News Flash


Posted on: May 11, 2018

White House Looks to Rescind Budget Agreement

The President has formally requested that Congress rescind monies for certain programs, which were funded in the March bipartisan compromise. That agreement prevented a government shut-down. Both Houses must approve the $15.4 Billion clawback request within 45 days or the money will remain in the 2018 spending plan. This is the largest single rescission request, ever, and the first such initiative in nearly 20 years.
This is expected to be the first such request. But others will likely follow, as previous press reports have estimated that the Administration hopes to clawback $60 billion in total. We remain worried that Amtrak Gateway funding could be jeopardized.
Much of the funding included in this current request represents unobligated spending, included in accounts of programs no longer in operation. Those rescissions will not reduce the federal deficit. For example, the request would eliminate $4.3 billion from the Advanced Technology Vehicles Manufacturing Loan Program in the Energy Department, which the White House says has not issued a loan since 2011; leftover funds designated for the Ebola outbreak that has since been quashed; and $800 million from the Center for Medicare and Medicaid Innovation, which the White House says is due to receive an automatic top-up from mandatory spending anyway.
The most controversial of the cuts included in this request could recoup assets from Children’s Health Insurance Program (CHIP) accounts.  
In addition to questions about proposed cuts to certain programs, a number of legislators from both parties are concerned that the move could have long-term repercussions, and endanger future bipartisan cooperation on any spending bills.

Contact: Jon Moran, Senior Legislative Analyst,, 609-695-3481, ext. 121

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