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Legislative Process Keyed to Mikva, 5th Ed.
Clinton v. City of New York
Citation:
524 U.S. 417, 118 S. Ct. 2091, 141 L. Ed. 2D 393 (1998)Facts
In 1996, Congress passed the Line Item Veto Act, giving the President the authority to “cancel” specific spending and tax benefit provisions after signing a bill into law. In August 1997, President Clinton exercised this power by canceling Section 4722(c) of the Balanced Budget Act, which would have protected New York State from repaying certain Medicaid-related taxes, and Section 968 of the Taxpayer Relief Act, which provided tax benefits to farmers’ cooperatives acquiring food processing facilities. The City of New York (which would face financial liability if the state had to repay the taxes) and Snake River Potato Growers (which was planning to use the tax benefit to acquire processing facilities) challenged these cancellations as unconstitutional. The President had followed all the procedural requirements of the Act when making the cancellations, including providing written explanations for each decision based on budget considerations.
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