Trump’s Actions Reveal His Belief in Controlling Federal Spending During Shutdown
In recent developments, former President Donald Trump’s management of federal spending during government shutdowns has drawn considerable attention. His actions reflect a belief in controlling federal funds, notwithstanding Congressional appropriations.
Spending Laws Under Scrutiny
During government shutdowns, the Trump administration treated Congressional spending laws more like suggestions rather than mandates. This approach aimed to mitigate shutdown effects and challenge programs deemed as Democratic priorities.
Reallocation of Funds
- Money meant for Pentagon research was diverted to pay military personnel.
- Funds for the Coast Guard were sourced from recent tax and spending legislation, as stated by Homeland Security Secretary Kristi Noem.
- No detailed explanation was provided on the reallocation process.
Furloughed Workers’ Pay Controversy
Despite the Government Employee Fair Treatment Act of 2019, signed by Trump, furloughed workers risked not receiving their pay. The law explicitly mandates payment to furloughed workers once appropriations are approved.
Diversion of Tariff Revenue
The Trump administration considered redirecting tariff revenue to extend food assistance for pregnant women, new mothers, and young children. This revenue was initially used to fund child nutrition programs in the previous year.
Republican and Democratic Responses
House Speaker Mike Johnson challenged Democrats to contest troop payments, labeling fund reallocations as potentially legally questionable but politically sensitive.
Meanwhile, a rally in Washington by lawmakers from Virginia and Maryland highlighted their criticisms of Trump and the Director of the Office of Management and Budget, Russell Vought. They condemned the layoff of furloughed workers, citing it as a tactic to “terrorize” the federal workforce.
Vice President JD Vance justified the layoffs to maintain programs like WIC, although federal law doesn’t directly link worker paychecks to food assistance programs.
Political Implications and International Affairs
Trump and Republicans pinpoint Democrats for the shutdown due to demands for extending subsidies for health insurance purchases via Obamacare exchanges. Vought’s OMB outlined a White House strategy of maintaining essential payments while blaming Democrats.
International Assistance
Amid domestic challenges, Trump engaged in international affairs by appearing with Argentine President Javier Milei. Trump, through Treasury Secretary Scott Bessent, facilitated a $20 billion bailout to support Argentina’s currency.
This move inadvertently advantaged China, as Argentina waived its excise tax on soybeans, impacting U.S. farmers. Trump expressed hopes that the bailout would bolster Milei’s party in upcoming elections.
Domestically, Trump threatened withdrawal of federal funds from New York City if Zohran Mamdani, a democratic socialist, wins the upcoming mayoral election. Trump’s remarks reflect his perception of federal money as a tool for political bargaining.
Challenging Federal Spending Authority
Trump’s stance during his administration underscores his intent to challenge impoundment laws that limit the White House’s authority over Congressional spending decisions. He posited federal funding as a leverage point, particularly against policies he opposed.
