Most of us are aware that the current administration has unilaterally dismantled the United States Agency for International Development (USAID). This action is most likely illegal. USAID was established by Congress and only they can dissolve it. But the administration’s “wrecking ball” strategy has destroyed it beyond repair.
I have worked with USAID over the years through my NGO, Project HOPE. I don’t doubt that USAID could have used some streamlining. It was bureaucratic and slow-moving. Its program priorities could have used a good review. But in general, its people were hard working, dedicated and conscientious. Costing about 0.75% of the federal budget, USAID was good value for the money for building U.S. soft power.
As the administration proceeded to dismantle the organization, I was shocked by the allegations of fraud and abuse, the vilification of USAID employees, and the abrupt cancellation of programs, many of which served people in dire need around the world. In my opinion, there were more thoughtful and careful ways to come at this. Despite all the allegations of fraud, misuse of funds, and abuse no one has been charged with any crimes related to USAID activities.
A number of USAID dependent NGOs, some quite large, have already gone under and more will shut down in the coming months. I estimate that for every USAID employee fired, at least 10 other employees in the U.S. will lose their jobs. USAID had just under 5,000 employees, so conservatively that’s 50,000 people.
This is an issue for us here in Vermont. usaidstopwork.com tracks state-by-state contract cancellations. They estimate that there are six organizations based in Vermont that manage 55 USAID contracts. At least 41 of these contracts, with a value of $221 million, have already been cancelled. By their estimate, there are $220 million of remaining contacts in jeopardy. That is a total of $441 million potential and already realized contract losses to Vermont organizations. Much of that work was probably delivered outside of the state, but contract losses of that magnitude will undoubtedly impact headquarters’ operations and result in local job losses.
Two large local contractors have been identified as being affected; Tetra Tech and World Learning. Tetra Tech, headquartered in Montpelier, is a consulting engineering firm focused on water, environment, sustainable infrastructure, and renewable energy projects worldwide, with an international development focus. World Learning, headquartered in Brattleboro, delivers educational programs to over 150 countries worldwide. They got their start working with the Peace Corps back in the 1960s and became the training arm to prepare volunteers for overseas assignments.
Given my involvement with Project HOPE, I’d be remiss if I didn’t talk about the humanitarian impact of USAID’s demise. The scale of this has been significant and it can only be characterized as a humanitarian disaster. There was no orderly shutdown of programs. Cancellations were immediate and many of the most vulnerable were abruptly left without the aid they needed to survive. Nicholas Kristof, in a March 15 opinion piece in the New York Times, estimates that at least three million people, mostly women and children, are at risk of dying within the year as a result of the administration’s actions. Project HOPE is not as dependent on USAID funding as many, and we are trying to step in to critical programs where we can. But the scale of aid being shut down is huge. It is not an exaggeration to say that people are dying.
If the impact on local organizations, job losses here in Vermont, and a global humanitarian disaster don’t move you, perhaps the soft power argument will. Providing global support, whether humanitarian or other, helps the U.S. position itself as a force for good in the world. Ironically, it was Republican administrations that understood this. Eisenhower, commissioned Project HOPE in the 1960s and coined the term “medical diplomacy.” You should read his second inaugural address, delivered on January 21, 1957, titled “The Price of Peace.” In it, he made the case that there were people in desperate need around the world and that the U.S., with all our skill and resources, had a moral duty to help them. Bush also understood this when he championed PEPFAR, a program that has arguably done more to curb the HIV AIDS epidemic worldwide than any other initiative. Providing aid and support to those most in need around the world takes the moral high ground and builds goodwill.
Project HOPE responded last week to the earthquake in Myanmar. We got a team quickly on the ground and started coordinating our response with others that had arrived. Russia, European countries and, notably, China had all mounted significant aide responses and had medical supplies, search teams and medical teams on the ground. We were dismayed that a U.S. response was completely absent – crickets. There wasn’t even anyone in Washington to talk to about a U.S. response. This works just fine for the Chinese. They are flexing globally and understand soft power. If the U.S. leaves a vacuum around the world, they will happily step in.
Pete Mooney lives in Waitsfield.