Marco Rubio Could Be Directed To Slash Almost Half Of The State Department's Funding: Report

The Trump administration has reportedly proposed cutting the combined budgets of the State Department and the U.S. Agency for International Development (USAID) by nearly half.

The plan, outlined by The Washington Post. is part of early deliberations over the 2026 federal budget and would reduce funding for both agencies to $28.4 billion, a $27 billion drop from the $55.4 billion approved by Congress for 2025.

The proposed reductions would cut humanitarian assistance by 54 percent, and global health programs would face a 55 percent reduction as well. Support for international organizations would be slashed by nearly 90 percent, including the elimination of funding for the United Nations, NATO, and 20 other multilateral bodies. The memo also outlines a complete withdrawal of funding from international peacekeeping missions, citing "recent mission failures."

The initiative comes as the State Department led by Marco Rubio is preparing for internal restructuring. This includes potential layoffs of tens of thousands of employees, a pay and hiring freeze, cuts to benefits and travel, as well as the shuttering of consulates and facilities overseas, the report added.

The memo describes the closure of key offices and programs, including the Bureau of Conflict and Stabilization Operations and the Fulbright Program, which has supported international educational exchanges for nearly 80 years. Critics quoted by the outlet argue that these changes amount to dismantling core tools of U.S. diplomacy and soft power.

Some lawmakers and foreign policy experts have expressed alarm about the plan. The American Foreign Service Association called the proposal "reckless and dangerous," warning it would open space for rival powers like China and Russia to increase their global influence. Democratic Sen. Chris Van Hollen, on his end, predicted the plan would face bipartisan opposition in Congress. "This is an unserious budget," he said.

The proposal retains funding for several programs that have historically enjoyed congressional support, including $5.1 billion for foreign military financing for allies such as Israel and Egypt, and $2.9 billion for PEPFAR, the U.S. global AIDS relief program. A new $2.1 billion "America First Opportunities Fund" would provide flexible support for what the administration terms "enduring and emerging priorities," something that could include selective support to international organizations.