Why It Matters

The Senate Homeland Security and Governmental Affairs Committee considered Hal Duncan’s nomination to serve as deputy director of the Office of Management and Budget during a July 22 business meeting as lawmakers continued debating executive spending authority and the limits of presidential rescission powers. The meeting came as Democrats pressed the Trump administration over whether it would comply with statutory restrictions on withholding congressionally appropriated funds.

The Rescission Authority Question

Sen. Patty Murray (D-Wash.) pressed Duncan during his June 16 Senate Budget Committee confirmation hearing for assurances that OMB would follow federal law and would not attempt another illegal pocket rescission. The Government Accountability Office has concluded that the Impoundment Control Act does not permit a president to withhold funds proposed for rescission through their expiration date. Unless Congress approves a rescission, the funds must be made available for prudent obligation before they expire.

Sen. Alex Padilla (D-Calif.) has also raised concerns about a proposed OMB rule governing federal financial assistance. Padilla and the rest of the Senate Democratic caucus called on OMB Director Russell Vought to withdraw the proposal, arguing that it would exceed OMB’s authority and give the Trump administration sweeping power to use federal grants to advance political priorities.

Committee Details

The Senate Budget Committee initially scheduled a July 14 business meeting to consider Duncan’s nomination, but the meeting was canceled following the death of committee Chair Lindsey Graham (R-S.C.) on July 11. Sen. Ron Johnson (R-Wis.) subsequently took over as Budget Committee chair, while Sen. Jeff Merkley (D-Ore.) remained the committee’s ranking member.

Duncan’s nomination was instead placed on the Senate Homeland Security and Governmental Affairs Committee’s July 22 business-meeting agenda. Duncan had previously testified before the Budget Committee on June 16 and the Homeland Security and Governmental Affairs Committee on June 17.

Lobbying Pressure on Budget Issues

Reproductive Freedom for All reported $10,000 in second-quarter federal lobbying activity that included Duncan’s OMB nomination, FDA approval of mifepristone and funding for international family-planning programs.

The American Gaming Association also reported $10,000 in first-quarter lobbying activity related to corporate tax policy, the federal sports betting excise tax and legislation affecting the gaming industry. The association has publicly advocated repealing the federal excise tax on legal sports wagers.

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