Abbas’ spokesman: US decisions, including decision to condition aid on cutting salaries to terrorists, are “a type of declaration of war on the Palestinian people”
Official PA daily, Al-Hayat Al-Jadida - Mar. 28, 2018

 
Headline: “Abu Rudeina: The decisions of Congress and the American administration regarding stopping the aid are a declaration of war on our people”
       “Official [PA] Presidential Spokesman Nabil Abu Rudeina said that the recent American decisions, and particularly Congress’ decision that calls to stop the direct aid to the PA (i.e., the Taylor Force Act) and add $700 million for the benefit of the Israeli occupation army (refers to omnibus spending bill allocation for US-Israeli missile defense programs –Ed.)… are a type of declaration of war on the Palestinian people and support for the policy of the occupation and aggression.
In response to the decisions, Abu Rudeina added: ‘US President [Donald] Trump’s declaration of his recognition of Jerusalem as Israel’s capital, the statement on transferring the embassy of his country to it, the removal of the topic of the refugees from the table, and the support for the settlement enterprise prove unequivocally that the US cannot be a fair mediator for peace.’ He added: ‘The fact that the US has stopped (sic., cut) the aid to UNRWA (UN Relief and Works Agency for Palestine Refugees in the Near East), threatened to stop the aid given to the PA, and conditioned it on stopping payment of the salaries to the Martyrs’ (Shahids) families and to the prisoners will only increase the determination of the Palestinian people and its adherence to the national rights.’”

The Taylor Force Act - a bill named after US citizen Taylor Force who was murdered by a Palestinian terrorist in Tel Aviv on March 8, 2016, which calls to cut almost all funding to the PA if it continues paying salaries to terrorists and allowances to families of "Martyrs." On March 23, 2018, the bill was approved by the American Congress and signed into law by US President Donald Trump.

US recognition of Jerusalem as capital of Israel - On Dec. 6, 2017, US President Donald Trump formally recognized Jerusalem as Israel’s capital and instructed the State Department to begin preparations to transfer the US embassy from Tel Aviv to Jerusalem. Trump added that the final borders of Jerusalem will be determined during negotiations.
On Feb. 23, 2018, the US State Department announced that the US embassy will open in Jerusalem on May 14, 2018. The date is the anniversary of Israel's declaration of independence in 1948 according to the Gregorian calendar.

In early January 2018, the US froze two planned payments to UNRWA (UN Relief and Works Agency for Palestine Refugees in the Near East) for more than $100 million, and the US administration spoke about the need to reexamine and conduct a reform of the UN body. This occurred after the PA refused to negotiate with Israel and cut diplomatic ties with America following US recognition of Jerusalem as Israel's capital on Dec. 6, 2017.