November 20, 2025

Reps. Sara Jacobs, Young Kim to Improve and Localize U.S. Foreign Assistance

Rep. Sara Jacobs (CA-51) and Rep. Young Kim (CA-40) introduced bipartisan legislation to improve the delivery and success of U.S. foreign assistance. The bipartisan Locally Led Development and Humanitarian Response Act would increase effectiveness and improve transparency of the U.S. government’s efforts to localize its partner base in implementing development and humanitarian assistance. This legislation was included in the State Department Authorization, which has passed the House Foreign Affairs Committee.

 

Both Republican and Democratic Administrations have recognized that U.S. foreign assistance is more effective and produces more lasting results when implemented by local organizations. Yet only 10% of past USAID funding went directly to local organizations, and the majority of funding still goes to large, U.S.-based implementing organizations. In 2021, USAID Administrator Samantha Power pledged to provide 25% of USAID funds to local partners and to ensure that 50% of USAID programs put local voices in the lead.

 

Rep. Sara Jacobs said: “While I strongly disagree with the Trump Administration’s dismantling of USAID, now is the opportunity to rebuild U.S. foreign assistance programs thoughtfully and strategically – and that should start with empowering local communities instead of funneling more money to big Beltway contractors. From my time at the State Department, I saw the power of localization and know that it’s one of the best approaches to ensure that U.S. development and humanitarian assistance is sustainable, nimble, resilient, and successful, and to set local communities up for future success. That’s why I’m proud to introduce the bipartisan Locally Led Development and Humanitarian Response Act with Congresswoman Young Kim to ensure that U.S. foreign assistance follows the lead of local communities, who know the challenges they’re facing and how to solve them better than we do.”

 

Rep. Young Kim said: “Empowering local communities is one of the most effective ways we can ensure that development and humanitarian efforts are sustainable and responsive to real needs on the ground. I’m proud to support the bipartisan Locally Led Development and Humanitarian Response Act that strengthens local leadership, cuts unnecessary barriers for community-based organizations, and improves transparency and accountability. When we work directly with those who understand their own challenges best, we help build long-term resilience and deliver better results.”

 

Tod Preston, Executive Director of Modernizing Foreign Assistance Network, said: “MFAN applauds Congresswomen Jacobs and Kim for reintroducing the bipartisan Locally Led Development and Humanitarian Response Act. Prioritizing locally driven solutions is essential to making assistance even more impactful and to building the capacity and self-reliance countries need to thrive. This bill is a model of the kind of bipartisan, results-driven reform that will deliver lasting impact for both the United States and communities around the world.”

 

Bill O’Keefe, Executive Vice President of Catholic Relief Services, said: “International humanitarian and development assistance is both a moral imperative to advance the common good and a strategic necessity to ensure global stability and prosperity. Catholic Relief Services applauds this bipartisan legislation because it recognizes that those closest to a challenge best understand how to address it. Better localizing U.S. international assistance and working more with local partners, including faith based actors, will not only make our collective efforts more effective, but also more sustainable, which is the ultimate goal.”

 

The Locally Led Development and Humanitarian Response Act would bolster and improve transparency around the U.S. government’s efforts to localize its partner base in implementing development and humanitarian assistance. Specifically, it would:

  • Authorize the U.S. government to accept applications or proposals in languages other than English and direct the U.S. government to assess options to provide support and translation services for local languages;

  • Authorize the U.S. government to increase the de minimis indirect cost rate for local partners by 5 percentage points;

  • Authorize the U.S. government to allow a 180-day delay for local partners to register in the System for Award Management;

  • Authorize the U.S. government to award contracts or other acquisition instruments in which competition is limited to local entities if doing so would result in cost savings, strengthen local capacity, or enable more sustainable programs;

  • Authorize the U.S. government to allow foreign entities to use national or international generally accepted accounting principles for contracts or grants awarded;

  • Require the U.S. government to submit a review of public international organizations’ support for locally-led development

  • Require the U.S. government to submit an annual report on progress to advance locally-led development and humanitarian response, including funding implemented directly and indirectly by local partners, an assessment of how the U.S. is enabling more local leadership of U.S. funded programs,, an assessment of how organizations utilize provisional NICRA rates, and an assessment of how the U.S. government is using new authorities granted in the legislation;

  • Require the U.S. government to submit a report on recruitment and retention of contracting officers and agreement officers.

 

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