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GAO reasserts pocket rescissions’ illegality after Trump uses tactic to cancel nearly $1B

GAO reasserts pocket rescissions’ illegality after Trump uses tactic to cancel nearly $1B

Summary

The U.S. Government Accountability Office (GAO) stated that President Trump’s action to cancel $810 million in federal funding using a method called "pocket rescission" was not legal. The GAO said this violates a law from 1974 that controls how the president can delay or cancel spending approved by Congress.

Key Facts

  • President Trump used a "pocket rescission" to try to cancel $810 million in federal government funding.
  • The GAO, a government watchdog group, said this action was illegal.
  • The issue relates to the Impoundment Control Act of 1974, which sets rules for how presidents can control federal spending.
  • The GAO’s lead attorney, Edda Emmanuelli Perez, wrote a letter explaining why the cancellation was against the law.
  • The law requires that the president submit rescission proposals to Congress and wait for their approval to cancel funds.
  • "Pocket rescission" means canceling funds without Congress’s approval by using a timing rule.
  • The GAO reaffirmed that this method cannot be used to bypass Congress’s power of the purse.
  • This situation involves federal budgeting and government spending rules.
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