Tech billionaire Elon Musk announced plans to shut down the U.S. Agency for International Development (USAID) in collaboration with President Donald Trump, who supported the decision. Musk did not clarify the legal authority for this action or the timeline for implementation. The White House has not responded to requests for comments on this decision. There have been discussions about merging USAID under the State Department, which some argue violates a law established by Congress. Trump has placed a freeze on most U.S. foreign assistance pending review. USAID’s budget for the fiscal year 2023 was approximately $40 billion.
Musk’s decision to shut down USAID followed an incident where the agency’s security directors were placed on leave. Over 50 career civil servants at USAID were also placed on leave the week prior, indicating a radical shakeup within the agency. Musk criticized USAID as being beyond repair and expressed a desire for sweeping changes and removing regulations. The legality of this decision is being questioned, with potential conflicts with the Impoundment Control Act, which prohibits the withholding of funds that Congress has approved. Musk emphasized the urgency of taking action now, stating that this was the best opportunity for change. This decision marks a significant move in Musk and Trump’s efforts to overhaul federal agencies and streamline government operations towards their vision of efficiency.
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