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Politico’s $8M USAID funding sparks outrage: Trump says it could be the ‘biggest scandal of them all’
By isabelle // 2025-02-07
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  • Politico received over $8 million in taxpayer dollars through government subscriptions to its premium service, Politico Pro, sparking debates about media independence.
  • The Trump administration announced it would cut off these payments, calling them an inappropriate use of taxpayer funds.
  • Government funding of media outlets, even indirectly, could undermine journalistic independence and impartiality.
  • Politico leadership defended the subscriptions as providing valuable policy-focused reporting but faced skepticism over potential influence on coverage.
White House Press Secretary Karoline Leavitt confirmed Wednesday that the Trump administration is cutting off these payments, calling the arrangement an inappropriate use of taxpayer funds. The controversy erupted after government spending records revealed that Politico had received significant sums from federal agencies during the Biden administration. While Politico leadership denied being a "beneficiary of government programs," the data showed that agencies like the Department of Health and Human Services, the Department of the Interior, and USAID had paid thousands for subscriptions to Politico Pro, a service offering policy-focused reporting and tools.

A question of media independence

Critics argue that government funding of media outlets, even indirectly through subscriptions, undermines the independence of journalism. "This is a fine conversation to have, and we welcome it," Politico CEO Goli Sheikholeslami and Editor-in-Chief John Harris wrote in a memo to staff. They defended the value of their subscription service, stating that it provides "granular, fact-based reporting" to both private and public sector clients. However, skeptics question whether such financial ties could subtly influence coverage, particularly in policy areas where government agencies have vested interests. President Trump weighed in on the controversy, writing "THIS COULD BE THE BIGGEST SCANDAL OF THEM ALL, PERHAPS THE BIGGEST IN HISTORY!" in a fiery social media post. Trump’s comments reflect broader conservative concerns about the role of taxpayer dollars in propping up media outlets perceived as biased.

White House takes action

The Trump administration has moved swiftly to address the issue. Leavitt announced during a press briefing that the Department of Government Efficiency (DOGE), led by Elon Musk, is canceling all payments to Politico. "The more than $8 million taxpayer dollars that have gone to, essentially, subsidizing subscriptions to Politico on the American taxpayers' dime, will no longer be happening," Leavitt said. "This is a whole government effort to assure that we are going line by line when it comes to the federal government’s books." The decision comes as part of a broader push to scrutinize federal spending, particularly at USAID, which has been a target of Musk’s cost-cutting initiatives. While only $44,000 of Politico’s funding came directly from USAID, the agency’s involvement has drawn significant attention, with critics calling for a complete overhaul of its operations. Government spending records show that Politico’s taxpayer-funded subscriptions skyrocketed during the Biden administration, with agencies like the Department of Energy and the Department of Agriculture also contributing significant sums. This has fueled accusations that the outlet benefited from a cozy relationship with the federal government, raising questions about the impartiality of its reporting. The controversy has also reignited debates about media bias and accountability. Critics point to past instances where Politico suppressed negative stories about the Biden administration, further eroding trust in its editorial independence. The revelation that taxpayer dollars were used to fund Politico underscores the need for greater transparency and scrutiny of government spending on media subscriptions. As the Trump administration moves to end these payments, the incident serves as a reminder of the importance of maintaining a clear separation between government and media. For the American public, it’s a wake-up call to demand accountability and ensure that taxpayer dollars are not used to influence the free press. Sources for this article include: X.com FoxNews.com DailyMail.co.uk ZeroHedge.com
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