President Donald Trump has officially submitted a new rescissions package to Congress, marking the third time he has employed this rarely-used process to reduce spending. This latest request would eliminate up to $9.4 billion in budget authority, offering a step toward restoring fiscal sanity in Washington.
On his first day in office, President Trump signed an executive order repurposing the U.S. Digital Service Agency as the Department of Government Efficiency (DOGE), tasking it to identify and execute budgetary savings across the executive branch. The rescissions package would codify DOGE's savings by eliminating previously approved appropriations. Russ Vought, the Director of the White House's Office of Management and Budget, said that more rescissions packages are in the works to send to Congress over the next several months.
If enacted, the package could provide meaningful relief to taxpayers while helping to rein in the nation’s $36 trillion debt burden. Budget saving recommendations include:
Corporation for Public Broadcasting (CPB): The CPB is a private, non-profit corporation established by Congress in 1967 to distribute federal funding for public broadcast to National Public Radio and the Public Broadcasting Service. The administration would rescind $1.1 billion from the CPB.
United States Agency for International Development (USAID) and Other International Programs: USAID was established in 1961 through an Executive Order to provide international assistance, and was codified as an independent federal agency by Congress in 1998. In February, the Trump administration cancelled nearly 5,800 grant awards from USAID. The rescission package would rescind $8.3 billion from previous authority to USAID and the State Department for non-emergency assistance programs.
Under the Impoundment Control Act, once a president transmits a rescission request, Congress has 45 days of continuous session (calendar days minus any adjournments of longer than 3 days) to consider the proposal. If lawmakers fail to act, the funding remains available for obligation. Though the process provides an opportunity for targeted spending reductions, Congress has rarely followed through—making the willingness to even submit such a package noteworthy.
Congress should give the proposal serious consideration as part of broader efforts to reduce the deficit and improve the efficiency of government programs. The House is expected to vote on the package next week.
President Trump’s first rescissions request in 2018 targeted $15.4 billion in unobligated funds, including expired accounts and duplicative spending. As NTUF’s Andrew Wilford wrote at the time, it represented a modest but important signal that the White House was willing to confront unnecessary spending. The House approved the package 210–106, but it narrowly failed in the Senate by a vote of 48–50.
A second proposal submitted late in his first term would have cut another $27 billion, but the Biden Administration formally withdrew the request in early 2021 before Congress could consider the package.
With this third proposal, President Trump again emphasizes the need to reduce waste and refocus budget priorities. But submitting the request is only one necessary step his administration should take toward budget reform.
To promote transparency and accountability, the administration must ensure that the Office of Management and Budget complies with federal laws governing public access to budget information. Earlier this year, OMB removed a website that published apportionment data—information it is legally required to disclose. The Government Accountability Office has also raised concerns that this move violates statutory obligations and urged OMB to provide transparency.
In addition, the Trump Administration should prioritize restoring permanent Inspectors General across federal departments and agencies. During the presidential transition, numerous IGs were dismissed or replaced with acting officials, weakening independent oversight at a time when it is most needed. Reinstating qualified, permanent IGs will help ensure that waste, fraud, and abuse are rooted out.
Likewise, congressional authorizing committees must step up and fulfill their oversight responsibilities to protect taxpayer dollars. Billions of taxpayers’ dollars are at stake for federal programs that haven’t been reauthorized in years.
Congress and the president should also reestablish a process to evaluate the effectiveness of federal programs, similar to President George W. Bush’s Program Assessment Rating Tool.
Rescissions and robust oversight should go hand in hand. Together, they can streamline government operations and ensure that federal funds are used effectively—not wasted on outdated or unnecessary programs.