The funding was clawed back as New York City denies allegations by tech billionaire Elon Musk the money was going toward “luxury” hotel lodging for migrants.

The $80 million in funding was clawed back after the Trump administration claimed the money was being used to house migrants in “luxury hotels.”

The federal government has clawed back $80 million in funding allocated to help New York City house and care for migrants, marking the latest clash between the Trump administration’s cost-cutting efforts and state and city officials.