WASHINGTON, D.C. — The U.S. State Department has announced plans to dissolve the U.S. Agency for International Development (USAID) as an independent federal agency, transferring many of its responsibilities to the Department of State.
In an internal memo distributed to USAID staff on Friday, Deputy Director Jeremy Lewin stated that the State Department would begin the process of assuming control over USAID’s programs and administrative duties. The memo indicated an immediate transition and outlined a plan to evaluate whether some personnel may be rehired to oversee ongoing aid initiatives deemed essential.
The document further noted that all non-statutory positions at USAID would be eliminated as part of the reorganization. According to the memo, the move is intended to improve “efficiency, accountability, uniformity, and strategic impact” in the delivery of U.S. foreign assistance. The transition aims to consolidate foreign aid administration under a single department to streamline U.S. foreign policy implementation.
Secretary of State Marco Rubio confirmed the administration’s position in a public statement, noting that the United States would now manage foreign aid through the State Department. He emphasized that core humanitarian and strategic programs would continue and be aligned more directly with national interests.
In recent years, USAID has undergone significant changes, including large-scale staff reductions and funding cuts. Under the current administration, officials have implemented broad changes affecting over 80% of the agency’s programs and have reduced the agency’s physical presence in Washington, D.C.
The announcement is expected to face legal review, as experts have pointed out that dissolving a federal agency typically requires congressional authorization. In parallel, multiple court cases are challenging the broader efforts to eliminate USAID and reduce its workforce.
The State Department and USAID leadership have formally notified Congress of their intent to reorganize key functions by July 1, 2025. Further updates on the transition are expected as legal and legislative processes unfold.
