A faction of House Republicans is working to expand President Donald J. Trump’s power over federal spending by repealing the Impoundment Control Act, enacted in 1974 under President Richard Nixon, to limit the executive’s authority in federal budget matters. Representative Andrew Clyde (R-GA) seeks to empower President Trump and Elon Musk’s Department of Government Efficiency (DOGE) to create a more effective and efficient government.
Clyde’s bill has the backing of over 20 GOP co-sponsors in the House and a corresponding proposal in the Senate led by Senator Mike Lee (R-UT). Russell Vought, who recently assumed the role of Director of the Office of Management and Budget (OMB), has labeled the Impoundment Control Act unconstitutional—a sentiment echoed by Trump himself.
“Since the Empowered Control Act of ‘74, we have seen a tremendous increase in spending. And I think that’s part of the problem right there. The president is required now by law to spend the exact amount that Congress authorizes or appropriates for a specific program,” Clyde noted.
President Nixon had “impounded” money earmarked for various federal programs by Congress—that is, refused to spend it—but the Impoundment Control Act prohibited this practice. This practice undermined the chief executive’s control over the executive branch in a manner that some believe undermines the separation of powers in a constitutionally improper way.
The Trump administration has already moved to halt certain federal funds, including foreign aid, pending reviews. However, parts of his funding freezes have faced legal challenges, resulting in a judge ordering compliance with prior directives to restore funding and threatening the President with contempt.