What Congress can and can’t do to rein in Trump’s $1.8 billion payout fund

President Donald Trump’s nearly $1.8 billion anti-weaponization fund has become a contentious issue among Republican lawmakers, stalling a budget package aimed at funding immigration enforcement agencies. The fund, established to settle a $10 billion lawsuit against the IRS over leaked tax returns, draws from the federal Judgment Fund, a permanent appropriation managed by the Justice Department. More than a dozen Republican senators have privately urged the White House to dismantle the fund, citing concerns about potential beneficiaries, including individuals convicted of crimes related to the January 6 Capitol riot. A federal judge in Virginia temporarily blocked the Justice Department’s plans and reopened Trump’s $10 billion IRS lawsuit, ordering responses to allegations that the fund deal amounted to fraud. The legal uncertainty has added to the political backlash, with Senate Republicans scrapping plans to advance the budget package before the Memorial Day recess. During a meeting with acting Attorney General Todd Blanche, over 20 senators expressed concerns, including Sen. Thom Tillis (R-North Carolina), who questioned payments to those convicted of violent crimes against law enforcement. Congress has broad authority to restrict or eliminate the fund under its constitutional power of the purse. Legal experts suggest lawmakers could block the fund outright or impose limitations, such as excluding individuals convicted of insurrection or specific crimes. However, political divisions and the Trump administration’s stance on the fund will determine whether Congress takes action. The controversy threatens to escalate political risks for Republicans ahead of the midterm elections, with lawmakers waiting for further guidance from the White House before proceeding.