Washington
CNN
—
The Trump administration is canceling 83% of programs at the US Agency for International Development and intends to fold the remaining programs under the State Department, Secretary of State Marco Rubio said Monday.
The move to have the remaining 1,000 USAID programs administered by the State Department would cap the quick and drastic dismantlement of the US’ independent humanitarian organization, which had been demonized by President Donald Trump and Elon Musk.
“After a 6 week review we are officially cancelling 83% of the programs at USAID,” Rubio said in a post on X from his personal account, not his official secretary of state one.
“The 5200 contracts that are now cancelled spent tens of billions of dollars in ways that did not serve, (and in some cases even harmed), the core national interests of the United States,” he claimed without providing details on the canceled contracts.
“In consultation with Congress, we intend for the remaining 18% of programs we are keeping (approximately 1000) to now be administered more effectively under the State Department,” he said.
“Thank you to DOGE and our hardworking staff who worked very long hours to achieve this overdue and historic reform,” Rubio said, referencing the Musk-backed office that has installed officials throughout the federal agencies and taken controversial steps to slash federal spending.
In a response to the post, Musk – with whom Rubio had reportedly feuded – said, “Tough, but necessary.”
“Good working with you. The important parts of USAID should always have been with Dept of State,” said Musk, who repeatedly bashed USAID and said it should be fed into a woodchipper.
In a court filing in late February, the administration said it had terminated nearly 5,800 USAID awards. According to a court filing, Rubio had “made a final decision with respect to each award, on an individualized basis, affirmatively electing to either retain the award or terminate it pursuant to the terms of the instrument or independent legal authority as inconsistent with the national interests and foreign policy of the United States.”
Sources who spoke to CNN at the time said those terminations included funding for programs that had been deemed lifesaving and granted waivers to the sweeping foreign aid freeze. Several humanitarian officials described the terminations of the awards as “a bloodbath.” Others said the rollout of the terminations from the State Department and USAID was confusing and unexpected, even to some officials within those agencies. There were reports that some terminated contracts had been restored.
CNN has reached out to the State Department for more information, including the difference in figures between Rubio’s post and the court filing.
USAID dispenses billions of dollars annually across the world in an effort to alleviate poverty, treat diseases and respond to famines and natural disasters. It also promotes democracy building and development by supporting non-government organizations, independent media and social initiatives. Most of that work has ground to a halt because of the moves of the Trump administration, which alleged misuse and fraud.
In early February, Rubio revealed he was acting administrator of USAID and told Congress he had directed a deputy, Pete Marocco, “to begin the process of engaging in a review and potential reorganization of USAID’s activities to maximize efficiency and align operations with the national interest.”
“USAID may move, reorganize, and integrate certain missions, bureaus, and offices into the Department of State, and the remainder of the Agency may be abolished consistent with applicable law,” Rubio wrote in a letter to Capitol Hill at the time.
The administration’s foreign aid freeze, which halted payments to nonprofits and contractors, as well as its moves to dismantle USAID have been challenged in the courts. A federal judge has allowed the administration to move forward with putting people on leave and terminations, but another federal judge ruled that the administration must pay out nearly $2 billion in unpaid fees for humanitarian work. The Supreme Court upheld the latter ruling last week but did not provide a timeline for pay out.
