More than 20 states and the District of Columbia have filed a lawsuit against the Trump administration, seeking to prevent the federal government from accessing the personal data of millions of recipients of social service benefits. The lawsuit, filed in federal court in Washington, challenges a proposed rule that would permit the agency overseeing the Temporary Assistance for Needy Families (TANF) program to share recipients' immigration status, Social Security numbers, and other personal information with other government agencies or potentially private entities.

New York Attorney General Letitia James stated that the administration is attempting to use antipoverty programs "against the people they’re supposed to serve" instead of aiding families facing rising living costs. This legal action marks the latest dispute between states and the federal government concerning the TANF program, which, like other public assistance programs, has been subject to scrutiny by the Trump administration over concerns of potential fraud.

Earlier this year, a federal judge blocked the administration from withholding funding from TANF and other subsidy programs for several Democratic-led states, after the government cited concerns about benefits being granted to individuals unlawfully present in the U.S. A federal government attorney later indicated that this action was largely a response to news reports suggesting possible fraud.

The TANF program distributes over $16 billion annually to states, the District of Columbia, and tribal governments through grants. These funds are intended to provide local governments with broad discretion to assist low-income families through measures such as cash assistance and job training.

The states joining the lawsuit with New York and the District of Columbia include Arizona, California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, Oregon, Rhode Island, Vermont, Virginia, Washington, and Wisconsin. The governors of Kentucky and Pennsylvania have also endorsed the suit. The federal Administration for Children and Families has declined to comment.