
The rapid downsizing of the Inter-American Foundation spearheaded by the Department of Government Efficiency has taken Washington by surprise, leaving many questioning the true intent behind this shift.
Key Takeaways
- Peter Marocco has taken the helm of the Inter-American Foundation as the sole employee.
- Most of the IAF’s projects and contracts in Latin America and the Caribbean have been halted.
- Congressional Democrats challenge the legality and intent of the executive order leading to the cutbacks.
- The reduction in staffing could potentially undermine U.S. influence in the Latin American region.
Foundation’s Overhaul Raises Concerns
The Department of Government Efficiency, led by Elon Musk, has dramatically reduced the staff of the Inter-American Foundation. Previously consisting of 48 individuals, the agency now operates with only Peter Marocco at the helm, following an executive order by former President Donald Trump. The drastic changes included terminating its existing leadership and placing the majority of its staff on administrative leave.
This move has resulted in the suspension of 425 active projects, leading to widespread discussion regarding U.S. priorities in the region. “President Trump’s attempt to bypass the law and install his unconfirmed loyalist as an Acting Chair of the Boards of both the Inter-American Foundation (IAF) and the United States African Development Foundation (USADF) as a means to terminate their programs and their staff is unlawful and unacceptable,” noted US Senator Jeanne Shaheen.
The Role of Marocco and Impact on U.S. Influence
Marocco, appointed by the Trump administration, has advanced plans against foreign aid while asserting control over the IAF’s future. There are concerns about the long-term impact on U.S. influence in the Caribbean and Latin American regions. Previously, the IAF issued over 5,800 grants totaling more than $945 million. Critics argue that reducing the IAF’s capacity could create a power vacuum, affecting U.S. geopolitical interests.
Congressional Democrats have expressed opposition. They argue that Trump’s executive actions exceed statutory limits and undermine the IAF’s foundation, established in 1969. The American Federation of Government Employees Local 2211 is advising legal measures in response.
Legal and Political Ramifications
Pursuing legal action, Democrats emphasize that such directives require congressional approval, stating, “Any attempt to unilaterally dismantle the Foundation through executive action violates the law and exceeds the constitutional limits of executive authority.” This stance highlights broader concerns about executive overreach. As watchdog organizations monitor these proceedings, the situation remains fraught with uncertainty regarding U.S. strategy in Latin America.
There is limited response from Republican leaders regarding these changes, while critics warn of the dismantling’s possible ramifications. The IAF website has also been taken down, adding another layer to the swift alterations initiated by Marocco and the DOGE team.
Sources:
- White House installs Trump loyalist to lead independent agency in push to reduce foreign aid
- DOGE slashes entire government agency to just ONE staff member