Rescission: What does it mean for global health and why should we care?

Congress has agency in its response to violations of the Impoundment Control Act and appropriation bills. They need to speak up - and vote no.

This posting focuses Congress’s role in reviewing the termination of USAID and State Department grants. The Administration plans to cut to life saving programs that have already been approved by Congress. The Continuing Resolution passed by Congress to fund the government through September 2025 (FY25 funding) maintains level funding for global health with no cuts. However, the Administration's proposal to Congress challenges these appropriations and proposes cuts to priorities and programs that were approved by a bipartisan majority in Congress for FY25 spending.

Under the Impoundment Control Act (ICA), the Administration can officially report a rescission (a proposal to cancel funds Congress has explicitly directed to be spent) to Congress. A rescission allows the U.S. government to cancel previously approved funding, but it must be formally reported to Congress. Once reported, Congress can approve, reject, or partially accept the rescission.

We understand that a formal rescission request may start next week with a 9.3 billion package, with approximately 8.3 billion for Foreign Assistance (ex-USAID and State Dept programs). It is not clear yet which programs. The remainder (about 1 billion) is for the corporation for public broadcasting. A second package will be $20 billion later in year, tied to reconciliation.

The Government Accountability Office (GAO) is supposed to ensure appropriations’ compliance, report unauthorized and de facto impoundments, and even take legal action to release funds. Given the two-month spending freeze - a clear de facto rescission - and the mass USAID and Department of State foreign aid grant terminations, also a de facto rescission on ongoing appropriations, the GAO should have immediately reported these rescissions to Congress.

In summary, rescission requires permission from Congress. Congress's assent at this stage will make his already illegal cuts legal. So, Congress must hold the line - both because it is the right thing to do, and to assert its own role and power in the budgeting process.

To counter the funding cuts, supporters need to advocate with members of Congress who support foreign aid on both sides of the aisle, push against the proposed rescission package, demand oversight hearings on the administration’s de facto impoundment, and ensure that the GAO performs its statutory duties in reporting, assessing, and litigating Impoundment Control Act rescissions.

Here is a detailed memo on impoundment and recission by the Change group, written by Health Gaps’ Brook Baker.