George W Bush has signed a special memorandum barring US foreign aid to family planning groups involved in abortion.
The action is designed to quietly pre-empt abortion-rights proponents in Congress.
They hope to overturn the President's policy of denying aid to family planning groups that also do abortion counseling and lobbying with their own private funds.
Amy Coen, president of Population Action International, commented: "President Bush has responded by taking procedural steps aimed at stopping Congress from even voting on this issue.
"It is patently undemocratic... And calls into question his stated desire to work with Congress."
Mr Bush set out this prohibition in new federal rules issued to the US Agency for International Development in January.
Senate opponents subsequently pressed legislation taking advantage of a 1996 law that allows the House and Senate to reject federal regulations.
By withdrawing the proposed rules and signing the special memorandum, Mr Bush removed his decision from any kind of congressional jurisdiction.