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                                                                                 Facts About President Trump’s Historic Rescission Package

                                                                         


“I wouldn’t irrationally oppose a rescission which said we’ve had money laying in an account that has not been spent for

1, 2, 3 years, we shouldn’t just have it sitting in that account.” – Democratic Whip Steny Hoyer


On May 8, the President exercised his authority under the Congressional Budget and Impoundment Control Act of 1974

(ICA) and transmitted a special message to the Congress requesting they rescind more than $15 billion in previously

appropriated funding.

]

Since taking office, President Trump has proposed billions in cuts through multiple budget requests to Congress. Given

the long-term fiscal constraints facing our Nation, the President is committed to using all available tools to put our fiscal

house back in order. As the first of several proposed rescission's packages, this Administration is fully committed to

protecting taxpayers, and urges Congress to do the same.

Rescission's  are reductions of funding previously provided in law. Since the President cannot rescind funding on his own,

Congress needs to pass new legislation to eliminate this funding. The ICA provides special procedures for the President

to propose rescission's and for Congress to quickly act on them.

Under the ICA, Congress has 45 days to act on the President’s request. During this period, this funding may be formally

withheld from obligation so agencies cannot spend it, and any member of Congress may introduce a bill with the

President’s rescission proposals. This legislation receives special treatment under House and Senate rules, and cannot be

filibustered by the Senate.


Since 1974, both Democratic and Republican Presidents have used the ICA to propose nearly $76 billion in cuts to

Federal spending. Today’s package is the largest in the history of the ICA, and includes rescissions of unobligated

balances from prior years and reductions to budget authority for mandatory programs. In some cases, this funding has

been sitting in agency coffers for years with no plans to spend it.

Highlights of the funding proposed for rescission include:

                                    

 

                                

Advanced Technology Vehicles Manufacturing Loan Program (Energy)

:

A $4.3 billion rescission of funds

that have been untouched since 2011. Since ATVM’s inception in 2007, only five loans have been closed under

this authority.

Title 17 Innovative Technology Loan Guarantee Program

(Energy)

: A rescission of $523 million in

unobligated balances dating back to the stimulus that were provided for energy loan guarantees. T

he authority to

make new guarantees lapsed in 2011.

Center for Medicare and Medicaid Innovation

(HHS)

: A rescission of $

800 million

that the Innovation Center

has no plans to spend in FYs 2018 and 2019. In 2020, CMMI will receive a new mandatory appropriation of $10

billion.

Ebola Response

(USAID):

A rescission of $252 million in excess funds remaining from the initial Ebola

outbreak in 2015; the World Health Organization

declared the end of the Ebola epidemic in 2016.

Railroad Unemployment Insurance E

xtended Benefits (RRB):

A rescission of $133 million in unobligated

balances for a program that expired in 2012.

Animal and Plant Health Inspection Service

(Department of Agriculture): A rescission of $148 million,

including funds for responding to disease outbreaks that are now resolved (e.g., the highly pathogenic avian

influenza outbreak in 2015). 





Credit to:  WHITE HOUSE