USAGM spends millions to reverse Trump-era dismantling of Voice of America

Key points

• The Trump administration moved to dismantle Voice of America in early 2025, citing waste elimination and government shrinkage, with an estimated shutdown cost of $153 million for fiscal 2026.
• Congress allocated $643 million to the U.S. Agency for Global Media (USAGM) for fiscal 2026 to ensure continued operations, contradicting the administration's initial closure plan.
• USAGM is now actively rebuilding the agency by reinstating canceled contracts, rehiring staff, and purchasing new equipment.
• The agency is currently paying 420 employees $3.2 million every two weeks to remain on leave, according to a State Department inspector general report.
• The inspector general noted that reversing initial cost-saving decisions has resulted in additional costs for taxpayers, though the total financial impact of the shutdown and related lawsuits is not yet calculated.

Background

This development follows a broader pattern of the Trump administration's efforts to restructure federal agencies and rename government assets, as seen in previous reports regarding the renaming of Lake Ontario to Lake America and New Mexico to New America. Those actions sparked legal challenges and political backlash, highlighting the administration's aggressive approach to reshaping government institutions and symbols. The current situation with Voice of America represents a significant reversal of that strategy, where initial dismantling efforts have necessitated costly reconstruction efforts funded by Congress.

Why it matters

This situation highlights the financial and operational consequences of abrupt government restructuring efforts. The reversal of the Voice of America shutdown demonstrates the challenges of implementing rapid policy changes without considering long-term operational impacts. The additional costs incurred by rebuilding the agency, including paying employees to remain on leave, raise questions about the efficiency and fiscal responsibility of such administrative actions. It also underscores the role of Congress in overriding executive branch decisions and the potential for legal challenges to arise from contested government actions.

What to watch

The USAGM will continue its efforts to rebuild Voice of America, including rehiring staff and reinstating contracts. The financial impact of the shutdown and subsequent lawsuits will likely be assessed as they progress through the courts. Congress may need to provide additional funding to cover the costs of rebuilding and any legal settlements. The situation may also lead to further scrutiny of the Trump administration's approach to government restructuring and its impact on federal agencies.