The Department of Government Efficiency (DOGE) announces the termination of an $18 million monthly contract with San Antonio-based non-profit Family Endeavors as part of sweeping federal budget cuts under President Donald Trump’s second term. The decision, which eliminates funding for an overflow housing facility for migrant families in Pecos, Texas, reflects the administration’s broader strategy to reduce government spending and reassess contracts deemed inefficient.
In a statement posted on X, DOGE confirms that the Department of Health and Human Services (HHS) has officially ended the contract, citing concerns over costs associated with operating an empty facility. The agency highlights the termination as part of an ongoing effort to curb excessive federal expenditures and ensure taxpayer dollars are being used effectively.
Family Endeavors, also known simply as Endeavors, is a well-established non-profit organization with a long history of providing services for veterans, disaster relief efforts, and housing assistance for vulnerable populations. Its administrative headquarters and wellness center, located on De Zavala Road in San Antonio, serve as the hub for its various community initiatives. The organization has been under contract with the federal government to operate facilities meant to house migrant families in transition, but with decreased occupancy and shifting border policies, the necessity of the Pecos facility has come under scrutiny.
The Pecos facility, which was initially set up to accommodate surges in migrant arrivals, has faced criticism over its high operating costs and relatively low usage. While some lawmakers and government officials defend the facility’s purpose as a critical backup for managing immigration influxes, others argue that paying $18 million per month to maintain an underutilized site represents a waste of federal funds. The contract termination aligns with Trump’s broader immigration policy agenda, which prioritizes stricter border control measures and a reduction in federally funded programs that support undocumented migrants.
The cancellation of the contract has sparked debate among immigration advocates and fiscal conservatives. Supporters of the move argue that taxpayer dollars should not be spent on maintaining unused facilities, while critics warn that eliminating these resources could leave migrant families without adequate shelter if crossings surge again. Some lawmakers are also questioning whether the decision is politically motivated, as the administration continues efforts to reshape federal immigration and humanitarian aid programs.
Endeavors has not yet released a detailed statement on the contract termination but is expected to address the situation as it assesses the impact on its operations. The non-profit may seek alternative funding sources or repurpose the facility to continue serving vulnerable communities. Meanwhile, officials in San Antonio and Pecos are monitoring potential economic and employment consequences, as the contract termination could lead to job losses and reduced local business activity tied to facility operations.
As the federal government pushes forward with additional spending cuts, organizations that rely on government contracts are bracing for further reductions. The impact of these decisions will unfold in the coming months as agencies reassess their budgets and the administration enforces its cost-cutting initiatives.
