President Donald Trump’s administration announced a significant $1 billion cut in government spending through a “pocket rescission,” targeting what he considers “the most harmful government spending.” The reductions include $567 million from Health and Human Services (HHS) funds allocated for noncitizens, $15 million from Department of Homeland Security programs established under former President Joe Biden aimed at supporting “illegal aliens,” and $25 million in educational programs for noncitizens, among other cuts across various programs and agencies.
Republican Senator Susan Collins of Maine strongly criticized this action by the Office of Management and Budget (OMB). She stated, “Without warning or consultation, Congress just received an $810 million package of pocket rescissions from the Administration. This is the most recent attempt by this Office of Management and Budget (OMB) to undermine Congress’s Constitutional power of the purse.” Collins argues that the OMB had withheld these funds intentionally for months to execute what she describes as an unlawful cancellation of appropriations approved on a bipartisan basis and signed into law.
Collins further emphasized that the OMB does not have the authority to decide which programs should receive funding, labeling the actions “illegal.” According to her, the independent Government Accountability Office concluded that pocket rescissions violate the Impoundment Control Act. She vows to work with colleagues to counter these illegal actions.
What Is a Pocket Rescission?
The U.S. Government Accountability Office (GAO) explains that a pocket rescission occurs when a president requests Congress to cancel funding close to the fiscal year’s end, before the funds can be appropriated for new obligations. This maneuver circumvents Congress’ power by not allowing them 45 days to respond. The fiscal year ends on September 30.
The GAO asserts that pocket rescissions are illegal and highlights that Congress holds the power of the purse, approving budgets and appropriating funds. The president and executive agencies are responsible for administering those funds.
In its announcement, the administration promoted Trump’s use of rescissions, citing “long-neglected Presidential authorities” under the Impoundment Control Act. It noted a similar action last year, marking the first use of pocket rescissions by a president in nearly 50 years.
Lawmakers Criticize Rescission
Senator Patty Murray, a Washington Democrat, described the move as a “theft from the American people, plain and simple.” She argued these funds were delivered on a bipartisan basis and should serve the people, rather than being cut off for other interests.
Senator Jeff Merkley, an Oregon Democrat, also condemned the rescission as illegal, claiming that Congress, not the president, decides program designs and funding levels. Connecticut Democratic Senator Chris Murphy criticized Senate Republicans for repeated failures to stop Trump’s alleged illegal seizure of taxpayer money.
The OMB responded on social media, stating, “Wasteful funding? Rescinded. We will use every fiscal tool at our disposal to deliver savings for the American people.”
Details of the Pocket Rescission
The administration announced cuts, including $15 million by eliminating the Department of Justice’s Community Relations Service and $9 million from debt relief to countries funding climate change policies. It also plans to cut another $28 million from “overfunded and unaligned” HHS research programs and $5 million from the HHS Office of Minority Health.
The U.S. Department of Housing and Urban Development’s counseling support for NGOs “Peddling DEI and Discriminating Based on Race” faces a $56 million cut. Additionally, $10 million from FY 2026 was rescinded from the Minority Business Development Agency. Furthermore, $70 million designated for “Woke” international education and $10 million for programs purportedly aiding alien entry are also slashed.
This story was aided by Newsweek’s AI assistant, Martyn. Learn more about Martyn and contact Newsweek editors: Edward T. Cummins.