Transcript of Healthcare Subsides Expire, Trump and Minnesota, Mamdani Takes Office In NYC

Hey, Michelle, it feels like 2026.

Really? It feels like the continuation of a long 2025. But happy New Year to you.

You too. You too, Michelle. Now, very quick, before we start the show, we want to say a big thanks to everyone who donated during NPR's end-of-year fundraising campaign.

Yes, and thank you also to our NPR+ supporters.

Yeah, public radio is yours. And thanks to you, we're starting the New Year strong, even as the NPR Network enters its first full year without federal funding for public media.

Thank you again for your continued support moving into 2026 and beyond. 2025 is gone, and so are pandemic era subsidies for people who rely on the Affordable Care Act.

That means higher monthly bills for millions of people and tough choices about health insurance coverage.

I'm Michelle Martin. That's A. Martinez, and this is Up First from NPR News. The Trump administration froze federal childcare funding after a right-wing influencer went viral accusing Somali-run daycares of fraud. Providers are warning the impact could be immediate.

Many of the families at my center are one paycheck away from becoming homeless. I'm not exaggerating.

What are the politics behind the White House move?

And New York City has a new mayor, Zoran Mamdani, was sworn in just after midnight in a historic subway station. What's next on his agenda? Stay with us. We'll give you the news you need to start your day.

This message comes from Wise, the app for international people using money around the globe. You can send, spend, and receive in up to 40 currencies with only a few simple taps. Be smart. Get Wise. Download the WISE app today or visit wise. Com. T's and C's apply. This message comes from Subaru. The all-new 2026 Subaru Outback features bold new styling plus standard symmetrical all-wheel drive. And an available 260 horsepower turbo-charged Subaru boxer engine for confident performance wherever the trail may lead. Standard X mode with hill descent control offers greater ability to optimize traction in almost any condition. Discover the all-new Outback at subaru. Com/outback. Support for NPR comes from NPR member stations and Eric and Wendy Schmidt through the Schmidt Family Foundation, working to restore a balanced relationship between people and planet. The Schmidt Family Foundation is part of the philanthropic organizations and initiatives created and funded by Eric and Wendy Schmidt to work toward a healthy, resilient, secure world for all. On the web at theschmitt. Org.

Health insurance is way more expensive this year for millions of Americans who purchase coverage through the Affordable Care Act.

Many people get government subsidies to help pay their monthly premium for that insurance. During the COVID pandemic, CREMEC, Congress created additional subsidies to help keep coverage affordable. But those additional subsidies expired last night, and now consumers face a hard choice. On average, premiums for those marketplace plans are more than twice as high compared to 2025.

Health reporter, Sarah Bowden, joins us now to discuss what comes next. So, Sarah, higher premiums. What's enrollment looking like so far?

Yeah. So preliminary data from December show that enrollment is down a bit compared to last December. But Overall, it is higher than expected. I spoke with Cynthia Cox at the Health Policy Think Tank KFF, and she says that all of us need to realize that these numbers will probably change.

This is like the difference between putting groceries in your shopping cart and actually purchasing them. So you don't actually own those groceries until you paid for them. The same thing with health insurance. You can sign up, you can pick a plan, but until you pay for it, it's not your health plan.

So what she's watching for is how many people will keep their coverage. And a lot of people were automatically reenrolled in the same policy, but now have a higher premium, but they might not know that yet. So sticker shock is coming. It's estimated that 4. 8 million people will drop their coverage because they can't pay for it.

Yeah, and health care costs are a big political issue right now. I mean, it is an election year after all. So I mean, is there any chance that this could change?

You know, there is some discussion between Democrats and moderate Republicans to extend the subsidies. If they did, they could make them retroactive. But many Republicans won't vote for it without getting something in return. For example, Republicans have suggested that people should set up health savings accounts to save up for emergencies. Others said they'd potentially support extending the subsidies in exchange for new restrictions on abortion. But these ideas have not gotten very far at all. Even if a compromise got through the House, the Senate would be tougher. Yeah.

Looking at the numbers, Sarah, 24 million Americans get their plans through the marketplace. I mean, so what are their options if they can't afford the new premium but don't want to be uninsured?

The first step, if you haven't already, is go and see exactly how much you're set up to pay this year, because if you don't like that number, you probably still have time to switch policies. In most states, the final deadline to sign up for a plan for 2026 is January 15. That coverage would start in February. I've spoken with people who have chosen plans with lower premiums, but higher out-of-pocket costs. So for instance, a deductible of seven or $8,000.

Man, that's a big ouch. That'll hurt.

It's a lot of money, but it can be an okay option for people who are healthy and don't go to the doctor too much. It's a gamble.

Yeah, absolutely. That's our health reporter, Sarah Bowden. Sarah, thank you very much for joining us.

Thanks for having me.

The US Department of Health and Human Services says it's freezing federal funding meant to help low-income families pay for childcare.

The move comes just days after the Trump administration singled out Minnesota following a video from a conservative influencer going viral. The influencer claimed without evidence that daycare centers operated by Somali residents in Minneapolis had committed up to $100 million in fraud.

Minnesota Public Radio's Clay Masters joins us now from Saint Paul. Clay, back in the Biden administration, federal prosecutors launched a major fraud cases against mostly Somali American defendants, and there are state investigations as well. So what's new with what's going on now?

Yeah, I mean, We've been covering those criminal cases, not just about daycare facilities, but also fraud tied to Medicaid, cases that have led to convictions. But this latest move from the Trump administration started over the Christmas holiday when an online influencer with ties to the MAGA world alleged that several daycare centers run by Somali immigrants were taking public money without providing care. The man can be seen going up to various centers, knocking on doors, and asking to see the children that go to the daycare centers. It was posted on the social media site X and then reposted by the likes of Vice President J. D. Vance, SpaceX and Tesla CEO Elon Musk. It also comes following racist comments from President Donald Trump accusing Somali communities here in Minnesota of widespread fraud. He called them, Garbage, and talked about deporting Congresswoman Ilhan Omar, who is a US citizen. Immigration and Customs Enforcement has already ramped up its presence in the Twin Cities through the month of December as well.

Now, the Trump administration's response was to a withhold childcare funding in all states for some people. So what does that mean?

I mean, it could be really bad news for families with kids. This applies to the Childcare and Development Fund, which provides monthly childcare subsidies to low-income families. Nationwide, approximately 1. 4 million children and over 857,000 families per month received childcare assistance in 2019. Now, 2019, that's the latest information on the government website. In Minnesota, where I am, 23,000 children use the Childcare Assistance Program each month. Here's Maria Snyder, a Saint Paul child care director, at a press conference yesterday.

Many of the families at my center are one paycheck away from becoming homeless. I'm not exaggerating. If childcare assistance is turned off, children can't come to care.

A spokesman for Health and Human Services says the agency could unfreeze funding after state agencies provide certain administrative data. The Deputy Secretary said that could include receipts and photo evidence. Meanwhile, Minnesota attorney general, Keith Ellison, says his office is exploring all legal options to ensure that critical childcare services do not get abruptly slashed based on what he calls pretext and grandstanding.

Okay. Minnesota Governor Tim Walls is the former Democratic vice presidential candidate. How does he fit into all this?

Well, yeah, I mean, this is all definitely political, too. Governor Walls announced he's running for a third term this new year, and this is the issue he is likely most vulnerable on. He has a lot of Republican challengers, including Minnesota's Republican Speaker of the House, Lisa Damoth. Damoth told reporters this week that her house caucus steered the YouTuber to the daycare sites in Minnesota. In a statement after the child care funding freeze, a spokesman for Governor Wall said, He's been combating fraud for years while the President has been letting fraudsters out of jail. The statement goes on to say, Fraud is a serious issue, but this is a transparent attempt to politicize the issue to hurt Minnesotans and defund government programs that help people. I don't expect this to quiet down anytime soon here in Minnesota in this election year where Republicans think they have a shot at the state's top job. In fact, next week, the Republican-led House Committee on Oversight and Government will hear from Republican state lawmakers here, and they have invited Governor Walls and attorney general Ellison to attend as well.

That's Clay Masters of Minnesota Public Radio. Thanks, Clay.

My pleasure.

New York City has a new mayor.

Just after midnight, Zorn Mamdani was formally sworn in at a small private ceremony held underground at a historic subway station. New York State Attorney General LaTisha James conducted the oath. Help me God.

So help me God. Congratulations, Mr. Mayor.

This was just the first event for Mamdani's historic inauguration. Members station Wnyc's Bridget Bergen will be covering the events later today, joins us now with a preview. So, okay, public inauguration this afternoon. And really, he was one of the biggest stories in 2025. But for people that are just catching up, tell us about Zoran Mamdani.

Yeah, you're right. It's a story historic day. But at 34 years old, Mamdani is the youngest mayor of New York City, really in the modern era. He's the first Muslim mayor. He's an immigrant Newyorker. His parents are both from India, but he spent the early part of his childhood in Uganda before his family moved to New York City. Really, politically, Mamdani represents a shift from his predecessor, Eric Adams, who was a far more conservative Democrat.

Yeah, let's get into that shift because Mamdani is not just a Democrat, he's a democratic socialist. How might affect his priorities.

So Mamdani is a member of the Democratic Socialists of America or DSA. He calls the group his Political Home. It's a membership organization with chapters across the country. It's not a political party. It helped inform his campaign platform, things like making busses fast and free and providing universal childcare. The group also helped him recruit thousands of volunteers for his winning campaign. Among those he defeated was outgoing Mayor Adams, who is leaving office under a bit of a cloud. He faced federal corruption charges that were dismissed at the direction of President Trump's Justice Department earlier this year. Mamdani has included some of the most prominent national figures with ties to the DSA in today's ceremony, Representative Alexander Ocasio-Cortez will deliver opening remarks, and then Vermont Senator Bernie Sanders will conduct the public swearing in.

So DSA All-stars, essentially, right? Yeah. That's right. Yeah. He was known for cultivating really enormous grassroots support for his campaign. So can any New Yorker just show up at today's event?

Well, there will be several thousand people at a ticketed event outside City Hall, which for anyone who's visited New York, sits just on the Manhattan side of the Brooklyn Bridge. But there also is going to be this huge block party with tens of thousands more people that's going to span several blocks along Broadway, where people will be able to watch a live feed of the ceremony and really be part of the celebration. It's going to be on a part of the street known as the Canyon of Heroes, where you might see a ticker tape parade, like when the New York Liberty became WNBA champions in 2024. Space is still limited, though, so people needed to RSVP to get into that area. Really, no matter where you're watching, if you're going to be outside, it's going to be time to bundle up. The actual temperature will be about 26 degrees at the time of the ceremony, but with the wind, it's going to feel like about 12.

That's why I live in Los Angeles. Good Good luck staying warm out there. That was Wnyy C's Bridget Birgand in New York. Thanks a lot.

Thank you.

That's up first for Thursday, January first. Happy New Year. I'm E. Martinez.

I'm Michelle Martin. Up first gets you caught up, and Morning Edition takes you deeper. We are live every morning on your local NPR station with reporting, interviews, and the context behind the headlines. If you want to listen in the afternoon, you can do that, too. Download the NPR app and listen anytime. There's so many options to get you the news you need to start your day.

Today's episode of Up First was edited by Kari Fible, Sheryl Corley, Andrea Deleon, Mohamed El Mardisi, and Alice Wolfley. It was produced by Zia Budge, Katie Klein, and Christopher Thomas. We get engineering support from Stacey Abbott, our Technical Director is David Greenberg. Our Deputy Executive Producer is Kelly Dicken. Join us again tomorrow.

This message comes from Wise, the app for international people using money around the globe. You can send spend, spend, and receive in up to 40 currencies with only a few simple tabs. Be smart. Get WISE. Download the WISE app today or visit wise. Com. T's and C's apply.

Are you thinking about making any changes in the new year? The Life Kit podcast is here to help. In each episode, we have research-backed strategies and expert advice on everything from meal prep to strengthening relationships to paying down your credit card debt. Make your resolution stick. Listen to The Life Kit podcast on the NPR app or wherever you get your podcast.

As we say goodbye to 2025, our reporters are looking back at some of the most memorable international stories they in the last year. From a city in Africa emerging from war to resilient Indian turtles, liberated refugees to defiant Austrian nuns, global favorites from the last year. Listen to State of the World on the NPR app or wherever you get your podcasts. As we say goodbye to 2025, our reporters are looking back at some of the most memorable international stories they covered in the last year. From a city in Africa emerging from war to resilient Indian turtles, liberated refugees to defiant Austrian nuns. Global favorites from the last year. Listen to State of the World on the NPR app or wherever you get your podcasts.