Both houses of the New Jersey legislature voted to codify Sanctuary Statehood on Monday night. The move could cost the Garden State dearly.
Speaking in Detroit on Tuesday, President Donald Trump announced that sanctuary cities and states across the country would no longer receive federal monies beginning on February 1, 2026. New Jersey received nearly $30 billion in federal grants in FY 2021, more than 17% of total state revenues for the same period.
“They do everything possible to protect criminals at the expense of citizens,” said Trump. “It breeds fraud and crime. No payments.”
The U.S. Department of Justice did not identify New Jersey as a sanctuary jurisdiction on its most recent list, though the DOJ did name four New Jersey cities: Newark, Jersey City, Hoboken and Paterson. New Jersey has been a de facto sanctuary state since 2018 when then-Attorney General Gurbir Grewal issued a directive prohibiting state and local law enforcement from cooperation with federal immigration authorities.
You can listen to the president’s remarks below:
🚨 BREAKING: In a MASSIVE announcement, President Trump is not making ANY PAYMENTS to sanctuary states or cities beginning Feb. 1, 2026
WOW. This is huge!
“They do everything possible to protect criminals at the expense of citizens. It breeds fraud and crime. NO PAYMENTS.” pic.twitter.com/n1VKgfrGNA
— Eric Daugherty (@EricLDaugh) January 13, 2026

