According to reports, President Donald Trump will reduce emergency spending by nearly $3 billion that was included in the Fiscal Responsibility Act of 2023.

In June 2023, then-President Joe Biden enacted this legislation. The law suspended the federal debt limit until Jan. 1 of this year and made several changes to federal spending and revenue.

According to Semafor, the legislation contained a “side agreement” that would allow for emergency spending of more than 12 billion dollars by 2025.

The outlet reported that Trump has determined that approximately $2.9 million of this total, including $2.5 million targeted for foreign assistance, is not within the scope of an emergency. Diversity, equity, and inclusion projects are also among those that have been cut.

The law of 2023 specifies that $9.4 billion in emergency expenditures will be retained.

Initial plans included money for economic development in Moldova and Georgia as well as migration and refugee aid for nongovernmental organisations.

Semafor reported that a White House official confirmed Trump’s decision to send a memo to Congress notifying the lawmakers of his choice.

Another official told the outlet that side deals are the “worst” aspect of the Fiscal Responsibility Act, calling them a “shell game” to avoid spending limits.

The official said that “it’s not a good way to proceed” and added that foreign aid money was “not well-vetted or well-considered”. It’s not an emergency and it is probably not the highest spending priority.

Russ Vought is the director of Trump’s Office of Management and Budget, and he opposes the Fiscal Responsibility Act.

After a six-week review, the Trump Administration canceled over 80% of the U.S. Agency for International Development’s programs earlier this month.

In an X message that Marco Rubio sent from his account, he wrote: “The 5200 contracts now canceled wasted tens billions of dollars on ways that didn’t serve (and sometimes even hurt) the core national interest of the United States.”

Rubio stated that the remaining 1,000 programs would be “more effectively” administered under the State Department, in consultation with Congress.