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Trump’s $1.8 billion settlement fund hits GOP roadblock

A Justice Department pause on a $1.776 billion settlement fund set to compensate Trump’s political allies is colliding with fast-moving Senate Republican backlash. GOP senators plan to meet Tuesday to decide next steps after they say the administration has not

By the time most senators left Washington for Memorial Day recess, the $1.776 billion settlement fund tied to President Donald Trump had already become a new kind of fight inside the GOP.

It was supposed to be money to compensate Trump’s political allies after his lawsuit against the IRS over the leak of his tax returns. But two weeks after Senate Republicans revolted against the settlement and left town without passing other key legislation. the Justice Department said it would comply with a court order pausing implementation of the fund. The pause is temporary—set to be tested again at a June 12 hearing—and Senate Republicans are now demanding clearer commitments before they move any further.

This week, the settlement and a separate immigration spending bill for three years are entangled in the same deadline pressure. Returning to Washington on Monday evening. Senate Majority Leader John Thune said he wasn’t sure whether the immigration spending bill would move this week. “To be determined,” he told reporters.

At the center of the dispute is what comes next for a fund lawmakers say could end up benefiting Trump supporters who beat police and attacked the Capitol on Jan. 6, 2021.

Thune framed the question with a warning tone—less about procedure, more about leverage. “I do think the best way to handle it is if the administration decides to shut it down themselves. ” he said Monday. referring to the fund. Republicans, he added, expect to have a better idea after meeting for their weekly conference lunch on Tuesday.

The Justice Department says it disagrees with the pause

The Justice Department said it would comply with a ruling Friday from U.S. District Judge Leonie Brinkema, who temporarily halted the fund for two weeks. Brinkema scheduled a June 12 hearing to hear arguments on whether to extend her order.

In a statement, the department said it strongly disagrees with the ruling but would comply.

For Republican senators who pushed back earlier, the legal language wasn’t enough. They want specifics about what the administration will do if the court process continues.

“It’s pretty clear that the president has to say very explicitly that there’s not going to be a weaponization fund,” said Senate Judiciary Committee Chairman Chuck Grassley, R-Iowa.

Oklahoma Sen. Jim Lankford said Trump administration officials “need to say what they actually mean.” He argued they must commit to setting the plan aside: “They need to say, we’re setting this whole thing aside.”

Alaska Sen. Lisa Murkowski said she would be satisfied if the settlement were fully withdrawn, but she said she hasn’t heard that outcome spelled out. “If the settlement is completely pulled, then I’m satisfied. But I haven’t heard anybody say that.”

John Kennedy of Louisiana said the administration is already obligated to follow the court decision, but he still needs a clear picture of the longer-term stance. “That’s in the Constitution. I have to know more about their position.”

And Kennedy suggested the settlement issue could determine whether the Senate can even move the package now. “Right now, the reconciliation bill looks like a broken arm with the bones sticking out,” Kennedy said. “It won’t move this week, in my opinion, unless we have some resolution on the weaponization account.”.

Senators describe an expectation of explicit endgame

The showdown accelerated after Trump announced the fund without prior heads-up to lawmakers. The settlement was designed to resolve Trump’s lawsuit against the IRS over the leak of his tax returns.

When the settlement became public, the Senate was already wrestling with tricky passage of immigration legislation. The bill included an added $1 billion in White House security costs, including costs for Trump’s ballroom project.

Senate Republicans responded by jettisoning the White House security money from the legislation. They made clear they would not pass the bill at all unless the White House made major changes to the settlement.

With Republicans leaving town without passing the immigration measure—after Democrats said they would propose amendments to scrap or scale back the judgment fund—the stakes shifted from a political argument to a funding dilemma for federal enforcement agencies.

The immigration bill’s failure would endanger money for Immigration and Customs Enforcement and Border Patrol.

A month of backlash preceded the court pause

Senators said their outrage peaked last month at a closed-door meeting between senators and acting Attorney General Todd Blanche. Republican Sen. Ted Cruz of Texas described the session on a recent episode of his podcast as “one of the roughest meetings I’ve seen in my entire time in the Senate.”

Within the GOP, senators had discussed ways to curb the fund, including limiting who can receive payouts, changing the makeup of the commission in charge of settlement decisions, adding some sort of judicial review for applicants, or scrapping the fund altogether.

While senators sought options, the White House faced mounting pressure about what the fund could become in practice. A person familiar with the president’s thinking. speaking on condition of anonymity. said Trump was reconsidering whether to move forward with the settlement. The president has not said publicly what he intends to do.

Politics inside the party raises uncertainty outside it

Adding another layer, Trump’s campaign-year effort to defeat GOP lawmakers he sees as disloyal has already reshaped the Senate’s internal math.

Sens. Bill Cassidy of Louisiana and John Cornyn of Texas both lost reelection bids in May after Trump endorsed their primary opponents. In a 53-47 Senate, it remains unclear how supportive they will be of the president’s agenda going forward.

Thune acknowledged the political atmosphere as part of the reality he’s navigating. “I think it’s hard to divorce anything that happens here from what’s happening in the political atmosphere around us,” he said before the Senate left town.

Now, with the Justice Department ordered to pause the settlement for two weeks and a June 12 hearing approaching, the GOP’s next step is less about whether the fund can be debated—it’s about whether the administration will spell out a clear endgame in time to allow the immigration bill to move.

Trump settlement fund Justice Department Leonie Brinkema GOP senators Senate Majority Leader John Thune immigration spending bill Immigration and Customs Enforcement Border Patrol Ted Cruz Chuck Grassley Jim Lankford Lisa Murkowski John Kennedy Todd Blanche

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