President Donald Trump canceled $810 million in congressionally approved funding on Friday through a rare “pocket rescission,” only the second such move in 49 years, hitting immigration, education, and housing programs across seven federal agencies.
In a notice to House Speaker Mike Johnson (R-La.), Trump wrote, “In accordance with… the Congressional Budget and Impoundment Control Act of 1974, I herewith report 11 rescissions of budget authority, totaling $810 million,” the New York Post reported.
A pocket rescission involves canceling funding so close to the end of the federal fiscal year, which falls on Sept. 30, that Congress does not have enough time to complete its usual 45-day review before the funds expire. Critics argue that this timing is controversial because it could allow the executive branch to bypass a Congressional review.
Immigration, Education Programs Hit Hardest
According to the report, the reductions eliminate 11 funding pools. The largest, $567 million, ends Department of Health and Human Services (HHS) social-services grants for illegal immigrants, justified by reduced border crossings.
Other cuts target foreign academic fellowships, Department of Housing and Urban Development (HUD) housing-counseling programs and Justice Department race-relations offices, along with smaller sums from minority-business and climate-related programs.
The White House did not immediately respond to Benzinga‘s request for comment.
Legal Fight Looms
The Government Accountability Office, Congress’s nonpartisan watchdog, has ruled that pocket rescissions are illegal because they effectively deny lawmakers their constitutional review period. The Trump administration disputes that interpretation.
That legal disagreement isn’t new. Last year in September, the Supreme Court sided with Trump 6-3 in a separate case involving an approximately $4 billion foreign-aid rescission, ruling that his authority over foreign affairs outweighed the procedural objection. That precedent now looms over any potential future challenge to Friday’s action.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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