(Reuters) -Elon Musk’s Department of Government Efficiency has ordered the cancellation of around $400 million in grants doled out by AmeriCorps, the federal government’s national service and volunteering agency, the Washington Post reported on Friday, citing three sources with knowledge of the matter.
The canceled grants amount to 41% of the agency’s annual budget for 2025 and will affect 1,031 organizations as well as 32,465 AmeriCorps members and senior volunteers, the newspaper reported.
AmeriCorps grants fund local and national organizations that offer community services related to education, disaster preparedness, environmental conservation and more.
The move to eliminate the grants comes as part of an unprecedented push by President Donald Trump and his billionaire adviser Musk to shrink the federal government, saying U.S. taxpayer money is being misspent.
Last week, the White House placed most of AmeriCorps’ 650 full-time staff members on paid administrative leave, and layoff notices began arriving Thursday, the Post reported, citing employees.
AmeriCorps and the White House did not immediately respond to requests for comment.
(Reporting by Ryan Patrick Jones; Editing by Cynthia Osterman)
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