The Government Accountability Office (GAO) has found that the Trump administration has violated the Impoundment Control Act of 1974 by withholding billions of dollars in funds that were congressionally approved.
However, GAO – which is an independent agency that acts as the congressional watchdog – doesn’t plan to sue the Trump administration over the illegally impounded funds – at least not yet.
A GAO spokesperson told MeriTalk this week that a lawsuit remains a “last resort” for the agency and that no decisions about legal action have been made.
The Impoundment Control Act (ICA) restricts a president from cutting Federal funding without the approval of Congress. Under the law, the president can sometimes delay or withhold funding – not cancel it – but it requires that the president notify Congress before doing so.
The ICA authorizes the head of GAO, known as the comptroller general, to file a lawsuit if the president illegally impounds funds.
So far, GAO has found three instances this year in which the Trump administration has illegally impounded funds in trying to reconfigure the nation’s budget.
Earlier this year, GAO found that the administration violated the ICA when it held up funding for infrastructure and funding for libraries and museums.
Just last week, the GAO identified a third time the administration violated the ICA in withholding funding for the Federal child care program known as Head Start.
While GAO is not looking to make any immediate moves to sue the Trump administration, that option is not off the table.
In February, Comptroller General Gene Dodaro told lawmakers that GAO was preparing to potentially take President Donald Trump to court over violations of the ICA.
“We’ve already sent letters to the administration asking them to explain their legal position to us, and we will be making rulings as to whether or not these issues violated the Impoundment Control Act or not,” Dodaro said during a Feb. 25 hearing before the House Oversight and Reform Committee.
“We need to be careful and thorough because the next step for us is to go to court ourselves,” Dodaro added. “Under the Impoundment Control Act, if we say there’s an impoundment – the money’s not released within a certain period of time – we have to go to court.”
“I need to be prepared and be careful because when I go there, I want to win,” he said.
As GAO continues to monitor ongoing litigation and investigate additional instances of withheld funds, the prospect of a legal battle with the Trump administration remains on the table. Whether or not the watchdog agency takes the matter to court may ultimately depend on how the administration responds – and whether Congress demands further accountability.