President Trump vowed again Thursday to unilaterally deliver pandemic aid to a struggling public if negotiations with Congress bottom out. But it might not be so easy. Any executive orders are sure to draw legal challenges
President Donald Trump vowed again Thursday to unilaterally deliver pandemic aid to a struggling public if negotiations with Congress bottom out. But it might not be so easy. Any executive orders are sure to draw legal challenges — not to mention cause further turmoil for governors.
States have had to budget carefully while dealing with a tremendous amount of uncertainty amid the coronavirus pandemic. They’re also barred from using any of the funds to plug up enormous budget gaps — a flexibility that many Democrats and Republicans now realize states need. In some cases, states have hesitated to allocate additional cash, with the hopes that such flexibility will materialize.
Under the relief law, money for state and local governments is specifically distributed to states through a population-based formula. The only language in the law about recouping funds involves Treasury's watchdog and doesn’t suggest the president can simply move money around at his pleasure. If the agency’s inspector general finds that states improperly spent their money, then states must pay Treasury back.
Any forthcoming flexibility in how state and local aid is spent would be welcome, added Maya MacGuineas, president of the Committee for a Responsible Federal Budget, a deficit-hawk group. But that authority should be granted by Congress, not through an order from the president.
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