White House Seeks to Rescind $810 Million in Federal Funding
Published October 05, 2026
By AACOM GRHA
Appropriations Federal Policy
- On September 25, 2026, the White House submitted an $810 million rescissions package to Congress proposing cuts across 11 federal accounts, including approximately $28 million from the Agency for Healthcare Research and Quality and $69.6 million from the Department of Education’s Office of Postsecondary Education.
- Because the affected funds were set to expire at the end of fiscal year (FY) 2026, the administration withheld the funds while Congress considered the request under the Impoundment Control Act. On September 29, the Government Accountability Office concluded that the law does not permit the administration to withhold the funds through their expiration date and that they must remain available unless Congress approves their rescission.
- The action has also faced opposition in Congress and legal challenges. On September 30, a coalition of seven states sued the administration, arguing that withholding congressionally appropriated funds violates the Constitution and federal law. Lawmakers have also discussed legislative action to restrict similar end-of-fiscal-year rescission requests in the future.