by Alice Ibarra in Politics

The Trump administration announced the elimination of more than 90% of the U.S. Agency for International Development's (USAID) foreign aid contracts, amounting to $60 billion in overall U.S. assistance worldwide. This significantly reduces U.S. development and humanitarian aid abroad, leaving few USAID projects for advocates to fight for in ongoing court battles. The administration detailed its plans in an internal memo and federal lawsuit filings. The Supreme Court temporarily blocked a lower court order requiring the administration to release billions in frozen foreign aid. The memo cited "clearing significant waste stemming from decades of institutional drift" and a desire to "use taxpayer dollars wisely to advance American interests." President Trump and Elon Musk, who heads the Department of Government Efficiency, have been strong proponents of these cuts, viewing USAID projects as advancing a liberal agenda and wasteful spending. A 90-day review of foreign assistance programs led to the near-immediate cutoff of funds, halting thousands of programs and resulting in forced leave and firings of USAID staff. Successful programs credited with saving millions of lives through disease containment efforts were also affected. Nonprofits owed billions in contract payments described the mass contract terminations as a maneuver to circumvent court orders. A Democratic Senator called the administration's actions an attempt to bypass Congress and the courts. A coalition of businesses and NGOs expressed shock and concern over the lack of transparency and the potential impact on counterterrorism, global health, and food security. The State Department said Secretary Marco Rubio reviewed the terminations. Specifically, the administration eliminated 5,800 of 6,200 multiyear USAID contract awards ($54 billion) and 4,100 of 9,100 State Department grants ($4.4 billion). While the administration claimed to be processing some back payments, the Supreme Court temporarily stayed a lower court order to unfreeze billions of dollars in aid.