President Donald Trump has moved to cancel nearly $1 billion in funding approved by Congress through a “pocket rescission,” which allows him to bypass congressional approval, the White House stated on Sept. 25.
The funding targeted for cancellation includes money for immigration programs serving refugees and asylees, as well as an Education Department program for immigrant students and Department of Homeland Security programs that provide legal and mental health services to illegal immigrants, among others.
Trump also sought to cut funding appropriated in fiscal year 2026 for Minority Business Development Agency programs that direct grants to minority-owned businesses, as well as research programs run by the Department of Health and Human Services, according to the White House.
“President Trump is committed to utilizing all possible tools to cut wasteful and harmful government spending that does not benefit American citizens,” the White House said in a statement.
The White House stated that Trump rescinded the funding through a pocket rescission, a process in which the president asks Congress to rescind the funds so close to the end of the fiscal year that they would expire before Congress could respond.
Under the Impoundment Control Act of 1974, the government must make a rescission request to Congress, which then has 45 days to approve the cancellation of appropriated funds. However, a “pocket rescission” refers to such requests made within 45 days of the end of the fiscal year. In these cases, the funds are withheld during the 45-day congressional review period, and if Congress doesn’t act before the fiscal year ends, the funds expire.
In August 2025, Trump used the same maneuver to cancel $4.9 billion in appropriated funds for foreign aid spending.
Sen. Susan Collins (R-Maine) said on Sept. 25 that Congress had received an $810 million package of pocket rescissions ”without warning or consultation” from the Trump administration. She said the move undermined Congress’s appropriations authority.
“This move shows that OMB intentionally withheld these funds for months to execute this unlawful cancellation of appropriations that were approved on a bipartisan basis and signed into law,” Collins said in a post on X, referring to the Office of Management and Budget (OMB).
Collins said the OMB is part of the executive branch and therefore lacks the authority to decide which funds approved by Congress should be rescinded.
“Any effort to rescind appropriated funds without congressional approval is a clear violation of the law. I will work with my colleagues to address these illegal actions,” she said.
The Epoch Times reached out to the OMB for comment and did not receive a response by publication time.
Arjun Singh contributed to this report.
