The US House and Senate specifically denied these funds. I’m assuming that Obama signed the Bill into law. But, what’s law got to do with it?
. . . In signing the waiver, Obama instructed Clinton to inform Congress of the move, on the grounds that “waiving such prohibition is important to the national security interests of the United States.”
The Department of State, Foreign Operations and Related Programs Appropriations Act of 2012 contained a provision that said none of the funds “may be obligated or expended with respect to providing funds to the Palestinian Authority.”
In November, the US Congress released $40 million but the State Department had expressed concern about being able to provide the necessary funding to address the dire economic and humanitarian hardship facing Palestinians.
More explanation from the UPI:
Obama cited his authority under section 7040(b) of the Department of State, Foreign Operations and Related Programs Appropriations Act of 2012 section 7040(a) of the Act, to provide appropriated funds to the Palestinian Authority.
. . . House Foreign Affairs Committee Chairwoman Ileana Ros-Lehtinen, R-Fla., had questioned the Obama administration’s request for $147 million for the Palestinian Authority at a time when P.A. President Mahmoud Abbas has demanded preconditions for returning to the negotiations while also pushing a unilateral statehouse plan at the United Nations. She also expressed concern that $26.4 million had been requested for projects in Hamas-run Gaza.
“The administration also says we need to help ‘rebuild the Palestinian economy’ — this at a time when our economy is facing serious challenges and Americans are suffering,” Ros-Lehtinen said.