President Donald Trump’s plan to rescind $810 million in federal funds does not permit the administration to withhold the money beyond fiscal 2026, according to the Government Accountability Office.
In a Sept. 29 letter to congressional leaders, GAO General Counsel Edda Perez said all 11 accounts in the proposal expire at the end of fiscal 2026, which is Sept. 30. President Trump sent the proposal to Congress Sept. 25.
The Impoundment Control Act of 1974 lets a president ask Congress to cancel funds it has already approved. The president can then hold that money back for 45 days of continuous congressional session while lawmakers decide. If Congress doesn’t pass a rescission bill in that time, the money must be released.
The timing is the problem. Congress’ review period won’t end until Nov. 9 at the earliest, GAO said. That is weeks after the funds expire, so the money would run out before lawmakers ever had to act on it.
“The President may not force the expiration of budget authority Congress has already enacted and did not rescind,” the GAO said.
GAO referred Becker’s to the decision when asked for comment.
HHS accounts make up about $600.2 million of the package, or roughly 74%:
- $567 million from refugee and entrant assistance at the Administration for Children and Families
- $28 million from the Agency for Healthcare Research and Quality
- $5 million from the Office of Minority Health, funded through the Office of the Secretary
The Office of Management and Budget told the affected agencies, including HHS, to hold the money and not spend it.
GAO has previously concluded that the act does not allow funds to be withheld past their expiration date, even if Congress’ review period hasn’t ended. The agency said its finding is not a position on the programs themselves. Its role is “to protect congressional prerogatives and help ensure compliance with federal law,” it said.
Becker’s contacted the White House for comment and will update this article should more information become available.
