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Thursday, October 29, 2026

Steve Bannon Blasts 'Gutless Republicans' and Russell Vought's OMB Over USAID

The War Room host says the agency's work was 'buried at the State Department' and wants a new rescissions package before the midterms.

Steve Bannon, Russell Vought
Illustration: PolitiKool (AI-assisted) (PolitiKool illustration)

Steve Bannon is accusing congressional Republicans and members of Donald Trump's administration of keeping USAID alive under another name. He called the cuts the administration has made to the agency "performative" and said it shifted the agency's work to the State Department instead of ending it.

The War Room host took aim at his own side on Wednesday's episode, which came six days before the midterms and included a report from a rally arena in Ohio. He directly rejected pushback from the White House Office of Management and Budget (OMB) and its director, Russell Vought, whom he called a show contributor and someone he respects.

"We have cut virtually nothing out of USAID," Bannon said. "We've cut virtually nothing, the entire Serbian operation is paid for by USAID."

Bannon also said Vought "vehemently disagreed" with a clip from that morning's show, telling him: "Steve you're just wrong, this is just wrong or inaccurate."

Bannon Targets 'Gutless Republicans' and OMB

Bannon based his argument on an Oct. 21 Breitbart News story, which he said Matt Mercer wrote. It reported that a Serbian nongovernmental group, the Center for Research, Transparency and Accountability (CRTA), had received $832,432.47 under a Biden-era USAID election grant, with $2.8 million still obligated. Breitbart said the group was behind the student protest movement against Serbian President Aleksandar Vučić ahead of the Serbian elections held Sunday. The story covers a single grant. It does not document USAID funding an "entire Serbian operation," as Bannon put it.

"You may call it into different categories, you shifted it over to the State Department but the gutless Republicans on Capitol Hill, the gutless Republicans on Capitol Hill and then certain people in the administration that have not wanted to cut this, you still got USAID," Bannon said.

He did not name the administration officials. Earlier in the segment, he had mentioned Vought. He also said "the House approved for one of these democracy institutes, they're pouring more money in." He gave no details about which appropriation he meant, and PolitiKool did not verify the claim.

"So no, I don't need to be lectured by OMB, open up the books," Bannon said.

He ended with a demand. "It may be under other names, it's been buried at the State Department, but no, anything that's been cut has been performative. We need to shut it all down. So let's see a big old rescissions package right now from OMB, we're waiting for it."

What Was Actually Cut at USAID

The record shows deep cuts, but it also shows that some programs moved to the State Department. USAID formally stopped implementing foreign assistance on July 1, 2025, and the State Department took over the programs it kept after thousands of contracts were terminated, ABC News reported.

Congress then approved a $9 billion rescissions package that included roughly $8 billion in foreign aid, and Trump signed it on July 24, 2025, CBS News reported.

What Happens Next

Bannon's demand for a new rescissions package is now aimed squarely at Vought's office. Any such request would arrive with Republicans' majorities on the line. Democrats lead by 8.4 points in PolitiKool's polling average of the generic congressional ballot.

Whether Vought's office answers him in public, or simply waits until after Tuesday, remains open.

Sources