The Impoundment Control Act of 1974 was enacted in response to President Nixon's previous withholding of billions in allocated funds. It mandates that the president must seek congressional approval before withholding funds, giving Congress 45 days to act on such requests. If Congress does not approve, the funds must be allocated as originally intended. The act also established significant budgetary bodies within Congress. Currently, discussions around this act have resurfaced amidst President Trump's assertion that the act is unconstitutional, highlighting ongoing tensions regarding executive power and budget authority.
Trump and his allies argue that the Impoundment Control Act is unconstitutional, asserting that he possesses the authority to rescind funding even if Congress has authorized it.
In the wake of Nixon's funding cuts, Congress passed the Impoundment Control Act to prevent future abuses of presidential power regarding budget management.
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