WASHINGTON — While U.S. aid supporters recently managed to fend off another attempt by the White House Office of Management and Budget to rescind funding for global development programs, the U.S. Agency for International Development and the State Department are still facing restrictions that limit the rate at which they can spend their money until the end of the current fiscal year.
Aid advocates have described a general state of confusion surrounding the funding restrictions, which they say have been difficult to parse, and some have worried that USAID programs might be cancelled as a result of having to align spending with OMB’s directive. The latest notice from OMB offers greater spending flexibility than a previous daily spending limit that had been in place, but has still raised concerns that members of the administration are using budgetary powers to take political swipes at U.S. development programs.
“They decided to use this rather arbitrary number to continue to make a point that there are these large pipelines of unobligated funds, and ... in their view, that this is because [State Department and USAID] don’t have things [they] can spend the money on,” said Conor Savoy, executive director of the Modernizing Foreign Assistance Network.