Government Accountability Office rules Trump's spending cancellation plan breaks budget law

The Government Accountability Office confirmed that President Trump's plan to cancel $810 million in appropriated spending without congressional approval violates the 1974 Impoundment Control Act. The GAO stated that withholding appropriated funds subverts Congress's constitutional power of the purse and the president cannot force expiration of enacted budget authority. White House budget director Russ Vought dismissed the opinion, claiming the GAO is acting with partisan motivations.

The dispute centers on whether presidents can allow appropriated funds to expire without congressional approval. The 1974 Impoundment Control Act established a 45-day window for presidents to request spending cancellations, during which Congress retains authority to approve, reject, or modify the proposal. The Trump administration's current $810 million cancellation plan exploits timing, as Congress recesses before the fiscal year ends, making legislative review impossible.

The administration previously attempted a similar strategy with foreign aid funding valued at over $4 billion. That case reached the Supreme Court, which declined to block the action but notably avoided ruling on whether the practice itself was lawful, indicating potential for future legal challenges.