
(Image Credit: IMAGN) Tesla CEO and X owner Elon Musk addresses a stadium audience in Washington, D.C., on the Inauguration Day of Donald Trump's second presidential term.
Washington D.C. – The Department of Government Efficiency (DOGE) announced Thursday that it has terminated 239 federal contracts with a combined ceiling value of $1.7 billion, citing concerns over wasteful spending. The move, which spans multiple agencies, is expected to save taxpayers approximately $400 million, according to a statement from DOGE.
Among the eliminated contracts was an $8.5 million consulting agreement aimed at “fiscal stewardship” to improve government management, realign the workforce, and enhance program efficiency. Also cut were several research grants related to gender identity and sexual health, including funding from the National Institutes of Health (NIH) for studies on cannabis use among sexual minorities and teen pregnancy prevention programs for transgender boys.
On Tuesday, DOGE announced that NIH had canceled multiple grants related to transgender and LGBTQ+ issues. These included:
- $699,000 for a study on cannabis use among “sexual minority gender diverse individuals.”
- $620,000 for the development of “an LGB+ inclusive teen pregnancy prevention program for transgender boys.”
- $225,000 for a University of Colorado study on the “effects of hormones on headaches in transmasculine adolescents.”
The decision to eliminate these grants is part of a broader federal effort to reduce what the administration deems unnecessary spending on identity-focused research.
On Wednesday, Agriculture Secretary Brooke Rollins confirmed that a $379,000 grant from the U.S. Department of Agriculture (USDA) had been canceled. The grant, which supported a San Francisco Bay Area program educating queer, transgender, and BIPOC (Black, Indigenous, and People of Color) urban farmers and consumers about food justice, was deemed outside the agency’s core mission.
“By stopping this wasteful spending here at USDA, we are ending identity politics and refocusing our agency on its core mission of supporting American farming, ranching, and forestry,” Rollins said in a video message.
The contract terminations are part of a larger initiative by DOGE to reduce what it considers excessive government expenditures. The agency emphasized that cutting these contracts aligns with its goal of improving efficiency and redirecting funds toward essential government services.
While supporters of the move argue that it eliminates unnecessary spending and redirects resources to critical government functions, critics say it disproportionately targets programs supporting marginalized communities. Advocates for LGBTQ+ and minority-focused initiatives warn that these cuts could have long-term negative effects on public health, education, and social equity.
The administration has defended the cuts, arguing that taxpayer dollars should be spent on programs that directly benefit the majority of Americans rather than niche social initiatives. As DOGE and other federal agencies continue reviewing contracts, further terminations could follow in the coming months.