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White House move to cancel $4.9B foreign aid with ‘pocket rescission’ blasted as illegal

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Lawmakers on both sides of the aisle panned the White House’s move to cancel billions in foreign aid funding as illegal, and warned that it could have dire consequences on the fast-approaching deadline to fund the government.

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The White House on Thursday notified Congress of the administration’s intent to cancel $4.9 billion in foreign aid funding through a «pocket rescission.»

«Last night, President Trump CANCELED $4.9 billion in America Last foreign aid using a pocket rescission,» the Office of Management and Budget (OMB) said on X. «[President Donald Trump] will always put AMERICA FIRST!»

‘BAIT AND SWITCH’: SCHUMER WARNS OF BITTER FUNDING FIGHT OVER GOP CUTS PLAN

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The White House on Thursday notified Congress of the administration’s intent to cancel $4.9 billion in foreign aid funding through a «pocket rescission.» (Tom Williams/CQ-Roll Call, Inc)

The pocket rescissions package obtained by Fox News Digital includes cuts to a variety of foreign aid programs over several fiscal years that the administration argued did not comport with Trump’s agenda.  

Included are roughly $520 million in cuts to Contributions to International Organizations account, over $390 million in cuts to the Contributions for International Peacekeeping Activities account, $322 million from the Democracy Fund, $445 million from the Peacekeeping Operations account and over $3 billion from Development Assistance.

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The rescissions process allows the president to make a request to Congress to cancel already approved funding within a 45-day period. Lawmakers successfully went through that exercise earlier this year when they approved $9 billion to be slashed from public broadcasting and foreign aid.

TRUMP SIGNS $9B RESCISSIONS PACKAGE INTO LAW, REVOKING FUNDING FOR FOREIGN AID, NPR

Susan Collins

Sen. Susan Collins addresses the press at Washington Crossing Inn on Nov. 6, 2022, in Washington Crossing, Pennsylvania.  (Mark Makela/Getty Images)

However, a pocket rescission is designed to skirt that 45-day window by coming so close to the end of a fiscal year that lawmakers wouldn’t have time to weigh in. And the White House’s maneuver is already giving Senate Republicans and Democrats heartburn.

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Senate Appropriations Chair Susan Collins, R-Maine, said in a statement that the move was an «apparent attempt to rescind appropriated funds without congressional approval.»

She also argued that the Government Accountability Office found that under the Impoundment Control Act, the law that governs rescissions, this style of pocket rescission was illegal.

«Any effort to rescind appropriated funds without congressional approval is a clear violation of the law,» she said.

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«Instead of this attempt to undermine the law, the appropriate way is to identify ways to reduce excessive spending through the bipartisan, annual appropriations process,» Collins continued. «Congress approves rescissions regularly as part of this process.»

Fox News Digital reached out to the OMB and the White House for comment but did not immediately hear back.

TRUMP SENDS $9.4 BILLION DOGE CUTS PROPOSAL TO CONGRESS, TARGETING NPR, PBS

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Schumer press conference

Senate Minority Leader Chuck Schumer, D-N.Y., joined by Sen. Amy Klobuchar, D-Minn., right, speak to reporters following closed-door party meetings at the Capitol in Washington on June 17, 2025.  (AP Photo/J. Scott Applewhite)

Lawmakers will also have to grapple with how the pocket rescissions will affect negotiations to keep the government open. Senate Minority Leader Chuck Schumer, D-N.Y., already warned that further attempts to claw back congressionally approved funding would be a bridge too far for Democrats.

Prior to the announcement, Schumer and House Minority Leader Hakeem Jeffries, D-N.Y., sent a letter to House Speaker Mike Johnson, R-La., and Senate Majority Leader John Thune, R-S.D., imploring both to meet with them to discuss the looming Sept. 30 deadline. 

In the letter, they specifically asked if more rescissions were coming.

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Now, Schumer charged that the «unlawful ‘pocket rescission’ package is further proof President Trump and Congressional Republicans are hellbent on rejecting bipartisanship and ‘going it alone’ this fall.»

«As the country stares down next month’s government funding deadline on September 30th, it is clear neither President Trump nor Congressional Republicans have any plan to avoid a painful and entirely unnecessary shutdown,» Schumer said in a statement.

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«In fact, it seems Republicans are eager to inflict further pain on the American people, raising their health care costs, compromising essential services and further damaging our national security,» he continued. 

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Dems continue to reject GOP efforts to fund ICE in DHS fight despite terror concerns: ‘That’s on them’

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Democrats on Capitol Hill are accusing Republicans of walking away from attempts to shrink the size of a partial government shutdown that began on Feb. 14, arguing that the impasse over funding for Immigration and Customs Enforcement (ICE) doesn’t need to hold up funding for other agencies.

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It’s a position that Sen. Sheldon Whitehouse, D-R.I., believes his party has repeatedly made clear.

«We’re totally ready to fund FEMA, TSA, Coast Guard, other elements. But while ICE continues to misbehave, we need to make sure that there’s an agreement about their behavior. And the Republicans are holding the rest of DHS hostage,» Whitehouse said, listing the other agencies also tied to DHS.

«That’s on them,» he added.

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Sen. Sheldon Whitehouse, D-RI., speaks with journalists on November 14, 2025. (Pablo Porciuncula/AFP via Getty Images)

SCHUMER, DEMS AGAIN BLOCK DHS FUNDING, FORCE STATE OF THE UNION SHOWDOWN

Sen. John Cornyn, R-Texas, scoffed at what they view as Democratic calls to avoid the heart of the gridlock.

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«That’s extremely hypocritical because we’ve already funded ICE,» Sen. John Cornyn, R-Texas, said, noting that the agency had already received allocations through Trump’s Big Beautiful Bill last year.

«So, the only thing they’re doing is hurting the air-traveling public through TSA. They’re hurting them and not accomplishing what they’re saying they’re trying to accomplish. It’s shameful,» Cornyn said.

DHS SHUTDOWN TRIGGERS TSA ‘EMERGENCY MEASURES’ AS LAWMAKER WARNS AIRPORTS COULD FEEL ECONOMIC PAIN

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Sen. Rick Scott, R-Fla., echoed Cornyn’s thinking, arguing that lawmakers should address DHS funding.

«All of Homeland Security needs to be funded. We’re not going to pick part of it not being funded. It’s making our country less safe,» Scott said.

Sen. Rick Scott, R-Fla.

Sen. Rick Scott, R-Fla., said that Senate Democrats wouldn’t take the shutdown seriously until flight delays and cancellations started to stack up.  (Bill Clark/CQ-Roll Call, Inc via Getty Images)

The lapse in funding for DHS hit the one-month mark Saturday with no resolution in sight over the 10 operational reform demands Democrats have made regarding any funding for ICE.

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SWALWELL PRESSED ON DEMOCRATS’ RESISTANCE TO FULLY FUNDING DHS AMID IRAN THREAT

Among others, Democrats are demanding a ban on masks for ICE agents, an end to roaming patrols, stiffer warrant requirements and visible identification markings. Their demands came about in the wake of the deaths of two civilians in Minnesota who lost their lives in escalated confrontations with immigration enforcement.

Sen. Ed Markey, D-Mass., said it was squarely on the Trump administration to make those incidents more unlikely in the future.

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«Trump has a responsibility to put safeguards around a corrupt agency that is endangering the constitutional privileges of everybody,» Markey said.

HOUSE DEMOCRATS VOTE TO CONTINUE DHS SHUTDOWN DESPITE IRAN THREAT, NOEM’S OUSTER

Without those demands, Democrats say there’s no way to press on towards funding ICE.

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Masked ICE agents in California

Residents confront federal agents and Border Patrol agents over their presence in their neighborhood on Atlantic Blvd. in the Los Angeles suburb of Bell. California last year passed a law banning authorities from wearing masks.  (Getty Images)

«Frankly, we have a simple menu of fixes to ensure that ICE and CBP follow the same standards as state and local law enforcement. We get agreement on that we can move ahead,» Sen. Chris Coons, D-Del., told Fox News Digital.

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Republicans maintain the demands would handcuff President Donald Trump’s illegal immigration crackdown efforts.

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Republicans can’t advance funding legislation in the Senate without the help of at least 7 Democrats. Republicans hold 53 seats in the chamber and need 60 votes to break the threat of a filibuster.

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La crisis del petróleo presiona a la economía mundial: del dilema de la Reserva Federal de EE.UU. a la inesperada oportunidad para Putin

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Las bombas estallan en Irán y Medio Oriente, pero las consecuencias sacuden los hogares y las empresas de todo el mundo.

En Kansas, los compradores de viviendas vieron cómo los tipos hipotecarios a 30 años superaron el 6% esta semana. En el oeste de India, las familias que lloraban la muerte de un ser querido descubrieron que se habían cerrado temporalmente los crematorios de gas.

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Leé también: Por el conflicto en Medio Oriente, uno de los grandes bancos de EE.UU. anticipó mayor inflación en la Argentina y la región

En Hanoi, Vietnam, los propietarios de las estaciones de servicio colocaron carteles de “agotado”. En Kenia, los cultivadores y comerciantes de té temían que sus exportaciones a Irán se pudrieran en el muelle. Y en Estados Unidos, Canadá, Europa, Gran Bretaña y México, los agricultores se vieron afectados ante el aumento de los costos de los fertilizantes.

El recrudecimiento de la guerra en Irán provocó un duro golpe a una economía mundial que ya se vio afectada por la ruptura del orden comercial internacional, la guerra en Ucrania y la caótica política del presidente Donald Trump.

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Esto sí que es grave”, dijo David Goldwyn, exdiplomático estadounidense y exfuncionario del Departamento de Energía de Estados Unidos, sobre el cierre del estrecho de Ormuz, el punto de estrangulamiento más importante del mundo para el petróleo. Es el escenario de emergencia que todos temían, dijo.

Los envíos de mercancías quedaron varados, los gastos de envío aumentaron y las primas de los seguros se dispararon. Sí, el precio de los combustibles en el surtidor se vio afectado. Pero también lo está el precio de los alimentos, los medicamentos, los billetes de avión, la electricidad, el aceite de cocina, los semiconductores y mucho más.

Las bombas estallan en Irán y Medio Oriente, pero las consecuencias sacuden los hogares y las empresas de todo el mundo. (AP Foto/Vahid Salemi)

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Una guerra prolongada entre Estados Unidos e Irán podría tener “consecuencias catastróficas” para el mercado mundial del petróleo y la economía global, advirtió esta semana Amin Nasser, director ejecutivo de Saudi Aramco, la mayor empresa de petróleo y gas del mundo.

Sin embargo, aunque la guerra, que comenzó el 28 de febrero cuando Estados Unidos e Israel atacaron Irán, termine con relativa rapidez, esta última agitación está enviando a consumidores, trabajadores y empresarios a otro viaje desconcertante e impredecible.

No se trata solo de que los propietarios de pequeñas empresas y los ejecutivos corporativos deban reevaluar una vez más sus cadenas de suministro, gestionar incrementos de precios adicionales y hacer un seguimiento de las cambiantes restricciones sobre con quién pueden hacer negocios. O que la incertidumbre añadida socave la confianza, haciendo que los consumidores se muestren reacios a gastar y las empresas a invertir.

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Es que este replanteamiento de la dinámica de poder en Medio Oriente podría desencadenar una serie de consecuencias cuya fuerza total podría no conocerse hasta después de meses o años.

La crisis del petróleo vuelve a presionar a la economía mundial (Adriana Loureiro Fernandez/The New York Times)

La crisis del petróleo vuelve a presionar a la economía mundial (Adriana Loureiro Fernandez/The New York Times)

Meg Jacobs, autora de Panic at the Pump: the Energy Crisis and The Transformation of American Politics in the 1970s, señaló que los precios no volvieron a bajar inmediatamente tras el embargo petrolero de 1973 y 1974. Se mantuvieron altos durante el resto de la década.

“La situación de la oferta es completamente distinta hoy en día, con muchos más productores”, subrayó Jacobs. Pero la crisis que la Organización de Países Árabes Exportadores de Petróleo creó con su embargo desencadenó una cadena de acontecimientos que estos productores de petróleo nunca imaginaron.

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La crisis del petróleo impulsó a otros países, sobre todo a Estados Unidos, a conservar la energía y desarrollar automóviles de bajo consumo y sus propias industrias del petróleo y el gas natural. En última instancia, se rompió el dominio monopólico de los países árabes. Los precios del petróleo se desplomaron en 1986.

Las acciones actuales en Irán y la región circundante pueden tener consecuencias similares, tanto inesperadas como de gran alcance.

Jacobs, por ejemplo, señaló la probabilidad de un presidente ruso, Vladimir Putin, envalentonado y fortalecido. Esta semana, Trump suavizó algunas de las restricciones a las exportaciones de petróleo ruso que se habían impuesto para presionar a Putin por la guerra de Ucrania.

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El aumento de los precios del petróleo impulsará la asediada economía y la maquinaria bélica de Rusia. Y Putin aprovechó la oportunidad para burlarse de los dirigentes europeos que apoyaron las sanciones a la energía rusa tras la invasión de Ucrania.

La crisis es también un potente recordatorio de las persistentes vulnerabilidades en torno a las cadenas de suministro críticas. La pandemia de COVID-19 y la guerra de Ucrania hicieron que los dirigentes nacionales de todo el mundo hablaran de la necesidad de dar prioridad a la resistencia y la seguridad.

Sin embargo, la guerra entre Estados Unidos e Israel en Irán pone de relieve, una vez más, cómo las perturbaciones en el sistema de comercio mundial aún pueden causar un grave dolor económico.

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Leé también: Trump relativizó la suba del precio del petróleo y aseguró que redoblará la ofensiva contra Irán: “Hay que detener al imperio del mal”

Los europeos apenas salieron de su profunda dependencia del gas y el petróleo rusos. Para ellos, el momento de esta crisis energética no podría ser peor. Los productores, aún conmocionados por el impacto de los aranceles, deben hacer frente ahora a unos costos energéticos más elevados. Esto supondrá un duro golpe para países como Alemania, con grandes industrias químicas, farmacéuticas y automotrices ávidas de energía.

Goldwyn, exfuncionario del Departamento de Energía, dijo que, dado que los niveles de almacenamiento de gas son bajos, es probable que en Europa se produzca una “recarga de pánico” que podría contrarrestar la caída de los precios en los próximos seis meses.

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La subida de los precios del petróleo puede aumentar el interés por las fuentes de energía alternativas, como la solar, la eólica y la nuclear, añadió Goldwyn.

Sin embargo, el apoyo político es fundamental para desarrollar cualquiera de estos recursos. Y, al menos en Estados Unidos, la hostilidad de Trump hacia las energías renovables sigue siendo feroz.

Las economías asiáticas están aún más expuestas. También ellas dependen de las importaciones de energía. Además, los países pobres y de ingreso medio están sujetos a los caprichos de las tasas de cambio. Y cuando el dólar o el euro se fortalecen, todas sus importaciones se encarecen de repente.

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El aumento de los precios del petróleo impulsará la asediada economía y la maquinaria bélica de Rusia. (Foto: AP)

El aumento de los precios del petróleo impulsará la asediada economía y la maquinaria bélica de Rusia. (Foto: AP)

Los banqueros centrales de todo el mundo se enfrentan a una difícil combinación de circunstancias. Estados Unidos tiene una economía más fuerte que la de muchos otros países. Sin embargo, su Reserva Federal se enfrenta a las mismas cuestiones que confunden a otros banqueros centrales. ¿Suben las tasas de interés para evitar una reactivación de la inflación al dispararse los precios de la energía, o las bajan al debilitarse los mercados laborales y ralentizarse el crecimiento?

Tasas elevadas también mantendrán los costos de los préstamos altos en un momento en que los países ricos y pobres se enfrentan a niveles récord de deuda. Esto significa que una mayor cantidad de dinero que podría haberse destinado a salud, rutas, vivienda o educación se destinará al pago de los intereses de la deuda.

Carsten Brzeski, economista del banco neerlandés ING, señaló que las empresas tecnológicas, especialmente las especializadas en inteligencia artificial, son muy sensibles a las variaciones de las tasas de interés. Un pequeño puñado de estas empresas fueron los principales motores del crecimiento de la economía estadounidense, por no hablar de las elevadas valoraciones de sus acciones. “Podría provocar una fuerte corrección de los mercados bursátiles”, dijo.

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La justificación de Trump para los ataques y sus objetivos cambió de un día para otro. Pero la decisión de declarar la guerra a Irán echa por tierra la idea recientemente popular de que el mundo se estaba dividiendo limpiamente en esferas de influencia de grandes potencias.

El derrocamiento por Trump del presidente de Venezuela, Nicolás Maduro, la confiscación de su petróleo y la declaración de una “Doctrina Donroe” supusieron una reivindicación de hegemonía en América del Norte y del Sur.

Pero la guerra en Irán demuestra que Trump sigue considerando a Estados Unidos una superpotencia con alcance mundial e intereses globales. Y que está dispuesto a recurrir a la fuerza militar para alcanzar objetivos tanto políticos como económicos.

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“Y eso es importante para la economía”, dijo Neil Shearing, economista jefe de grupo de Capital Economics, ya que Washington dirige cada vez más el flujo de bienes, servicios y dinero en todo el mundo.

Por Patricia Cohen.

Irán, Petróleo, Estados Unidos, Medio Oriente

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Democrat darling Talarico called out for making sixth-grade public students write ‘Obama memoirs’

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Democrat darling and Texas Senate candidate James Talarico is taking heat after it was discovered that, as a public school teacher in San Antonio, he made his sixth-grade students write «Obama memoirs» celebrating his election.

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Corey DeAngelis, a school choice advocate and research fellow at the Heritage Foundation, called the assignment «disqualifying» for a Senate hopeful in Texas.

In a Facebook post by Talarico dated Nov. 13, 2012, he announced, «Today, we finished writing our Obama memoirs,» explaining that «students wrote a memoir of Election Night from the point of view of a member of the Obama family.»

One of the memoirs shared by Talarico showed one of his students writing as if they were former President Barack Obama’s child, saying, «I was crying when my father was giving his speech» and praising «those lovely words that came out of his mouth» during his election night speech.

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DEMOCRAT RISING STAR CALLED OUT FOR ‘CREEPY’ COMMENT ABOUT TRANSGENDER CHILDREN

Texas Senate Democratic candidate James Talarico is taking heat for giving his sixth-grade students an «Obama memoir» assignment in 2012. (John Moore/Getty Images; Jeff Swensen/Getty Images)

The Democratic Party has high hopes that Talarico, a progressive state representative, can flip a critical Senate seat blue and become the first Democratic senator from Texas in decades. Since winning the party’s nomination, however, many have called out his history of progressive statements, including saying «God is nonbinary» and using the Bible to justify abortion.

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In another Facebook post, dated Nov. 16, 2012, Talarico shared an image of a poster board full of Obama memoirs with a banner reading «Mr. Talarico’s Wall of Fame.» The display featured more than a dozen memoirs along with photos of Obama and his family, as well as presidential seals and Obama’s campaign emblem. Talarico commented, «Our Wall of Fame has been updated with our awesome Obama Family Memoirs!»

The Obama memoirs are not the only posts from Talarico’s teacher account drawing criticism. Some have also taken issue with a Sept. 14, 2011, post depicting a classroom «free thinker» display. Among the figures labeled as free thinkers were Obama, Bill Gates, Supreme Court Justice Sonia Sotomayor and Housing and Urban Development Secretary Julián Castro. 

LEGALIZE PROSTITUTION EFFORT LEFT CANDIDATE ‘SHOCKED’ IN BLUE STATE WITH RAMPANT HUMAN TRAFFICKING

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James Talarico waving while standing on a stage in Austin.

Texas Democratic Senate candidate and Texas state Rep. James Talarico, D-Austin, waves before speaking for the first time since winning the Democratic nomination in Austin, Wednesday, March 4, 2026. (Eric Gay/AP Photo)

Other figures included in the display ranged from Ludwig van Beethoven to Frida Kahlo to Jay-Z. Harry Potter author J.K. Rowling was also included. Not included, however, were any Republican or conservative leaders.

Some have also criticized Talarico for a Sept. 4, 2012, post in which he encourages students to watch the Democratic National Convention to see Castro, a former mayor of San Antonio, give the keynote speech.

DEMOCRAT RISING STAR CALLED OUT FOR ‘CREEPY’ COMMENT ABOUT TRANSGENDER CHILDREN

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Conservative commentator Steve Guest slammed Talarico for this, writing on X, «What Talarico was doing as an ‘educator.’» 

The National Republican Senatorial Committee also chimed in, writing, «James Talarico made his public school students write ‘Obama memoirs’ and encouraged them to watch the DNC What else was he telling Texas kids in his classroom?»

Split image of Sen. John Cornyn and Attorney General Ken Paxton.

Texas Attorney General Ken Paxton and his bitter rival, Sen. John Cornyn, R-Texas, are heading to a runoff in Texas, further extending their bloody primary battle until late May.  (Photo by Nathan Posner/Anadolu via Getty Images; Photo by Anna Moneymaker/Getty Images)

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A Talarico spokesman responded to conservative critics in a statement to Fox News Digital. 

«John Cornyn, Ken Paxton, and the billionaires who prop them up are scared of James Talarico for good reason: our campaign is building a movement poised to change the politics of this state and take power back for working people,» press secretary JT Ennis said. «While they spend their time lobbing stale attacks to mislead Texans, we are uniting the people of Texas to win in November.»

Talarico will be facing off against either incumbent Sen. John Cornyn, R-Texas, or state Attorney General Ken Paxton this November. Cornyn and Paxton are currently locked in a bitter primary runoff that will come to a head this May. 

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