HR7605-119

What This Bill Does

The African Development Foundation Termination Act of 2026 shuts down the United States African Development Foundation. The foundation is abolished 120 days after enactment. During that 120-day period, the President must conclude the foundation's outstanding affairs.

Unexpended foundation appropriations, allocations, or other funds must be deposited into the general fund of the Department of the Treasury. The foundation's assets, liabilities, contracts, property, and records are transferred to the Department of State, as determined by the Director of the Office of Management and Budget, only for liquidation or oversight of existing multi-year grants until they expire. The foundation may not enter any new grants, loans, loan guarantees, or project agreements after enactment. The bill repeals the African Development Foundation Act and requires the Secretary of State to report proposed technical and conforming statutory amendments to Congress. Foundation employees must receive reduction-in-force notice under federal personnel law.

Who Benefits and How

Treasury general fund accounts benefit because unspent foundation balances are returned to Treasury rather than remaining available for new foundation work. Department of State grant oversight staff benefit from clear authority to supervise existing multi-year grants until expiration. OMB liquidation staff benefit from authority to determine how assets, liabilities, contracts, property, and records are transferred. Federal taxpayers benefit if foundation shutdown reduces future administrative spending. Members seeking to end the foundation benefit because the bill repeals its organic statute and prohibits new assistance agreements.

Who Bears the Burden and How

United States African Development Foundation employees bear the largest burden because the foundation is abolished and employees receive reduction-in-force notices. Existing African Development Foundation grantees face transition risk as oversight moves to the Department of State and the foundation winds down. Prospective African Development Foundation applicants lose access to new grants, loans, loan guarantees, and project agreements. Department of State liquidation staff must take custody of assets, records, contracts, liabilities, and grant oversight. The Secretary of State must report conforming statutory amendments to Congress. The President must manage the 120-day wind-down.

Key Provisions

• Abolishes the United States African Development Foundation 120 days after enactment.
• Requires the President to conclude the foundation's outstanding affairs during the wind-down period.
• Deposits unexpended foundation funds into the Treasury general fund.
• Transfers foundation assets, contracts, property, liabilities, records, and existing grant oversight to the Department of State for liquidation.
• Prohibits new foundation grants, loans, loan guarantees, and project agreements after enactment.
• Repeals the African Development Foundation Act and requires a conforming-amendments report to Congress.
• Requires reduction-in-force notice for foundation employees under federal personnel law.