Mrs. Trump's spokeswoman, Stephanie Grisham, confirmed Tuesday to the Associated Press that the first lady's office has "severed the gratuitous services contract" it had with Wolkoff, a New York-based event planner and longtime friend of FLOTUS.
As she closed her speech, Mrs. Trump told members of her audience that the East Wing would reach out in the near future "as we travel the country and work to promote and fight for the well-being of our children".
Winston Wolkoff, who incorporated her firm just weeks before the inauguration, was tapped by the head of the committee, Thomas J. Barrack Jr., himself a friend of the president for years.
In a statement to the Times, Ms Winston Wolkoff defended her work on the inauguration and pushed back at the idea that her contract was ended in response to recent headlines.
She told the Times on Monday that most of the $26 million was paid to subcontractors, and that the $1.62 million was divided among 15 employees.
But what does First Lady Melania Trump, who has declared children as her official agenda, think about all this?
"I expect to remain a trusted source for advice and support on an informal basis", she wrote.
Melania Trump's encouragement of the teen activists who survived the Florida shooting might also be seen as a response to a young woman who tweeted at her over the weekend, saying the Trump family has made things "worse" in the wake of the shooting.
The first lady, who will formally announce her platform in the coming months, also briefly spoke Monday about issues affecting children such as cyberbullying and the opioid epidemic, which is expected to be central to her platform.
Last week, Grisham said Melania Trump "had no involvement" in planning the inauguration and had "no knowledge of how funds were spent". Monn also worked on the gala, which embodies an exclusive vibe that is in many ways incongruous with the messaging to blue-collar voters that Donald Trump projected during the 2016 presidential campaign.
Melania Trump had introduced Winston Wolkoff to Barrack, according to a person familiar with the connection. He'd promised the committee would be frugal for a "workmanlike" inauguration, donating leftover cash to charity. President Trump didn't respond to the comment.