The episode — described by sources instantly aware of the matter who spoke on situation of anonymity resulting from considerations about retaliation — highlights how Trump’s return to energy has sown worry amongst profession public servants, not simply on the federal stage, however in metropolis authorities, too.
Trump’s administration plucked the $80 million in Federal Emergency Administration Company funding out of metropolis authorities financial institution accounts on Feb. 12, claiming incorrectly the cash was being illegally spent on housing migrants in “luxury hotels.”
Adams’ workplace responded by saying it was contemplating authorized motion to recoup the FEMA money, which was allotted to offer shelter and companies for a few of the tens of 1000’s of largely Latin American migrants who’ve arrived within the metropolis since spring 2022.
With a view to file swimsuit, somebody from Adams’ Workplace of Administration and Finances wanted to signal a sworn declaration testifying to the allegedly unlawful nature of the clawback.
Jacques Jiha, Metropolis Corridor’s finances director. (Luiz C. Ribeiro for New York Each day Information)
Particularly, the sources mentioned OMB officers had been scared they’d land on the radar of Elon Musk, the billionaire whose Division of Authorities Effectivity crew first unfold the declare that the town was spending the funds on luxurious resort rooms.
Musk, who’s identified to assault critics on the X social media platform he owns, has been granted extraordinary powers by Trump to tighten the federal authorities’s purse strings, and OMB officers had been involved his DOGE operation would “dox” them in the event that they signed the declaration, the sources mentioned.
Elon Musk with President Trump. (Brandon Bell/Getty Photographs)
The sources additionally mentioned OMB staff had been uncertain whether or not Adams would defend them ought to such a situation come to move.
Adams’ relationship with Trump, which features a dedication by the mayor to not publicly criticize the president, has come below intense scrutiny within the wake of the Trump Justice Division’s effort to drop his corruption indictment with the understanding that it might come again this fall. The DOJ has written in courtroom papers a dismissal ought to allow Adams to assist facilitate the president’s agenda, together with his pledged “mass deportations” of undocumented immigrants, an uncommon caveat many say has left the mayor beholden to Trump.
Issues at OMB got here to a head on Feb. 19, when Jiha delivered an ultimatum to a senior official within the workplace: Signal the declaration, or be fired, sources aware of the alternate confirmed.
“He was afraid and didn’t want just himself but anyone else to become a target and be doxed because [DOGE] supposedly has everyone’s names now,” a supply aware of the official’s considering mentioned.
New York Metropolis Corridor. (Luiz C. Ribeiro for New York Each day Information)
The official declined to remark when reached by cellphone this week.
Adams spokeswoman Kayla Mamelak confirmed Friday {that a} “member” of OMB was advised to signal the declaration, however she didn’t touch upon the termination menace. Mamelak did say “we expect city employees to do the jobs they were hired to do.”
Finally, Jiha ended up himself signing the declaration in query, which was submitted together with the lawsuit Adams’ Regulation Division filed on behalf of the town on Feb. 21 to retrieve the $80 million. The swimsuit names Trump and different high federal officers as defendants.
Mamelak mentioned Jiha put his title on the doc as a result of he “recognized the sensitivities and concerns of signing” it.
The declaration blasts the Trump clawback as a “money grab” that violated guidelines limiting the federal authorities from reclaiming funds which have been allotted to native municipalities. The lawsuit’s pending in Manhattan Federal Courtroom, and Trump’s administration had but to file a response as of Friday.
“FEMA did not provide any notice that the funds would be taken or that any determination had been made to take the funds or any grounds for doing so,” Jiha’s declaration reads.
The $80 million confiscation, first found by Comptroller Brad Lander’s workplace, set off fears throughout the town concerning the Trump administration’s potential to dip into metropolis authorities financial institution accounts, and whether or not extra funding reversals may very well be forthcoming, particularly because the president and Musk have threatened to withhold federal cash for numerous native initiatives, together with teaching programs.
The clawback additionally got here as considerations about Adams’ management mounted amid the Trump DOJ’s controversial transfer to finish his prosecution — which is pending approval from a choose. A variety of elected leaders are calling on Adams to resign, saying he has grow to be a “hostage” to Trump’s agenda. 4 of Adams’ personal deputy mayors submitted resignations earlier this month after telling him they don’t imagine he can have solely the town’s greatest pursuits in thoughts within the face of what’s occurring together with his prison case.
The nervousness on the Workplace of Administration and Finances underscores that considerations about Adams’ independence from Trump are having critical impacts on municipal operations, argued Brooklyn Councilman Justin Brannan, who as Council Finance Committee chairman workout routines oversight of OMB.
“The mayor needs to stand up to Trump,” mentioned Brannan, who endorsed Adams’ 2021 mayoral run however has since grown disillusioned with him. “What message does it send when his top aides are afraid to sign a letter while countless public servants work hard every day to uphold our city’s values?”
Initially Printed: February 28, 2025 at 12:54 PM EST