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Full Breakdown

Senate Stalemate Over Todd Blanche’s Attorney General Nomination

7/29/2026, 5:35:31 AM

Core Issue: Unresolved Settlement Terms

Sen. John Cornell (R-Texas) announced that no agreement has been reached with the Trump administration to amend the settlement that includes a $1.8 billion “anti-weaponization” fund. Without such an amendment, Cornyn says he cannot support acting Attorney General Todd Blanche’s nomination, and the Judiciary Committee’s vote scheduled for later this week could be jeopardized.

Background: Trump-IRS Settlement and the Fund

In May, the Justice Department created a $1.776 billion compensation fund as part of a settlement that resolved former President Donald Trump’s $10 billion lawsuit against the IRS over the leak of his and his organization’s tax records. The settlement also contained a pledge that the IRS would no longer pursue Trump, his family, or his businesses for unpaid taxes filed before the deal’s effective date.

Political Maneuvering: Cornyn, Tillis, and Blanche’s Positions

Sen. Thom Tillis (R-N.C.), a fellow Judiciary Committee member, has joined Cornyn in urging the Department of Justice to renegotiate the settlement so that the anti-weaponization fund cannot be revived in the future. Both senators argue that the settlement language should reflect Blanche’s testimony that the fund is “dead” and that any immunity from future audits applies only to the parties to the original lawsuit.

Blanche, who has repeatedly told senators that the proposed fund will not return, acknowledged that the fund remains on paper as part of the Trump-IRS settlement. During his confirmation hearing, he faced a heated, closed-door discussion with Republican senators, and nearly half of the GOP conference expressed displeasure with the fund’s inclusion.

Potential Impact on Confirmation

If the settlement is not revised to align with Blanche’s statements, Cornyn and Tillis indicate they will withhold their votes, which could stall the nomination in the Judiciary Committee. The outcome may force Congress to consider separate legislation to bar the creation of such a fund, a route the senators deem more straightforward than amending the settlement.