President Donald Trump has decided not to spend $4.9 billion in approved foreign aid, using a tactic known as “pocket recission” for the first time in 50 years. This strategy involves submitting a request to Congress near the end of the fiscal year to withhold allocated funds, preventing Congress from acting within the 45-day timeframe, resulting in the unspent money. The fiscal year concludes at the end of September.
The Trump administration argues that this approach is legally permissible, citing the last instance of pocket recission by then-President Jimmy Carter in 1977. If this method becomes standard practice, it could allow the White House to circumvent Congress on significant spending decisions, potentially shifting some spending control away from the House and Senate.