In this case, President Richard Nixon was of the view that the administration was not obligated to disburse all funds allocated by Congress to states seeking federal monetary assistance under the Federal Water Pollution Control Act Amendments of 1972 and ordered the impoundment of substantial amounts of environmental protection funds for a program.

Several prospective recipients of the funds (which were intended to subsidize construction of municipal sewers and water treatment works), including the city of New York and several other municipalities, promptly sued, seeking judgment that the administrator was obligated to disburse full amounts authorized and an order directing him to make those allotments.

In interpreting the statute and its key terms "sums" (not all sums) and "not to exceed," the Court declined to interpret the statute as a congressional grant of discretion to the President to order the impoundment of substantial amounts of environmental protection funds for a program in these circumstances.

The President is required to carry out the full objectives or scope of programs for which budget authority is provided by the United States Congress.

In this case, the President could not order the impoundment of substantial amounts of environmental protection funds for a program he had unsuccessfully vetoed.