State Department Absorbs USAID Programming as Agency Faces Shutdown

Breaking News: The State Department is set to absorb the remaining programs and operations of the U.S. Agency for International Development (USAID), effectively dismantling it as an independent agency. This significant change, revealed in an internal USAID memo, marks a major shift in how the U.S. delivers foreign aid and development assistance.

Historically, USAID has operated as an independent entity focused on aiding impoverished nations and fostering global development. However, in February, President Donald Trump appointed Secretary of State Marco Rubio as its acting administrator, citing concerns that USAID's efforts had deviated from advancing U.S. core interests.

The merger aims to centralize foreign assistance under the State Department to enhance efficiency, accountability, and strategic impact. But, as expected, this comes with a tough price tag—over 4,650 USAID employees are set to lose their jobs, with notices beginning to roll out as early as today. Separation dates are scheduled for either July 1 or September 2.

Jeremy Lewin, acting Deputy Administrator for Policy and Programming, stated, "By bringing USAID’s core life-saving and strategic aid programs under the umbrella of the State Department, this Administration will significantly enhance the efficiency, accountability, uniformity, and strategic impact of foreign assistance programs—and ensure that our nation speaks with one voice in foreign affairs."

In the coming months, the State Department will not only take over USAID programming but also re-evaluate staffing needs through an independent hiring process. While displaced USAID employees can apply for these roles, details remain under wraps until further announcements, likely in April or May.

This move aligns with broader government cuts spearheaded by the Department of Government Efficiency (DOGE), under the leadership of SpaceX and Tesla CEO Elon Musk. USAID has faced criticism for allegedly wasteful spending that clashed with Trump's administration goals, including funding a $1.5 million diversity initiative in Serbian workplaces and a $70,000 DEI musical in Ireland. (Yes, you read that correctly—a musical.)

Secretary Rubio made it clear in a March 11 statement that 80% of USAID’s programs would be canceled, translating to roughly 5,200 of its 6,200 initiatives. "Foreign assistance done right can advance our national interests, protect our borders, and strengthen our partnerships with key allies," Rubio remarked. "Unfortunately, USAID strayed from its original mission long ago. The gains were too few, and the costs were too high."

While this reorganization aims to reorient foreign assistance toward U.S. interests, it also raises questions about the future of global development efforts and what 'essential lifesaving programs' will look like under State Department control.