Sponsors (18)
The bill aims to cut costs and consolidate U.S. overseas development functions under the State Department, but those changes risk reducing foreign assistance, disrupting humanitarian programs, prompting job losses, and weakening independent oversight.
U.S. taxpayers: federal spending on overseas development programs could be reduced if USAID unobligated balances are rescinded, potentially lowering federal expenditures.
Federal oversight and administration: transferring USAID assets and liabilities to the State Department could consolidate overseas assistance oversight and reduce duplicative administrative overhead.
Foreign partners and beneficiaries (including nonprofits, immigrant communities, and state/local partners): could lose U.S. development aid and services if USAID is barred from using funds to carry out its statutory functions, reducing assistance abroad and services relied upon.
Ongoing humanitarian and development programs: shifting USAID functions and assets to the State Department could disrupt programs and slow humanitarian and development responses during transition, harming people who depend on timely aid.
USAID employees and contractors: could face job losses or contract terminations if unobligated balances are rescinded and funding halted, reducing employment and contractor revenue.
Based on analysis of 2 sections of legislative text.
Eliminates USAID’s access to federal funds, rescinds its unobligated balances, and transfers USAID assets and liabilities to the Secretary of State.
Prohibits any federal funds from being used to carry out functions assigned to the USAID Administrator, rescinds USAID’s unobligated balances as of the day before enactment, and transfers any remaining USAID assets and liabilities to the Secretary of State. Effectively ends USAID’s independent funding stream and moves residual resources and responsibilities to the Department of State on the date of enactment.
Introduced February 7, 2025 by Marjorie Taylor Greene · Last progress February 7, 2025