Critical Health Programs Hit Hard by Funding Freeze

Funds for vital health programs worldwide remain frozen, halting their crucial work despite a federal judge’s order that temporarily halted the dismantling of the government’s primary foreign aid agency.

Interviews with workers on health projects in Africa and Asia reveal alarming impacts. Parents in Kenya cannot get their tuberculosis-suspected children tested. Water scarcity affects refugees in Nigeria and Bangladesh. Therapeutic food programs in South Sudan cannot treat severely malnourished children.

Impact on Health Services

“We have people traveling 300 kilometers from the mountains to try to find their medications at other hospitals, because there are none left where they live,” said Maleket Hailu, who runs an organization assisting people living with HIV in Ethiopia.

Hailu’s organization relied on funding from the United States Agency for International Development (USAID). Now, without access to these funds, the organization struggles to provide essential treatments.

Government’s Response

A State Department spokesperson confirmed the issuance of over 180 waivers to allow emergency activities to resume. However, the spokesperson declined to provide details of the projects that received these exemptions.

Despite these efforts, many affected organizations cannot resume operations due to halted funding disbursements.

Funding Suspension’s Severity

According to Tom Hart, CEO of InterAction—a group representing 165 foreign aid organizations—waivers without financial support are ineffective. “These organizations haven’t been paid for work dating back to December, and they have zero assurance they’ll be paid for that work or any work going forward.”

Most nonprofits dependent on USAID grants rely on quick payment cycles for immediate operational funding.

Payment System Delays

The payment system, which had been offline for weeks, was supposed to be restored by February 18. However, this deadline has not been met, leaving organizations in a state of uncertainty.

Peter Marocco, director of the Office of Foreign Assistance, signed a declaration submitted to the federal court to report on government compliance. He argued that actions were taken based on other regulations rather than the executive order, contributing to the continued funding freeze.

Complexity of the Waiver Process

The State Department spokesperson explained that the verification process for issuing waivers has become complex due to concerns about misrepresentation of activities by organizations.

One executive, representing a large healthcare organization and speaking on condition of anonymity, shared that the agency received only two of 24 requested waivers. With all waivers, the organization could cover about five percent of its activities.

Despite these exemptions, the organization has not received any new funds to operate effectively.

The Elizabeth Glaser Pediatric AIDS Foundation: A Unique Case

The Elizabeth Glaser Pediatric AIDS Foundation remains one of the few organizations that have resumed their work following the receipt of waivers. However, the foundation has not accessed new funding for these activities.

Trish Karlin, executive vice president of the foundation, explained that the organization has used pre-existing funds to restart its HIV testing and treatment programs. The foundation is owed nearly $5 million and has yet to be paid for these services.

Implications for Global Health

The frozen funding poses significant risks to global health, particularly in regions already struggling with resource shortages and public health crises.

As the push to restore operations continues, the reliance on timely funding remains critical for the sustainability of these essential health interventions.

Conclusion

While steps have been taken to alleviate the impact of the funding freeze, the operation of many health programs around the world remains compromised. The need for prompt and effective financial relief cannot be overstated.

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