The U.S. Agency for International Development (USAID), the world's largest humanitarian aid donor, may be shut down after tech billionaire Elon Musk claimed that President Donald Trump agreed to wind down the agency.
Early Monday, Musk held a live session on X Spaces and said that he spoke in detail about USAID with the president. "He agreed we should shut it down," Musk said.
The development comes after Trump administration has placed two senior security officers of the agency on leave after they declined to grant the Department of Government Efficiency (DOGE) inspection team access to classified materials, according to two U.S. officials familiar with the situation.
The clash occurred when members of DOGE, which was formed with the backing of the Trump administration and is headed by tech billionaire Elon Musk, attempted to inspect USAID's security systems and personnel records, according to sources familiar with the incident.
The team also wanted to view classified materials—documents that are available only to individuals with the necessary security clearance and a legitimate need to know, sources confirmed. These materials reportedly include sensitive intelligence reports, reported AP.
The USAID Director of Security John Voorhees and his deputy, Brian McGill believed they were legally bound to deny access to the restricted material, as the inspection team lacked the required security clearance.
Sources reveal that DOGE personnel made an attempt to physically enter the headquarters of the USAID in Washington, D.C. When they were stopped by security, the DOGE even threatened to involve U.S. Marshals in order to gain entry.
The DOGE team was eventually granted access to the classified information on Saturday, according to a former official.
Kate Miller, a member of DOGE's advisory board, Sunday confirmed that the DOGE team accessed classified information but emphasized that they did so with the proper security clearance.
"No classified material was accessed without proper security clearances," Miller stated.
Reacting to the news, Musk posted on X (formerly Twitter) on Sunday: "USAID is a criminal organization. Time for it to die." His comments were followed by multiple other posts criticizing the agency.
The latest development comes a day after Musk's DOGE team gained access to sensitive materials at the U.S. Treasury Department. According to reports, a senior Treasury official resigned following Musk's team's entry into the department, which involved reviewing critical data, including customer payment systems for Social Security and Medicare.
USAID's Ongoing Struggles
Under the Trump administration's policies, USAID has been one of the primary targets of cuts and restructuring efforts, with a severe freeze on foreign assistance programs. The freeze has disrupted the agency's humanitarian, development, and security missions across the globe, leading to mass layoffs and furloughs.
On Saturday, the agency's website had went offline without stating any reason.
"It's been run by a bunch of radical lunatics. And we're getting them out," President Donald Trump told reporters about USAID, on Sunday.
Last week, about 60 senior USAID staff members were placed on leave after being accused of trying to bypass an executive order that restricts foreign aid. In a related move, another high-ranking official was also suspended for attempting to reverse the decision after finding no evidence of misconduct.
Additionally, it was reported that the entire public affairs office of USAID has been placed on leave and locked out of its systems, CNN reported.
USAID, founded in 1961 under President John F. Kennedy, serves as the U.S. government's primary humanitarian organization.
USAID, an independent agency established by an act of Congress, manages a budget of $42.8 billion meant for humanitarian relief and development assistance to over 100 nations. It is also seen as an important instrument of U.S. soft power, strengthening relations with foreign communities through its development efforts.
U.S. national security is often approached through a framework that includes "the three Ds"—defense, diplomacy, and development—areas overseen by the Pentagon, the State Department, and USAID, respectively.
There have been reports suggesting that Trump wants to merge USAID into the State Department. Senior Trump officials, including Stephen Miller, have criticized USAID, claiming its workforce is predominantly Democratic.
