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No Halo News · Sourced development

Catholic Charities of the Rio Grande Valley leader says federal funding ban was lifted

Sister Norma Pimentel told The Texas Tribune that the federal government lifted a six-year funding ban imposed after a Department of Homeland Security audit alleged major grant violations. Pimentel said the charity can again bid for and receive federal grants. DHS did not confirm the change in the consulted reporting.

Status matters. This page records a sourced development, not a completed No Halo investigation. An allegation is not a finding. Dismissals, settlements, judgments, corrections and final outcomes remain distinct.

Donor relevance

Why this matters

Restored eligibility for federal grants would materially change the charity's funding outlook after a reported six-year exclusion. Donors should distinguish the reported lifting of the ban from a formal withdrawal of the earlier audit findings, which was not documented in the consulted material.

Attribution

Who reported or established this

The reinstatement was reported by The Texas Tribune based on statements from Sister Norma Pimentel, the charity's executive director.

Evidence limits

What remains unverified

No Halo has not established the effective date or written terms of the reinstatement, whether DHS formally withdrew any audit findings, or whether new compliance conditions apply. DHS did not respond to the newspaper's questions.

Right of reply

Organization response

Pimentel said charity representatives and lawyers met with federal officials to address the accusations and that the organization is again permitted to bid for and receive federal grants. The charity previously said it used the funds to serve migrants released by U.S. Customs and Border Protection.

Classification

How No Halo records this event

Event type: Reinstatement. Current state: Reported. No Halo preserves the current procedural state rather than treating every mention as a finding.

Published September 26, 2026 · Last verified September 30, 2026. See an error or a later outcome? Submit a correction or right of reply.