Overview

• After the D.C. Circuit lifted an injunction Thursday, the White House notified Congress of a late-session rescission intended to let funds lapse without a vote.
• The package targets about $3.2 billion in USAID development aid and roughly $838 million tied to peacekeeping, alongside cuts to democracy and international organization accounts.
• The tactic, last attempted in 1977, relies on submitting the proposal so close to the fiscal year’s end that Congress has little opportunity to act.
• GAO maintains pocket rescissions are unlawful under the 1974 statute, while OMB cites 1970s-era precedents and disputes GAO’s interpretation.
• Administration materials cite specific grants as wasteful and list UN peacekeeping-related items, while legal observers note GAO is likely the only party with clear standing to sue.