A 28-year-old tech entrepreneur’s deposition testimony reveals how the Department of Government Efficiency eliminated nearly all taxpayer-funded grants at the National Endowment for the Humanities, slashing what he called decades of wasteful spending on far-left activism disguised as scholarship.

Cavanaugh Details Grant Elimination Process

Nate Cavanaugh, co-founder of Special and a member of Elon Musk’s government efficiency team, testified in January 2026 about his role overseeing small federal agencies, including the NEH. During his tenure, Cavanaugh helped eliminate 97 percent of the agency’s grants and reduced staff by 65 percent. The deposition, now circulating widely on social media, shows attorneys questioning his qualifications to evaluate scholarly grants. Cavanaugh responded that identifying wasteful spending required only common sense and the ability to read grant applications in plain English.

There is much hope with leaders such as Nathan Cavanaugh.

When questioned about grants canceled by @DOGE he represented fiscal conservatives well.

His answers displayed confidence, intelligence & maturity.
He knew his subject & wasn’t intimidated.pic.twitter.com/OubkSEneSE

— Liberty + (@dmills3710) March 14, 2026

When pressed about his background in scholarly peer review, Cavanaugh and colleague Justin Fox defended their work, flagging grants they deemed inappropriate uses of taxpayer dollars. The attorney showed examples of flagged grants during questioning. Cavanaugh maintained that evaluating these applications did not require academic credentials, only the ability to identify programs that diverted public funds from legitimate research to ideological activism. The exchange highlighted the fundamental disagreement between career bureaucrats and the efficiency team over what constitutes proper use of federal grant money.

Executive Orders Target DEI Spending

President Trump signed executive orders in January 2025 directing federal agencies to terminate funding for diversity, equity, and inclusion programs, gender ideology initiatives, and certain environmental grants. The NEH had distributed grants for decades under previous administrations. The deposition materials, released as part of discovery in ongoing litigation, provide detailed documentation of how the efficiency team implemented these directives across multiple small agencies. Critics argue the cuts eliminated valuable research programs, while supporters maintain the reforms protected taxpayers from funding partisan political projects.

What This Means

The deposition testimony offers a window into how the Department of Government Efficiency operated inside federal agencies during its initial months. Cavanaugh’s age and private sector background represent a departure from traditional government personnel. The massive reduction in NEH grants and staff illustrates the scope of changes implemented under the efficiency initiative. The release of discovery materials in March 2026 continues to fuel public debate over the proper role and size of federal cultural agencies and their grant-making authority.