Are Sanctuary Cities Truly at Risk?

By John Ceffalio via our partners at

Last week, President Trump signed an executive order declaring that “sanctuary cities”—and hundreds of communities fall into this category—will no longer receive federal funds “except as mandated by law.” That last phrase? Telling.

That’s because the executive order can’t actually overturn the grant programs mandated under current law.

So what are the implications for these municipal credits? Although we anticipate lawsuits and political fights over the next couple of years, the credit risk to jurisdictions known as sanctuary cities is not very significant.

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