DOGE's $500M USIP headquarters takeover sparks legal showdown

A legal battle has erupted over the fate of the United States Institute of Peace (USIP), as former officials attempt to block an effort by a DOGE-affiliated leader to transfer the agency’s $500 million headquarters to the federal government for free. Court documents indicate that this move, seen by critics as an "unlawful dismantling" of the institute, has triggered a lawsuit aimed at halting the process.The controversy began escalating weeks ago after the Trump administration dismissed the ten voting board members of USIP on March 14. With USIP staff barring DOGE representatives from entering the premises, tensions mounted. Three days later, DOGE personnel reportedly gained access to the building using a key provided by a former security contractor. The takeover was followed by the installation of former State Department official Kenneth Jackson as USIP’s acting president.According to recently unsealed court filings, Jackson later attempted to transfer ownership of the USIP headquarters to the General Services Administration (GSA), citing the best interests of the agency and the federal government. "I have concluded that it is in the best interest of USIP, the federal government, and the United States for USIP to transfer its real property located at 2301 Constitution Ave NW, Washington, D.C. 20037, to GSA and to seek an exception from the 100 percent reimbursement requirement for the building," DOGE staffer Nate Cavanaugh wrote in a letter to GSA acting administrator Stephen Ehikian. Cavanaugh, previously assigned to GSA, replaced Jackson as acting president of USIP on March 25.This maneuver has faced strong pushback from former USIP officials, who have since sued Jackson, DOGE, President Donald Trump, and other Trump administration figures in a bid to reverse what they describe as an illegitimate seizure of the institute. Their lawsuit seeks immediate judicial intervention to prevent what they call the "unlawful dismantling of the Institute."The dispute reached the courts on March 19, when US District Judge Beryl Howell sharply criticized DOGE's actions. However, she declined to grant USIP’s request for a temporary restraining order that would have reinstated its board.Government attorneys defending the transfer argue that it aligns with a February executive order by President Trump, which aims to "rein in independent agencies." In their legal filings, they assert that "the Institute is an executive agency and has decided consistent with the Executive Order and its statutory authority to transfer its excess property to GSA."Adding to the controversy, newly surfaced court documents reveal that Secretary of State Marco Rubio and Secretary of Defense Pete Hegseth approved the instructions directing USIP's assets, including its real estate, to be handed over to the GSA. The ongoing legal battle could determine the future of the institute and its role within the federal landscape.