Think about, for a second, a president who does not wish to spend cash. Given the final a number of many years of presidential historical past, this will sound fanciful. However assume {that a} president has efficiently campaigned on spending much less cash, and maybe even balancing the federal finances, after which, as soon as in workplace, has determined to attempt to perform that program. What would such a president do?
If a president needs the federal authorities to spend much less cash, then someplace, in some way, at a while, somebody with applicable authority wants to really cease spending cash.
That is much more tough than it sounds.
It is not simply that in Washington, plans to spend extra, however lower than in any other case anticipated, are incessantly denounced as debilitating cuts. Neither is it merely that bureaucrats stamp their ft and leak tales of supposedly draconian spending reductions to pleasant media retailers. Neither is it even that the voting public, in its mass incoherence, appears to choose a mixture of excessive spending and low taxes—a luxurious authorities way of life that it actually can not afford.
There may be an underrated obstacle to spending much less: the Structure itself, no less than should you’re the president. The Structure grants Congress the only real energy of the purse. The manager department is tasked with faithfully executing the legal guidelines Congress passes. If Congress passes a legislation saying leap, it is the president’s job to leap. And if Congress passes a legislation that claims spend, it is the president’s job to spend.
This has turned out to be an issue for President Donald Trump, who arrange a Division of Authorities Effectivity, or DOGE, that operates via the auspices of the U.S. Digital Service. Trump has described DOGE as run by the billionaire businessman Elon Musk, though it is by no means been fairly clear whether or not he is formally in cost. It has pursued quite a lot of cuts and delays to executive-branch spending—suspending varied grants and dismissing, in line with some estimates, 1000’s of staff and contractors. A part of Musk’s technique has been to dig into the bowels of the federal cost techniques themselves, the advanced, typically outdated pc techniques that pay out huge sums day-after-day. At occasions, Musk has appeared to be pursuing a objective of spending much less by immediately stopping the federal government techniques that pay out cash. If nothing else, it is a novel technique.
One authorized query is whether or not Musk, whose official standing stays murky, has the authority to make these cuts. He seems to have the backing of the president, who in idea has authority over the workings of the chief department—in idea, as a result of one other, greater authorized query is whether or not even the president has the authority to not spend cash if it has been licensed and appropriated by Congress.
The observe of withholding or in any other case declining to spend duly licensed funds is called impoundment, and it has a protracted and complicated historical past. Courts have repeatedly stated the president doesn’t have authority to do that. In 1974, after years of combating with President Richard Nixon over the observe, Congress handed the Congressional Finances and Impoundment Management Act with veto-proof majorities, and Nixon signed it into legislation. This legislation not solely created the fashionable finances course of; it strictly prohibited unilateral govt impoundment. And that may appear to be that.
However Trump is not a president who all the time abides by historic norms or authorized strictures.
In his first time period, he violated the Impoundment Management Act on one notable event, in line with one authorities watchdog. In his second time period, he has as soon as once more tapped a person named Russ Vought to run the Workplace of Administration and Finances (OMB). Vought is a self-described radical with roots within the Tea Celebration motion who views finances reducing as a key a part of the tradition conflict. He has additionally advised Congress, on the document, that each he and Trump view the Impoundment Management Act as an unconstitutional limitation on govt energy.
Vought’s theories are properly exterior the mainstream, and even many ardent supporters of restricted authorities disagree with him on that query, viewing Vought as far too prepared to bend, or outright ignore, the rule of legislation. However much more than Musk, he’s prone to be on the heart of authorized and sensible battles about reducing the dimensions and scope of the federal authorities. As a result of what Vought basically believes is that the one strategy to minimize authorities spending and produce the paperwork to heel is to radically empower the chief department, giving the president energy that the Structure reserves for Congress alone.
Vought’s concepts signify a deep and tough problem for many who wish to minimize spending and examine govt authority, the classical liberals and libertarians who imagine in restricted authorities, a constitutionally constrained govt, and the rule of legislation. As a result of if Vought is true, you’ll be able to’t have all three.
Nixon’s Nixes
The roots of the dispute over impoundment return to 1972, when Congress handed the Federal Water Air pollution Management Act amendments, a collection of updates and expenditures that grew to become higher often known as the Clear Water Act. Nixon believed the $24 billion legislation was too costly: His largest headache at that time was hovering inflation, and tens of billions in new federal spending appeared prone to make that downside worse.
Nixon vetoed the invoice. Congress then mustered the two-thirds majority vote to override the veto. Nixon then merely refused to spend a big chunk of the funds—about $9 billion focused at constructing out new sewage therapy infrastructure. This was arguably Nixon’s most flagrant act of fiscal defiance in opposition to Congress, and it arrange a authorized showdown over impoundment.
Relying on who you ask and the way you outline it, impoundment is an outdated observe. Within the early 1800s, President Thomas Jefferson determined to not spend $50,000 that had been appropriated on a fleet of latest warships to struggle on the Mississippi River, the place naval battle had damaged out. In that exact case, not spending cash was simple: Jefferson merely notified Congress that he wasn’t going to spend the cash attributable to a “favorable and peaceful flip of affairs” which “rendered a right away execution of that legislation pointless.” Neither Congress nor the courts objected.
When Nixon tried to withhold spending on sewage therapy, the end result was quite totally different.
A bunch of cities, together with New York, sued Nixon’s Environmental Safety Company, on the time headed by Russell Practice, leading to a yearslong authorized battle over impoundment. Lastly, the case, Practice v. Metropolis of New York, reached the Supreme Courtroom, which in 1975 dominated that Nixon’s refusal to spend funds had been unlawful. Nixon’s constitutional responsibility as president was to take care to execute the legal guidelines faithfully. He did not have the authority to not spend cash as directed by legal guidelines handed by Congress.
Congress, in the meantime, had already taken issues into its personal arms. The prior 12 months, Congress had handed the Congressional Finances and Impoundment Management Act.
This legislation was designed not simply to streamline the federal finances course of however to say the legislative department’s constitutional prerogatives by explicitly prohibiting impoundment. The Clear Water Act impoundment was Nixon’s most vital try to refuse spending, however removed from his solely effort.
“The tradition then was, the president has an excessive amount of energy,” longtime Texas Republican and former Methods and Means Chairman Invoice Archer explained a decade in the past when requested about how the prevailing temper of the period knowledgeable the creation of the Impoundment Management Act. “We do not just like the president. The president is abusing his energy….The thought was, we will take energy away from the president, and we will represent it inside the Congress.” Distracted by the Watergate scandal and underneath strain to make concessions to Congress, Nixon signed the act a month earlier than he resigned.
After that, the matter was kind of settled till the Nineties, when the prospect of impoundment as soon as once more returned.
In 1996 Congress handed, and President Invoice Clinton signed, the Line Merchandise Veto Act. The legislation allowed the president, after signing an appropriations or tax invoice, to “cancel” particular spending gadgets or restricted tax advantages inside 5 days, topic to a fast-track congressional disapproval vote. This was seen as a narrower different to impoundment. Relatively than merely not spending funds, the president would formally cancel the supply. Clinton actively used the line-item veto 82 occasions in 1997, focusing on expenditures he deemed pointless.
Many of those cancellations went unchallenged, however not all. That led to a different court docket case, Clinton v. Metropolis of New York.
Town of New York was miffed that it had been denied funds by a president who had declined to spend congressionally appropriated cash. Particularly, Clinton had canceled a provision that may have offered the state’s hospitals with an estimated $2.6 billion. (Notably, the Medicaid tax funding was a provision of the Balanced Finances Act of 1997; this got here at a time when there was bipartisan want to cut back spending with a view to hold deficits in examine.)
In a 1998 choice, the Courtroom held 6–3 that the line-item veto violated the Structure’s Presentment Clause. By empowering the president to unilaterally change a legislation after it had been duly enacted, the justices reasoned, the legislation had upset the stability of powers. As soon as a invoice turns into legislation, the president’s solely choices are to implement it or search its repeal. He can not unmake the legislation on his personal, even with prior congressional permission.
The Courtroom’s objection to the line-item veto stemmed from primarily the identical because the philosophy behind the Impoundment Management Act and the Practice choice: The president can veto a legislation in its entirety quite than signal it, however he can not merely carve away at a legislation’s provisions as soon as it is in power.
Making It Ukraine
The Congressional Finances Management and Impoundment Act didn’t totally work as supposed. One justification for the legislation had been to rein in unaccountable spending, but finances deficits ballooned within the Nineteen Eighties. The annual finances course of it laid out was adopted solely intermittently at first, and by the late ’90s it had been all however deserted. The nonpartisan Congressional Finances Workplace produced competent, usually revered work, but it surely was typically dragged into bitter partisan disputes.
However in a single respect it did work. No president after Nixon was in a position to unilaterally impound funds. That’s, till Donald Trump.
In summer season 2019, at Trump’s path, the OMB withheld roughly $214 million that Congress had appropriated for Ukraine Safety Help—cash tagged for weapons and coaching funds to help in its protection in opposition to a Russian invasion. The maintain was executed via particular footnotes on federal spending schedules instructing that the Ukraine assist cash couldn’t be spent.
This act advanced right into a sprawling scandal involving Trump and Ukrainian chief Volodymyr Zelenskyy, wherein a whistleblower alleged that the “President of the USA is utilizing the ability of his workplace to solicit interference from a overseas nation within the 2020 U.S. election”—by, the complaint stated, “pressuring a overseas nation to research one of many President’s fundamental home political rivals.” At coronary heart, the cost was that Trump was withholding federal assist in an effort to acquire a quid professional quo from a overseas authorities.
A lot of the consideration across the scandal targeted on the extra salacious cost that Trump was primarily attempting to bribe or extort a overseas chief by manipulating the federal purse strings. Beneath strain, Trump launched the funds. However his preliminary refusal to spend cash duly licensed and appropriated by Congress raised a core constitutional query as properly: Was this an act of impoundment?
In 2020, the Authorities Accountability Workplace (GAO) concluded that “the Workplace of Administration and Finances violated the legislation” by withholding the Ukraine funds. “Trustworthy execution of the legislation doesn’t allow the President to substitute his personal coverage priorities for people who Congress has enacted into legislation,” the auditors wrote. “OMB withheld funds for a coverage motive, which isn’t permitted underneath the Impoundment Management Act.” Citing the Clinton-era ruling on the line-item veto, the GAO warned that to withhold funds selectively was successfully to “amend” the legislation by govt fiat, which is prohibited underneath the Structure.
From Nixon to Clinton to Trump, the authorized consensus remained clear. However there have been some who disagreed, and one among them was Russell T. Vought.
Vought Your Conscience
Russ Vought started his tenure within the first Trump administration as deputy director of OMB underneath the directorship of Mick Mulvaney. Like Mulvaney, Vought was a creature of the Tea Celebration motion that sprung up underneath President Barack Obama. The Tea Celebration motion was billed as a backlash in opposition to extreme authorities spending, a place difficult by the best way that many Tea Celebration activists appeared to wish to defend spending on the old-age entitlements which are the largest contributors to long-term debt. However no less than in line with a lot of its leaders, its overarching objective was to chop the federal authorities right down to dimension.
Within the time earlier than Trump, the Tea Celebration’s affect might be seen at organizations just like the Republican Research Committee (RSC), a coalition of conservative lawmakers within the Home, and The Heritage Basis, a conservative assume tank that in 2010 based Heritage Motion to pursue extra direct advocacy and lobbying work. Vought labored for each, as vp of Heritage Motion and as finances director for the RSC. He was each a Tea Celebration true believer and a finances wonk. Later, throughout the hole between the 2 Trump administrations, he arrange a company that attempted to mix Tea Celebration–period government-cutting zeal and assume tank fiscal wonkery with the brand new wave of Trumpified conservatism.
Based in 2021, Vought’s Middle for Renewing America targeted on the inside workings of the federal authorities—particularly, the staffing of govt department businesses, and the sprawling system of barely accountable spending that makes up their budgets. The group’s worldview mixed the Trump motion’s cultural panic with the Tea Partiers’ government-slashing zeal.
In a 2022 essay for The American Thoughts, Vought argued that America is in a “post-constitutional second,” a “new regime” that’s “extra like an unwritten structure which operates primarily based on precedents.” This “new Structure,” he wrote, was the product of a “slow-moving revolution” that in impact remodeled America into a brand new nation. The essay namechecked a slew of businesses and places of work disfavored by the MAGA proper—the FBI, the Division of Justice, the Facilities for Illness Management and Prevention—and warned of an empowered skilled class utilizing their unelected positions to exert management over American life. “No constitutional amendments have been handed to enact this, however new authorized paradigms have been launched—a ‘residing structure,’ impartial businesses, everlasting, ‘skilled’ civil servants—which have modified the underlying separation of powers on the core of our system.”
Vought’s answer: The American proper ought to undertake “radical Constitutionalism” and “throw off the precedents and authorized paradigms which have wrongly developed over the past 2 hundred years.” The presidency, he warned, has develop into divorced from an govt department it does not actually management, and this advantages leftist malefactors. “The Left within the U.S. does not need an brisk president with the ability to bend the chief department to the need of the American individuals,” he wrote.
The core concept was that conservatives should embrace a view of the Structure that radically empowers the chief. So it is no shock that Vought considers the Impoundment Management Act unconstitutional.
He stated this explicitly throughout his 2025 affirmation listening to to run the OMB. When requested about impoundment, and whether or not the withholding of Ukraine funds throughout Trump’s first time period is likely to be a “harbinger of what’s to return these subsequent 4 years,”Vought responded succinctly.
“The president ran on the notion that the Impoundment Management Act is unconstitutional,” he stated in response to a query from Sen. Patty Murray (D–Wash.). “I agree with that.”
Previous to his affirmation listening to, Murray famous, Vought had responded to written questions on impoundment by saying he’d observe the steerage of the OMB’s incoming counsel, Mark Paoletta.
Like Vought, Paoletta is a veteran of the White Home finances workplace from Trump’s first time period. He additionally served as a fellow on the Middle for Renewing America, the place he wrote quite a few articles arguing that the impoundment energy was completely in keeping with the Structure and that the Impoundment Management Act was overreach.
Paoletta’s argument rests partly on the Structure’s “govt vesting” clause, which vests the presidency with all govt energy, which in his studying would come with impoundment. He additionally gives a twist on the “take care” clause. Usually, the Structure’s insistence that the president is to “take Care that the Legal guidelines be faithfully executed” is known to imply that the president should observe legal guidelines handed by Congress to the letter. However Paoletta sees it as a strategy to give the president some flexibility: He should have some discretion to spend rigorously—which could imply declining to spend the complete quantity of an appropriation.
A good shorter model of Paoletta’s view got here in a 2024 post on X: “Impound, Child, Impound!” Impoundment, he wrote, was “an ideal instrument to chop wasteful spending.”
Simple Peasy?
Within the view of Vought and Paoletta, then—which is to say, within the view of the Trump administration’s budgetary authorities—if a president wished to not spend cash, it might not be tough in any respect. It will be simple. The president, or his brokers, may merely not spend it.
That might in all probability set off a court docket problem, however that is likely to be a part of the purpose. In January, The Washington Put up reported {that a} slide deck had been circulating amongst White Home finances officers making the case for impoundment. The deck, in line with the Put up‘s description, “suggests Trump officers might search to set off a court docket case that might declare that legislation unconstitutional, finally enabling Trump to cut back or remove complete funding classes on his personal.”
The White Home distanced itself from the presentation, denying that it was produced by any presidential appointee. But it surely’s not exhausting to sq. it with Vought’s clearly acknowledged outlook. He advised Congress that he would observe the legislation and his counsel’s interpretation of that legislation, and each he and his counsel imagine the Impoundment Management Act is unconstitutional. He has additionally advocated a radical constitutionalism that may empower the chief department to carry its personal in opposition to Congress, and he has hinted strongly that this would possibly imply defying the “precedents and authorized paradigms” of the present American order.
What would occur then? One chance is that the courts would rule in opposition to impoundment, in line with many years of precedent and the mainstream of authorized thought. Trump would possibly adjust to a court docket order. However he additionally won’t. In spite of everything, if, per Vought, the chief department should assert its energy and prerogatives in opposition to encroachments from different branches, that may embody the courts in addition to Congress. If that occurred, it might current a constitutional standoff, and arguably a constitutional disaster—and a violation of the rule of legislation.
One other chance, much less possible however not not possible, is that the courts would possibly grant the president some form of impoundment energy, maybe with limits. This is able to not lead to a right away constitutional disaster. However it might give but extra energy to the chief department and weaken the separation of powers.
For individuals who favor smaller authorities, this won’t sound like a horrible final result. In spite of everything, what may go fallacious with giving the president the ability to not spend cash? It is a truthful query. A extra muscular govt impoundment energy would possibly make it potential for a president to chop wasteful or misguided spending, or trim the federal work power, lowering the ability and price of the paperwork. It is exhausting to think about a manner that it may lead to a authorities that grows bigger, no less than when it comes to {dollars} spent and money owed owed.
However any coherent understanding of the American constitutional order, which reserves for Congress the ability to each write legal guidelines and spend cash, must acknowledge vital limits on such an influence.
Jefferson’s choice to not spend cash on warships that have been now not crucial can plausibly be understood as a call to be cautious with taxpayer funds. However the objection to Nixon’s impoundments was that he was declining to spend for coverage causes—that he was successfully ignoring the need of Congress, which had already overridden his veto, and substituting his personal coverage objectives. What the courts present in each the Nixon dispute and the Clinton-era argument over the line-item veto was that to permit the president leeway to impound funds at his discretion was to permit the president not solely to usurp the congressional energy of the purse however to primarily write legislation.
So whereas granting the president impoundment energy won’t make the federal government bigger, it might virtually definitely make the presidency extra highly effective and extra central to all types of questions associated to each overseas coverage and the financial system.
Think about the extortion or bribery alleged within the Trump/Ukraine affair: The accusation was that Trump was withholding funds for private, political achieve. Giving the chief impoundment energy would make the president a private dispenser of a whole lot of billions in federal funds, that means these funds can be topic to his private whims.
One want solely have a look at how Trump has used or threatened to make use of his tariff authority to see the potential for abuse. In his first months in workplace, he hasn’t simply unilaterally imposed tariffs; he has raised the potential for handing out exemptions and delays to pliant enterprise leaders who cozy as much as the workplace and ask for particular therapy, resulting in a politicized financial system wherein a single particular person picks winners and losers.
The identical can be true of a president who had the ability to unilaterally withhold federal funds. Removed from restoring the Structure’s stability of energy, this is able to tilt the American authorities much more towards a president-centric system the place the White Home occupant is extra like a king than an administrator tasked with executing the legislation.
However there’s another choice, one which maintains the constitutional order and permits for presidentially pushed cuts and reductions to federal spending. Certainly, it is a mechanism contained inside the Impoundment Management Act itself. It is referred to as rescission, and it permits the president to submit a proper discover proposing spending reductions to Congress for approval. Congress then has 45 days to approve the rescission, throughout which era the spending is frozen.
Rescission makes an attempt to resolve the issue of what a president is meant to do if he needs to not spend cash. He’s speculated to ask Congress, which underneath the Structure holds the ability of the purse. Rescission turns that into a proper, authorized, fast-track course of.
Trump is aware of this—or no less than his finances officers do. Throughout Trump’s first time period, Trump requested the most important rescission bundle ever granted underneath the Impoundment Management Act. In Might 2018, the Trump White Home despatched Congress a $15.4 billion greenback rescission bundle. The true dimension of the financial savings was significantly smaller—not more than about $3 billion, in line with Trump’s personal finances workplace, since a lot of the rescission involved funds that had lingered unspent. Finally, the Senate didn’t approve the proposal.
However the administration went via the legally required course of, making certain that Congress had ultimate say over issues of spending. The second Trump administration may achieve this once more—and would possibly. In April, the New York Put up reported that the White Home was teeing up a rescission bundle that included $1 billion in cuts to public broadcasting and an $8.3 billion minimize for the U.S. Company for Worldwide Growth. Sen. Rand Paul (R–Ky.) pushed Trump and DOGE to assume greater. “I would like to see a $500 billion rescission bundle,” Paul advised Motive‘s Eric Boehm in February.
For individuals who view the ever-expanding dimension of presidency as an issue, this can be an unsatisfying reply. It requires legislative motion, and Congress is much much less swift than an brisk govt. However the constitutional order wasn’t designed to be swift or satisfying. Quite the opposite, it was designed to frustrate the need for swift, seemingly satisfying coverage change. The separation of powers was supposed to power cooperation and compromise between the branches, even when it is exhausting.
The Structure was additionally designed to frustrate unilateral authority and examine govt energy particularly. The Founders have been all too conscious of the issues that come up when coverage will depend on the whims of kings. Restricted authorities depends as a lot on preserving the rule of legislation and the core constitutional order because it does on reducing applications and firing bureaucrats. Shortcutting the rule of legislation with a view to obtain a short lived coverage victory isn’t price it.
What ought to a president who needs to not spend cash do? He ought to observe the Structure, and meaning involving Congress and deferring to its budgetary authority. So sure, it is tough for a president to say no to spend cash. However underneath the Structure, it ought to be.
This text initially appeared in print underneath the headline “What if the President Would not Need to Spend Cash?.”