Trump Cancels $810 Million in Federal Funding, Drawing Bipartisan Congressional Backlash

President Donald Trump moved to cancel $810 million in bipartisan, congressionally approved funding through a rarely used “pocket rescission,” targeting programs across multiple agencies, including immigrant and refugee services, education, minority-business development, housing counseling and overseas climate initiatives. The administration says the cuts eliminate wasteful spending that does not benefit American citizens. Critics say acting days before the Sept. 30 fiscal-year deadline prevents Congress from exercising its statutory review period and violates its constitutional control over spending; Senate Appropriations Committee Chair Susan Collins called the move unlawful and said she would work with colleagues to challenge it, while lawmakers from both parties have criticized the action. The dispute echoes a previous attempt to use pocket rescissions to withhold foreign aid, which the Supreme Court allowed to proceed while litigation continued.
The largest single reduction is $567 million in HHS social-services grants for undocumented immigrants; the administration justified the cut by citing reduced border crossings.
The package includes $15 million in DHS funding for legal, mental-health and cultural-orientation services for undocumented immigrants, asylum seekers and other non-citizens, plus another $10 million for programs providing legal services and help navigating the immigration system.
The House was not scheduled to return until after the November midterm elections, even though the fiscal year was due to end on Sept. 30—leaving lawmakers with little opportunity to respond before the funds expired.
Susan Collins alleged that the Office of Management and Budget had intentionally withheld the funds for months, calling the delay an unreported impoundment as well as an infringement on Congress’s appropriations authority.
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