The Trump administration announced late on September 25, 2026 that it is cancelling roughly $810 million in federal spending that Congress had already approved -- using a rarely-invoked budget maneuver known as a "pocket rescission."
The single largest piece, $567 million, funds Department of Health and Human Services programs that support refugees, asylees and other non-citizens. Other affected money includes roughly $50 million for immigrant-assistance programs, $70 million in international education grants and fellowships, and $56 million in Housing and Urban Development programs, according to CBS News.
What a "pocket rescission" actually is
Under the Impoundment Control Act, a president can formally propose that Congress rescind money it has already appropriated, which triggers a 45-legislative-day review window. A "pocket rescission" is what happens when that proposal is submitted so close to the end of the fiscal year -- which closes September 30 -- that the 45 days cannot run before the funds expire on their own. The practical effect is that the money gets blocked without Congress ever taking an up-or-down vote on it.
"A clear violation of the law"
Senate Appropriations Committee Chair Susan Collins (R-Maine) said, "Any effort to rescind appropriated funds without congressional approval is a clear violation of the law." Collins also pointed to the Government Accountability Office, which has separately concluded that pocket rescissions are not permitted under the Impoundment Control Act.
Rep. Rosa DeLauro (D-Conn.), the top Democrat on the House Appropriations Committee, criticized the move as an attempt to "steal more money promised to communities."
The administration's response
The White House said in a statement that "President Trump is committed to utilizing all possible tools to cut wasteful and harmful government spending that does not benefit American citizens." Office of Management and Budget Director Russell Vought has pointed to a 1970s Government Accountability Office letter to argue the maneuver has legal precedent.
Not the first time
This is the second pocket rescission of Trump's current term. The first, in 2025, cancelled $4.9 billion in foreign aid and was the first use of the maneuver since the Carter administration in 1977. The Supreme Court allowed that 2025 cancellation to proceed, citing the president's authority over foreign relations -- without ruling on whether pocket rescissions are legal in general. That broader legal question remains unresolved, and is now being raised again over this new round of cuts.
