The White House announced on September 25, 2026, that it plans to cut $810 million in bipartisan, congressionally approved funding, which has drawn criticism from lawmakers across both parties. The executive branch intends to return the funds to Congress using pocket rescissions, a budgetary tactic previously employed by the Trump administration to negate congressionally allocated spending. The funding cuts will impact several programs and agencies that serve immigrants, minority groups, and Department of Health and Human Services research programs.
The administration contends that while the law allows Congress a 45-day period to accept or reject a decision to withhold funds, this protocol cannot be followed if the action occurs less than 45 days before the end of the fiscal year. This argument has faced legal challenges and criticism from both Republican and Democratic lawmakers. The fiscal year concludes on September 30, 2026, with the House not scheduled to reconvene until after the midterm elections in November.
In a statement, the White House described the rejected funding as 'the most harmful government spending.' The statement emphasized President Trump's commitment to eliminating wasteful government expenditures that do not benefit American citizens.
Senate Appropriations Committee Chair Susan Collins, R-Maine, labeled the administration's action as 'unlawful' and expressed her intention to collaborate with colleagues to address what she termed illegal actions. She stated that the Office of Management and Budget (OMB) had intentionally withheld these funds for months to execute this unlawful cancellation of appropriations that were approved on a bipartisan basis.
Senator Patty Murray, D-Wash., vice chair of the Appropriations Committee, referred to the move as 'theft from the American people' and criticized OMB Director Russ Vought, asserting that his actions suggest Congress's votes are disregarded. Senate Minority Leader Chuck Schumer, D-N.Y., also condemned the tactic, stating that the Trump administration is illegally stripping nearly $1 billion in critical funding that supports various sectors, including education and health research.
The White House provided a list of programs affected by the funding cuts, which included support for NGOs serving immigrants and refugees, housing counseling, and funding for foreign students and faculty at U.S. academic institutions. The administration also rejected funding for the Community Relations Services, a subagency of the Justice Department, and programs aimed at climate change and minority business support.
Last year, the Trump administration utilized the same tactic to announce $4.9 billion in cuts, including significant reductions to USAID and other foreign aid programs. These cuts were challenged in court, but the Supreme Court ruled in favor of the administration in September 2025. Congress had previously approved a rescissions package in July 2025 that eliminated $9 billion for foreign aid and other funding.
The Government Accountability Office, a nonpartisan federal agency, previously stated that pocket rescissions are illegal, suggesting that such actions could allow a president to bypass Congress's authority over budgetary matters. The Trump administration has cited the Impoundment Control Act of 1974, which was designed to regulate presidential budget control, as justification for its actions. Despite the ongoing controversy, the White House reiterated its support for the president's use of pocket rescissions.