In a significant legal decision, the U.S. Supreme Court ruled 5-4 against the Trump administration, ordering the release of nearly $2 billion in frozen foreign aid funds. The ruling reaffirms Congress’s authority over federal spending and marks a setback for executive attempts to unilaterally withhold budgeted funds.
Background: The Aid Freeze
After assuming his second term, President Donald Trump’s administration halted the disbursement of foreign aid, citing concerns about financial oversight and the need to ensure alignment with U.S. policy goals. This decision affected numerous global health initiatives and nonprofit organizations that rely on U.S. funding to provide essential services worldwide.
Critics—including aid organizations, legal scholars, and bipartisan members of Congress—argued that the move was unconstitutional. They maintained that Congress had already allocated these funds, and the executive branch lacked the authority to withhold them.
Legal Challenges and Lower Court Rulings
The aid suspension led to immediate lawsuits from organizations such as the AIDS Vaccine Advocacy Coalition and the Journalism Development Network, which argued that the freeze disrupted critical humanitarian programs, including medical aid, food assistance, and disaster relief efforts.
A federal court ruled in favor of the plaintiffs, issuing a temporary restraining order requiring the administration to resume payments. Judge Amir Ali, who presided over the case, set a firm deadline for compliance. However, the administration continued to challenge the ruling, arguing that the judiciary was interfering with executive authority. The case eventually reached the Supreme Court.
Supreme Court’s Decision
In a 5-4 ruling, the Supreme Court upheld the lower court’s order, requiring the administration to release the funds. Chief Justice John Roberts and Justice Amy Coney Barrett joined the court’s three liberal justices in the majority opinion.
The ruling emphasized that the power to allocate and distribute federal funds belongs to Congress, not the executive branch. It reaffirmed that once Congress approves a budget, the executive branch must execute it as written, barring extraordinary circumstances.
Justice Samuel Alito, in his dissenting opinion—joined by Justices Clarence Thomas, Neil Gorsuch, and Brett Kavanaugh—argued that the decision undermined the president’s ability to manage foreign policy and spending priorities. Alito called it an “overreach” that could set a precedent for courts intervening in executive decisions on budgetary matters.
Implications and Reactions
The ruling is seen as a major win for congressional authority and the principle of checks and balances. The American Civil Liberties Union (ACLU) praised the decision, stating that it prevents the executive branch from overriding Congress’s constitutional role in budgetary matters.
For aid organizations, the decision provides much-needed relief. Many had faced severe financial strain due to the funding freeze, leading to staff layoffs and program suspensions. The release of these funds is expected to restore operations and support ongoing projects that provide essential services to vulnerable communities worldwide.
This case also underscores the ongoing tension between the executive branch’s policy objectives and the legislative branch’s control over federal spending. It highlights the judiciary’s role in ensuring that no branch of government exceeds its constitutional authority.
The ruling sets a precedent that limits executive power over budgetary decisions, ensuring that funds approved by Congress reach their intended recipients. As the Trump administration moves forward, this decision serves as a clear reminder that no single branch of government can act unilaterally in matters of federal spending—an essential principle in upholding democratic governance.