In a February 19 executive order, Trump directed the elimination of non-statutory functions in the affected agencies and the reduction of their statutory roles and personnel to the legal minimum
The agencies include the Presidio Trust, the Inter-American Foundation, the U.S. African Development Foundation, and the U.S. Institute of Peace.
Trump’s administration reaffirmed its commitment to significantly reducing the federal government’s size while increasing accountability to the American people.
Within 14 days, the heads of the affected agencies have been mandated to submit reports to the Office of Management and Budget (OMB), confirming compliance and identifying any statutory obligations tied to their functions.
The Inter-American Foundation provides small grants to civil society organizations in Latin America and the Caribbean, while the U.S. Institute of Peace focuses on conflict resolution and bridging military and development sectors globally.
The U.S. African Development Foundation
The U.S. African Development Foundation (USADF) is an independent U.S. government agency established by Congress to invest in African grassroots enterprises and social entrepreneurs.
Over the past 40 years, USADF has awarded more than 3,960 grants, distributed over $265 million, partnered with 64 local organizations, and directly impacted over 2 million people, with an estimated 10 million benefiting indirectly.
The agency provides grant funding, capacity-building assistance, and networking opportunities to support African enterprises and entrepreneurs.
In 2024 alone, USADF invested $16.56 million across 114 grants in agriculture, $7.37 million across 34 grants to expand off-grid energy access, and $4.19 million across 94 grants to advance youth and women’s entrepreneurship across the continent.
Since President Trump’s inauguration, several government agencies have been shut down or placed on hold due to allegations of financial mismanagement or being deemed unnecessary. USADF’s future remains uncertain and may depend on the results of its latest audit.
According to the audit of USADF’s financial statements for fiscal years 2023 and 2024, conducted by consulting firm Williams Adley, the agency’s financial statements were found to be fairly presented in all material respects and in compliance with U.S. generally accepted accounting principles.
The audit also reported no instances of noncompliance with laws, regulations, contracts, or grant agreements.
Trump’s federal government downsizing
Ever since his inauguration, President Donald Trump’s administration has actively pursued a significant reduction in the size of the federal government.
Central to this initiative is the Department of Government Efficiency (DOGE), established on January 20, 2025, and led by Elon Musk. DOGE’s mandate is to streamline government operations, eliminate redundancies, and cut costs.
Key actions include a federal hiring freeze, an executive order mandating staff reductions, potential restructuring or elimination of agencies, and voluntary buyouts for federal employees.
The Department of Government Efficiency (DOGE) is overseeing these efforts to streamline operations and cut costs.
While supporters argue that these steps will lead to a more streamlined and accountable government, critics express concern over potential disruptions to public services and the concentration of power within the executive branch.
