Bill > HR4208

This bill, known as the Taxpayer Protection Act, aims to prevent what it calls "political punishment" of donor states by restricting the federal government's ability to withhold or revoke funding. A donor state is defined as a state whose taxpayers have, on average over the past three years, paid more in federal income taxes than the federal funding the state receives. The bill prohibits the President or other executive branch members from imposing general prohibitions on awarding grants or contracts to donor states or their political subdivisions and public/nonprofit entities. Additionally, the bill establishes a Donor State Protection Trust Fund in the U.S. Treasury, which would receive amounts equivalent to taxes paid by donor state taxpayers. If the federal government violates the funding restrictions, a donor state can access this trust fund to compensate for lost grants or contracts, up to the amount they would have originally received. The trust fund's excess amounts over $4 trillion would be transferred to the general Treasury fund at the end of each calendar year. The bill's provisions are designed to protect states that contribute more in federal taxes than they receive in federal funding from potential politically motivated funding cuts.

Government Affairs

https://www.congress.gov/bill/119th-congress/house-bill/4208/all-info