Agencies can honor existing ACORN contracts
The Justice Department has instructed federal agencies to honor contracts with ACORN that were signed before Congress banned the community advocacy organization from receiving any further government funding earlier this year.
In an opinion issued in late October and released on Friday, the Justice Department's Office of Legal Counsel determined that lawmakers were unclear on whether agencies should terminate pre-existing contracts with ACORN, which stands for Association of Community Organizations for Reform Now.
In September, Congress passed a spending bill that includes a provision banning any new federal funds from going to ACORN. President Obama signed the bill on Oct. 1. ACORN responded by filing a lawsuit with the U.S. District Court for the Eastern District of New York in early November, arguing the provision is an unconstitutional "bill of attainder" that singles out one organization for punishment.
The fiscal 2010 Continuing Appropriations Resolution states, "None of the funds made available by this joint resolution or any prior act may be provided to
, or any of its affiliates, subsidiaries or allied organizations."
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