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Secretary of State Marco Rubio has announced a significant restructuring of the United States Agency for International Development (USAID), revealing that 83% of its programs will be terminated following a thorough review conducted by Elon Musk’s Department of Government Efficiency. This decision aims to realign U.S. foreign assistance with national interests.
In his announcement shared early Monday morning on social media, Rubio detailed that a total of 5,200 contracts are slated for cancellation. The estimated financial implications of this move are considerable, with Rubio mentioning that the terminated contracts represent “tens of billions of dollars” previously allocated to programs that were deemed ineffective or even detrimental to U.S. interests.
Shifting Responsibilities to the State Department
The USAID programs that will remain — about 1,000 contracts or 18% — will now come under the jurisdiction of the State Department. Rubio indicated that this transition was made in close consultation with Congress, emphasizing a collaborative approach to this significant change.
Collaboration with DOGE
Rubio expressed gratitude towards the Department of Government Efficiency and its dedicated staff, thanking them for their extensive efforts in executing what he called an overdue and historic reform. In response, Musk acknowledged the collaboration, describing the process as challenging yet crucial for progress.
Musk underscored the efficiency of the arrangement, stating that key components of USAID should consistently align with the operations of the State Department.
Internal Conflicts and Support from Trump
Reports emerged of a tense exchange last week involving Rubio, Musk, and members of President Donald Trump’s Cabinet regarding the pace of implementing cuts at USAID. Trump apparently backed Rubio during this confrontation, asserting he was performing admirably in a notably challenging role. Following the incident, Trump took to social media to affirm the strong relationship between himself and Rubio.
A Historical Perspective on USAID Modifications
The restructuring of USAID has been a focal point for the Trump administration since its inception, with Trump ordering a 90-day moratorium on foreign assistance programs just hours after taking office. This pause was intended to assess and ensure that U.S. foreign aid activities were properly aligned with national interests.
Musk has previously criticized USAID, describing it as fundamentally flawed and likening its spending practices to illegal money laundering operations that disproportionately benefit leftist organizations.
Legal Challenges and Ongoing Litigation
As the Trump administration pushes to dismantle USAID, it faces an onslaught of legal challenges aimed at blocking its actions. Notably, the Supreme Court recently delivered an emergency ruling, denying a request to prevent the administration from reinstating approximately $2 billion in foreign aid payments linked to prior contracts with various countries.
Looking Ahead
Fox News Digital has sought comment from the State Department regarding this restructuring but has not yet received a response. As the landscape of U.S. foreign assistance evolves, stakeholders will be watching closely to evaluate the impact of these significant changes on both domestic policy and international relations.
