Trump’s Department of Government Efficiency (DOGE) is making waves with dramatic cuts to a little-known federal agency. The Inter-American Foundation has been slashed from 48 employees to just one, with a Trump loyalist now in charge of what’s left of the $60 million operation.
At a Glance
- Trump’s DOGE team reduced the Inter-American Foundation (IAF) from 48 employees to just one staff member
- Peter Marocco, a Trump loyalist, was installed as the sole board member and chairman
- The IAF had a $60 million budget for grants to Latin American and Caribbean projects
- Democrats argue only Congress has the authority to eliminate the agency
- Several multi-year grants to various countries have been cancelled by DOGE
DOGE Delivers Major Government Downsizing
President Trump’s Department of Government Efficiency (DOGE), led by Elon Musk, has delivered on its promise to trim federal waste by drastically reducing the Inter-American Foundation (IAF) to its “statutory minimum.” The foundation, which previously employed 48 staff with an average salary of $131,000, now operates with just a single employee – Trump appointee Peter Marocco.
“The Inter-American Foundation, an agency whose primary action was to issue federal grants ($60 million budget), has been reduced to its statutory minimum (1 active employee),” DOGE announced, highlighting the dramatic reduction as a win for taxpayers. The agency, established in 1969, had been primarily focused on issuing grants for community development in Latin America and the Caribbean.
Trump Appointee Takes Control
The White House moved decisively by firing the IAF’s President and CEO, Sara Aviel, and installing Marocco as both the sole Board Member and Chairman. Most of the organization’s 37 staffers were placed on paid administrative leave as part of the transition, while Marocco and members of Musk’s DOGE team took physical control of the foundation’s headquarters.
“We do not consider the assignment of Peter Marocco to the role of Board Chairman, sent via email to the IAF Chief Operating Office on February 28, 2025, to be a valid appointment as required by IAF’s enabling statute,” Eddy Arriola said.
Marocco has already made his presence felt by cancelling several grant contracts, including projects in Peru, Bolivia, El Salvador, Brazil, Guatemala, Honduras, and Ecuador. These decisive actions align with President Trump’s broader efforts to reduce America’s foreign aid commitments and reform government spending.
Democrats Protest Reductions
Congressional Democrats have predictably opposed these efficiency measures, claiming that only Congress has the authority to eliminate the IAF. Several Democratic lawmakers, including Congressmen Joaquin Castro, Cory Booker, and Tim Kaine, as well as Congresswoman Debbie Wasserman Schultz, have voiced their objections to the reforms.
“Only an act of Congress – not an executive action – can dissolve or eliminate the IAF,” wrote the Democrat lawmakers.
Democratic Senator Jeanne Shaheen went further, claiming that the President’s actions were “unlawful and unacceptable.” Meanwhile, the American Federation of Government Employees Local 2211 is exploring legal options to challenge the staffing changes, highlighting the resistance from entrenched bureaucratic interests to meaningful government reform.
Significant Savings for Taxpayers
The IAF had awarded over 5,800 grants worth more than $945 million since 1972, with 425 active projects as of October. With high-salaried employees now reduced and grants being cancelled, American taxpayers stand to see significant savings from this streamlining initiative, which is part of a broader Executive Order targeting several agencies.
“Any attempt to unilaterally dismantle the Foundation through executive action violates the law and exceeds the constitutional limits of executive authority,” complained the Democrat lawmakers.
The IAF website has been taken offline as the restructuring continues, signaling the administration’s commitment to follow through with its government efficiency promises. The changes at the IAF demonstrate DOGE’s serious approach to identifying and eliminating redundant or inefficient government operations, fulfilling a key promise of President Trump’s MAGA agenda.
