Trump Administration Cancels Nearly $1 Billion in Congressional Spending

President Donald Trump announced on September 26, 2026, that he is canceling nearly $1 billion in spending approved by Congress, utilizing a rare power to rescind funding for immigrant services and diversity-focused initiatives. The Office of Management and Budget described the cuts as targeting "the most harmful government spending." The majority of the cuts affect Health and Human Services programs for refugees and unaccompanied minors, with the administration citing a decrease in illegal border crossings as justification. Other programs affected include a Department of Education initiative for migrant students, a Department of Justice office aimed at reducing racial tensions, a business development program for minority entrepreneurs, and various grants from Health and Human Services labeled as "outright harmful and blatantly ideological." A White House press release indicated that some organizations involved are led by individuals who previously worked in the administration of Democratic President Barack Obama. Senator Susan Collins, a Republican from Maine and chair of the Senate Appropriations Committee, condemned the cuts, stating they were made without warning or consultation and represent a usurpation of Congress's appropriations powers. Collins noted that the Office of Management and Budget (OMB) does not have the authority to decide which programs should receive funding. Under federal law, Congress has 45 days to review proposed spending cuts, but Trump announced these cuts with only five days remaining in the fiscal year, complicating Congress's ability to respond. The Government Accountability Office has indicated that this maneuver, known as a "pocket rescission," is illegal. Collins characterized the action as an attempt to undermine Congress's constitutional power over appropriations. Last year, Trump used a pocket rescission to block $4.9 billion in foreign aid, a move upheld by the U.S. Supreme Court. This year, the focus is on domestic spending. Senator Patty Murray, the lead Democrat on the Senate Appropriations Committee, described the cuts as "theft from the American people," emphasizing that the funds were intended to assist citizens. Murray criticized the administration for prioritizing self-promotion over investment in families and noted that Democrats have sought to prevent such actions in recent spending negotiations, but Republicans have resisted these efforts. The White House also announced rescissions of $70 million for international education programs, $28 million for Health and Human Services research, $9 million in debt relief for foreign countries funding climate change policies, and $10 million from a minority business development program.