Rescissions Act of 2025

Bill Number: H.R. 4
Origin Chamber: House
Congress: 119th Congress, Session 1
Policy Area: Economics and Public Finance
Status: Became Law
Became Law: Public Law 119-28
Latest Action: 2025-07-24: Became Public Law No: 119-28.
Last Updated: 2026-07-11T16:08:26Z

AI-Generated Summary

Purpose

The Rescissions Act of 2025 (H.R. 4) aims to cancel (or "rescind") specific portions of previously approved federal budget funds that have not yet been spent (known as unobligated balances). This action follows a proposal from the President on June 3, 2025, under the Congressional Budget and Impoundment Control Act of 1974, which allows Congress to approve or reject executive requests to withhold funds from appropriated programs.

Key Provisions

The Act takes effect immediately upon enactment and targets unobligated funds from the Department of State, Foreign Operations, and Related Programs Appropriations Act, 2024, and the Full-Year Continuing Appropriations Act, 2025.
It rescinds a total of over $7.8 billion across 20 categories, primarily in foreign aid and international programs. Specific rescissions include:
$33 million and $169 million from contributions to international organizations (e.g., United Nations).
$203 million and $158 million from contributions to international peacekeeping activities.
$500 million from global health programs (excluding funds for HIV/AIDS, tuberculosis, malaria, nutrition, or maternal and child health; family planning programs are not protected).
$800 million from migration and refugee assistance.
$43 million from the Complex Crises Fund, $83 million from the Democracy Fund, and $1.65 billion from the Economic Support Fund (excluding aid to Jordan, Egypt, or the Countering PRC Influence Fund).
$125 million from the Clean Technology Fund (for climate-related multilateral assistance).
$437 million from international organizations and programs.
$2.5 billion from development assistance (excluding Feed the Future Innovation Labs, Countering PRC Influence Fund, and U.S. food aid programs like Food for Peace).
$460 million from assistance for Europe, Eurasia, and Central Asia.
$496 million from international disaster assistance (excluding U.S. food aid programs).
$125 million from USAID operating expenses.
$57 million from transition initiatives, $27 million from the Inter-American Foundation, $22 million from the U.S. African Development Foundation, and $15 million from the U.S. Institute of Peace.
Full rescission of funds allocated to the Corporation for Public Broadcasting for fiscal years 2026 and 2027.
Certain protections are included, such as exemptions for specific aid programs to avoid disrupting ongoing critical initiatives.

Significant Changes to Existing Law

This Act does not amend or alter the underlying laws governing these programs. Instead, it implements a one-time reduction in available funding by rescinding unobligated balances from prior appropriations acts. This reinforces the 1974 Impoundment Control Act's process, where Congress approves presidential proposals to cancel funds, preventing the executive branch from unilaterally withholding money without legislative consent.

Potential Impacts

Government Agencies: The U.S. Department of State and USAID will face reduced budgets for foreign operations, potentially limiting their ability to fund international programs. This could lead to scaled-back operations, staff reductions, or shifts in priorities for agencies handling aid and diplomacy.
Citizens: Minimal direct impact on U.S. citizens, as the rescissions target international and foreign aid programs. Indirect effects may include changes to public broadcasting content availability if the Corporation for Public Broadcasting faces funding shortfalls.
International Relations: Cuts to contributions for international organizations, peacekeeping, refugee aid, and economic support could strain U.S. relationships with allies and multilateral bodies like the UN. Recipient countries (e.g., in Europe, Eurasia, Africa, and the Middle East) may experience reduced assistance for development, crises, and health, potentially affecting global stability and U.S. influence abroad. Exemptions preserve aid for key areas like food security and specific health initiatives, mitigating some disruptions.

Main Stakeholders Affected

U.S. Government Entities: Department of State, USAID, and related agencies overseeing foreign aid and operations.
International Organizations: United Nations, peacekeeping missions, and multilateral funds (e.g., Clean Technology Fund), which rely on U.S. contributions.
Non-Governmental and Independent Entities: Organizations involved in global health, refugee assistance, democracy promotion, and public broadcasting (e.g., Corporation for Public Broadcasting, Inter-American Foundation, U.S. African Development Foundation, U.S. Institute of Peace).
Foreign Governments and Populations: Countries receiving U.S. aid, such as those in Jordan, Egypt, Europe, Eurasia, Central Asia, and regions affected by disasters or crises, including NGOs and communities benefiting from health, development, and humanitarian programs.

Notable Legal, Constitutional, or Political Implications

Legal: Upholds the Impoundment Control Act of 1974 by providing congressional approval for rescissions, ensuring separation of powers and preventing executive overreach in budget control. The Act's immediacy avoids delays in fund cancellation but requires precise accounting of unobligated balances to comply with appropriations law.
Constitutional: Reinforces Congress's "power of the purse" under Article I of the U.S. Constitution, balancing executive proposals with legislative oversight on spending.
Political: Signals fiscal restraint by targeting discretionary foreign aid spending, which could appeal to budget hawks but draw criticism for potentially weakening U.S. soft power and commitments to global issues like health and peacekeeping. The exemptions for specific programs (e.g., countering Chinese influence, food aid) highlight targeted priorities amid broader cuts.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Scalise, Steve [R-LA-1]

Cosponsors (5)

Rep. Cole, Tom [R-OK-4], Rep. Bean, Aaron [R-FL-4], Rep. Sessions, Pete [R-TX-17], Rep. Greene, Marjorie Taylor [R-GA-14], Rep. Moore, Blake D. [R-UT-1]

Recent Actions

2025-07-24: Became Public Law No: 119-28.
2025-07-24: Became Public Law No: 119-28.
2025-07-24: Signed by President.
2025-07-24: Signed by President.
2025-07-18: Presented to President.
2025-07-18: Presented to President.
2025-07-18: House agreed to Senate amendment pursuant to H. Res. 590.
2025-07-17: Message on Senate action sent to the House.
2025-07-17: Passed Senate with an amendment by Yea-Nay Vote. 51 - 48. Record Vote Number: 411. (Roll call 411)
2025-07-17: Passed/agreed to in Senate: Passed Senate with an amendment by Yea-Nay Vote. 51 - 48. Record Vote Number: 411. (Roll call 411)
2025-07-17: Motion by Senator Lujan to recommit to Senate Committee on Appropriations with instructions rejected in Senate by Voice Vote.
2025-07-17: Motion by Senator Kim to recommit to Senate Committee on Appropriations with instructions rejected in Senate by Voice Vote.
2025-07-16: Motion by Senator Kaine to recommit to Senate Committee on Appropriations with instructions rejected in Senate by Yea-Nay Vote. 48 - 51. Record Vote Number: 403. (Roll call 403)
2025-07-16: Motion by Senator Markey to recommit to Senate Committee on Appropriations with instructions rejected in Senate by Yea-Nay Vote. 47 - 50. Record Vote Number: 401. (Roll call 401)
2025-07-16: Motion by Senator Schumer to recommit to Senate Committee on Appropriations with instructions rejected in Senate by Yea-Nay Vote. 47 - 52. Record Vote Number: 399. (Roll call 399)

Bill Versions

Rescissions Act of 2025 — issued 2025-07-17 — PDF (10 pages)
Rescissions Act of 2025 — issued 2025-06-12 — PDF (10 pages)
Rescissions Act of 2025 — issued 2025-07-23 — PDF (4 pages)
Rescissions Act of 2025 — issued 2025-06-06 — PDF (7 pages)
Rescissions Act of 2025 — issued 2025-07-15 — PDF (10 pages)
Rescissions Act of 2025 — issued 2025-07-10 — PDF (8 pages)