Lawmakers are pushing back against the Trump administration's use of "pocket rescissions" to cut funding, with some federal judges also ruling against the administration's actions. The White House has not ruled out using such fiscal tools again.
The ongoing dispute over "pocket rescissions" highlights a fundamental conflict between the executive and legislative branches over control of federal spending, potentially impacting the implementation of government programs and the balance of power in Washington.
Lawmakers are increasingly vocal in their opposition to the Trump administration's use of "pocket rescissions" and other tactics to cut federal funding, with some federal judges also ruling against the administration's actions. The Office of Management and Budget has not provided assurances that new rescissions will not occur in the coming weeks, with a new pick for deputy director at the agency, Hal Duncan, telling lawmakers that no "fiscal tools" are being ruled out.
House Appropriations Chair Tom Cole stated that White House officials have not guaranteed they will not deploy the tactic again this year, and his reaction would depend on the nature of any funding eliminated. Meanwhile, federal judges across the country are weighing in on the legality of the administration's spending decisions. Last month, one federal judge declared that the administration cannot cancel grants based on new rules or goals established after the fact. In a separate case, the Trump administration admitted to canceling $7.6 billion "based solely on the political identity of the grant recipient’s state." Another federal judge halted changes to teen-pregnancy prevention grants, finding it unlawful to impose conditions not intended by Congress or that are unreasonable.
The Supreme Court has yet to issue a definitive ruling on the president's spending tactics. Many Democrats on Capitol Hill argue that Republicans should not rely on the courts to defend Congress's constitutional authority over funding. Republican leaders have largely resisted Democratic calls to reverse specific grant cancellations, nullify past rescissions, or prevent future end-runs around Congress by barring rescission requests in the final months of the fiscal year. Representative Debbie Wasserman Schultz questioned when Republican colleagues would assert legislative authority, while Senator Brian Schatz expressed a belief in a bipartisan desire to return to the constitutional framework where Congress determines spending.