Judge orders Trump administration to speed payment of USAID and State Dept. debts
Share and Follow

A federal judge demanded the Trump administration to accelerate its payment of around billion in debts to partners of the US Agency for International Development and the State Department. The lawsuit stemmed from the administration’s sudden halt of foreign assistance funding, requiring repayment to nonprofit groups and businesses. The administration was given a deadline of Monday to settle the outstanding amounts.

US District Judge Amir Ali described the partial payment as a “concrete” first step he wanted to see from the administration, which is fighting multiple lawsuits seeking to roll back the administration’s dismantling of USAID and a six-week freeze on USAID funding, which has forced US-funded organizations to halt aid and development work around the world and lay off workers.

Ali’s line of questioning in a four-hour hearing Thursday suggested skepticism of the Trump administration’s argument that presidents have wide authority to override congressional decisions on spending when it comes to foreign policy.

It would be an “earth-shaking, country-shaking proposition to say that appropriations are optional,” Ali said.

“The question I have for you is, where are you getting this from in the constitutional document?” he asked a government lawyer, Indraneel Sur.

Thursday’s order is in an ongoing case with more decisions coming on the administration’s termination of more than 90% of USAID contracts worldwide this month.

Ali’s ruling came a day after a divided Supreme Court rejected the Trump administration’s bid to freeze funding that flowed through USAID.

The high court instructed Ali to clarify what the government must do to comply with his earlier order requiring the quick release of funds for work that had already been done.

The funding freeze stemmed from an executive order signed by President Donald Trump on Jan. 20.

The administration appealed after Ali issued a temporary restraining order and set a deadline to release payment for work already done.

The administration said it has replaced a blanket spending freeze with individualized determinations, which led to the cancellation of 5,800 USAID contracts — more than 90% of the agency’s contracts for projects — and 4,100 State Department grants totaling nearly $60 billion in aid.

“The funding freeze, it’s not continuing. It’s over,” Sur told the judge Thursday.

With thousands of the form-letter contract terminations going out within days earlier this month, nonprofits and businesses charge that no actual individual contract reviews were possible, and that the contract cancellations only made permanent most of the across-the-board program shutdowns from the funding freeze.

The AIDS Vaccine Advocacy Coalition, the Global Health Council and other plaintiffs in the lawsuit are seeking back payment for their share of the nearly $2 billion they and other USAID partners were already owed at the time of the Jan. 20 funding freeze.

Lawyers for the organizations told the court Thursday they also wanted to see all of the contract terminations reversed, and future terminations follow regulations.

The Trump administration said it recently resumed payment for USAID debts after the funding freeze.

But it told the court that its processing of payments was being slowed because it had pulled most USAID workers off their jobs, through forced leaves and firing, as part of the agency shutdown.

Ali noted Thursday that USAID had said it routinely made thousands of payments before the agency shutdown, and that it said it had recently called 100 staffers off leave to process payments.

The administration could continue bringing idled workers off leave to make Monday’s deadline, he said.

Share and Follow
You May Also Like
Brown University custodian told security suspicious man was ‘casing’ building weeks before shooting: report

Brown University Custodian Alerted Security to Suspicious Activity Weeks Before Campus Shooting Incident

A custodian at Brown University reported witnessing the shooting suspect numerous times…
‘Israel is only the appetizer’: Huckabee warns Iran threat looms as Netanyahu eyes Trump talks

Huckabee Cautions on Iran’s Growing Threat as Netanyahu Considers Discussion with Trump

Huckabee says Iran’s ‘ultimate goal is to destroy the US’ The U.S.…
Did anyone win Monday's $654 million Powerball?

Record-Breaking $1.60 Billion Powerball Jackpot: Find Out When to Play Next!

The Powerball jackpot is soaring to unprecedented levels, standing at an estimated…
Convicted killer kept in police oversight role as city council dismisses concerns over public safety

City Council Faces Backlash for Retaining Convicted Killer in Police Oversight Role Despite Safety Concerns

A convicted murderer from Oregon has been reinstated to Salem’s police oversight…
Chicago firefighter, another person injured after West Side church fire spreads to another building at N. Lotus Ave., W. Huron St.

Chicago Firefighter and Civilian Injured as West Side Church Blaze Extends to Adjacent Building on N. Lotus Ave. and W. Huron St.

A blaze erupted on Sunday night, injuring a Chicago firefighter and another…
White House trolls Jon Hamm by turning him into a meme praising Trump

White House Memes Jon Hamm: The Surprising Trump Praise That Broke the Internet

Hollywood icon and Democrat advocate Jon Hamm has unexpectedly found himself featured…
Once-thriving shopping mall is eerily empty on Sunday before Christmas

Deserted Mall: A Surprising Sight Just Days Before Christmas

In a stark contrast to its bustling past, a once-celebrated shopping mall…
Kilmar Abrego Garcia listens during a rally ahead of a mandatory check at the Immigration and Customs Enforcement office in Baltimore, Friday, Dec. 12, 2025, after he was released from detention on Thursday under a judge

Federal Judge to Rule on Kilmar Abrego Garcia’s Potential Return to Immigration Custody

GREENBELT, Md. (AP) — On Monday, a federal judge is set to…