President Trump Canceled $810 Million in Federal Funding
The administration used a pocket rescission to bypass congressional review on 11 federal funding pools.
Updated on Sept. 25, 2026 in Immigration
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President Trump has canceled $810 million in previously approved federal funding across seven agencies. The administration utilized a rare pocket rescission to prevent congressional review of the spending cuts.
Why it matters
The move reflects an effort to eliminate spending deemed wasteful or inconsistent with current executive policies. It marks a significant test of executive authority that could broaden the future use of pocket rescissions.
The administration withdrew $567 million from Department of Health and Human Services grants for services for illegal immigrants. Officials also removed $70 million from foreign academic programs and $56 million from Housing and Urban Development housing counseling.
The players
President Donald Trump
He is the current President of the United States who authorized the cancellation of federal funds.
White House Office of Management and Budget
This federal agency is responsible for overseeing the performance of federal departments and identifying spending deemed unnecessary.
Department of Health and Human Services
This federal agency saw the largest reduction in its budget through the removal of immigrant social service grants.
The details
The White House Office of Management and Budget identified the funds as unnecessary or ideological during the final days of the federal fiscal year. This action marks only the second time in 49 years that a president has utilized a pocket rescission to remove spending.
Timeline
The previous pocket rescission occurred in 1977.
The Supreme Court ruled in favor of a previous pocket rescission in September 2025.
President Trump ordered the cancellation of funds on September 25, 2026.
The federal fiscal year concludes on September 30, 2026.
Political Context
Opposition lawmakers and advocacy groups are expected to challenge the use of the pocket rescission as an executive overreach. Critics argue the move undermines the traditional legislative process and the constitutional oversight powers of Congress.
The cancellation of these grants may result in the immediate reduction or termination of specific social services and housing counseling programs for recipients nationwide. Taxpayers may also see changes in how federal dollars are directed toward academic and migrant initiatives.
The takeaway
This policy maneuver highlights a shift toward using executive rescissions to bypass legislative impasses. Readers should monitor upcoming legal filings to see if this method becomes a permanent fixture of executive budget control.
Further reading
Learn more about federal oversight regarding Immigration policies and related funding debates.
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Should the president have the authority to cancel federal spending without congressional approval?
