Musk Reportedly Announces Plan with Trump to Shut Down USAID, Sparking Controversy

Tech billionaire Elon Musk has reportedly announced that he and President Donald Trump are moving to shut down the U.S. Agency for International Development (USAID), escalating tensions over executive authority and federal spending. The announcement, made in an audio-only session on Musk’s social media platform X, has ignited controversy over the administration’s power to dismantle a federal agency without congressional approval.

Midnight Announcement Raises Eyebrows

“We’re shutting it down,” Musk declared, later adding that they were “in the process” of dismantling USAID. He emphasized that Trump fully supports the decision, stating, “I went over [it] with him in detail, and he agreed that we should shut it down.” Despite the bold claims, Musk did not clarify what legal authority the White House would use to proceed with the shutdown.

The White House has not yet issued a response to Musk’s comments. However, Trump recently criticized USAID as being “run by a bunch of radical lunatics” and praised Musk’s work on government efficiency. While Trump did not explicitly confirm plans to shut down the agency, his administration has been considering placing USAID under State Department control, a move that some legal experts argue would violate congressional mandates.

Legal and Political Hurdles

Congress, which appropriates USAID’s budget—about $40 billion in the 2023 fiscal year—is likely to challenge any unilateral move to eliminate the agency. The 1974 Impoundment Control Act restricts the president’s ability to withhold funds approved by Congress, a law that some Trump aides have suggested may be unconstitutional. If Trump proceeds with shutting down USAID, legal challenges are expected to follow.

Tensions Escalate Inside USAID

Musk’s announcement comes after a weekend of turmoil at USAID, where the agency’s director of security and his deputy were placed on administrative leave after allegedly blocking employees from Musk’s Department of Government Efficiency (DOGE) from accessing secure systems. Sources told NBC News that the DOGE staff, who eventually gained access, had even threatened to call U.S. Marshals.

Additionally, last week, over 50 career USAID civil servants were placed on administrative leave, further fueling fears of a radical shakeup within the agency. The restructuring has sent shockwaves through federal employees, with many bracing for additional cuts.

Musk Calls USAID ‘Beyond Repair’

Musk continued his criticism of the agency, calling it “beyond repair” and comparing it to “a ball of worms.” On X, he claimed he had “spent the weekend feeding USAID into the wood chipper.”

Sen. Joni Ernst (R-Iowa), a vocal critic of federal spending, backed Musk’s assessment during the call, though it remains unclear how widespread Republican support for shutting down USAID actually is.

With Trump freezing nearly all foreign aid pending a 90-day review, the future of USAID hangs in the balance. As Musk pushes for sweeping regulatory rollbacks, political and legal battles loom over whether the White House has the authority to dismantle the agency without congressional approval.

“This is our shot,” Musk said. “Now or never.”