White House budget office gives political appointees more power in spending, alarming career officials

The White House budget office has upended a decades-old policy on how federal agencies spend money, giving more power to political appointees to move money around, two senior administration officials confirmed.

Previously, career staffers at the White House Office of Management and Budget, the kind of employees who work at agencies despite changes in administrations, were charged with signing off on approving the "apportionment" of funds, deciding how to shift or restrict the disbursement of money, already approved by Congress.

Under a new system unilaterally put in place last week, those decisions will now be signed off by political appointees chosen by the Trump administration, who work as program associate directors at OMB. The change was confirmed by two senior administration officials who were granted anonymity because they declined to speak on the record about the new internal policy.

Career staff at OMB have privately expressed concern that the shift will dramatically slow down the disbursement of federal funding approved by Congress, according to two people granted anonymity to discuss private conversations with these staffers. Some career staff have also expressed "deep suspicion" about the administration's motives for the change, one of these people said. Career staffers say they are unclear why this change is happening now.

The Senate last month confirmed as the new OMB director Russ Vought, a fiscal hawk who helped lead the Heritage Foundation, a conservative think tank. Vought already has the power to legally sign off on any OMB spending decision, and career officials already report to political appointees.

White House officials under President Donald Trump have already, dramatically, stretched prior limits on how funding can be unilaterally repurposed without the consent of Congress, fueling some of the most contentious battles in the Trump administration.

OMB's decision to halt military aid to Ukraine last year was central to the House's impeachment of the president. Congressional Democrats blasted the White House for withholding aid approved by Congress to Puerto Rico. More recently, after a deal with Congress fell through over unemployment benefits, the White House unilaterally reallocated tens of billions of dollars in hurricane relief money to a new program to help unemployed Americans.

Congressional Democrats and former officials at the White House Office of Management and Budget denounced the decision, saying it will give political appointees discretion over key legal decisions that should be made by expert career staff.

"Apportioning funds is a responsibility delegated to career staff because they are steeped in those laws and are in the best position to know whether the laws are being observed," said Jack Smalligan, a former top official at the White House budget office.

Added House Budget Committee Chairman Rep. John Yarmuth, D-Ky.: "This is a deliberate and disturbing step by the Trump Administration to consolidate power among political cronies, undermine Congress, and silence anyone who might stand in their way,"

The change in policy was reported first by Politico and The Intercept. Spokespeople for the White House budget office refused to answer questions on the record or provide a copy of the new policy.

The two administration officials granted anonymity to discuss the policy characterized the shift as a routine change long under discussion. These officials also downplayed the significance of the change by pointing out the career officials were already serving under the political appointees, and that career officials would remain heavily involved in the apportionment process.

The Government Accountability Office, Congress’ nonpartisan watchdog, previous found that the White House’s hold on the Ukraine aid violated federal law.