritzker-aligned lawmakers in the General Assembly.
According to the Macon Reporter, Illinois House Republicans cited findings from the Illinois DOGE series showing that over $1 billion in taxpayer funds flowed to nonprofits with minimal oversight. Major recipients included the Indo-American Center ($25M), ONE Northside ($1.25M), the Illinois Hispanic Chamber of Commerce ($11.4M since 2020, including $4M in FY25), Centro de Trabajadores Unidos ($7M total), Black Researchers Collective ($700K annually), Chicago Therapy Collective ($1.5M FY24), and TMH Mancave ($750K). More than $73M went to local chambers and economic development nonprofits, while racial, ethnic, and religious NGOs collectively received $237M, often with limited transparency.
She also advocated a pause in disbursements similar to the federal freeze to ensure accountability.
“I would recommend a pause in disbursement like the federal pause,” said Parman. “This could provide the motivation to obtain records of disbursements and verify if the money is going to its intended recipients. Our taxpaying public deserves accountability for the taxes we send to Springfield. With ex-migration in the tens of thousands each year, the burden on those left behind in Illinois has increased to a breaking point.”
She added that stronger legislative oversight is needed.
“Illinois needs representatives who cannot be silenced and who will convey the inside information about what is happening in the State House,” Parman said. “This is why I am stepping up to replace my representative.”
Parman, a Republican, is challenging second-term incumbent State Rep. Suzanne Ness (D-Carpentersville) for the Illinois House of Representatives in District 66.
Illinois House District 66, located in the Chicago metropolitan area, covers parts of Kane and McHenry counties, including the cities of Crystal Lake and Elgin, several townships such as Algonquin and Dundee, and villages including Carpentersville, East Dundee, Huntley, and Lake in the Hills.
