USAID Contract Payments: Legal Action Outpacing Administrative Process

The GHC case litigating the termination and non-payment on foreign assistance contracts and grants continues. I’ll give an update in the coming days on this and the other legal cases involving contracts and grants.

Key today is the payments that remain outstanding. According to the Government’s status report yesterday: “The total number of such payments which remain to be processed for Plaintiffs is 66, and the total number of such payments which remain to be processed for non-Plaintiffs is 2,421. . . . if the Court were to set a deadline for the submission by Plaintiffs of invoices for payments for work completed prior to February 13, 2025, such as May 22, 2025, Defendants could finish processing all of the payments to Plaintiffs by June 13, 2025.”

Our clients have seen a significant amount of payments for work prior to February 13, but hundreds of millions of dollars remain outstanding. And termination settlement proposals are not yet being paid. USAID and State doe not seem to have adequate staffing and approvals to get this done.

Filing claims at the Court of Federal Claims is having more success.

Read Robert’ Nichols’ Linked in Post and the latest Status Report submitted to the District Court here.