The nominated co-chairs of the soon-to-be Department of Government Efficiency, Vivek Ramaswamy and Elon Musk, have pinpointed a standard that will allow them to completely remake the federal government—and it’s all thanks to the Supreme Court.
Earlier this year, the nation’s highest court ruled on Loper Bright v. Raimondo, overturning a 1984 decision in Chevron v. Natural Resources Defense Council and killing a long-standing mandate that federal courts should defer to executive branch agencies’ interpretation of the laws they administered (so long as that interpretation was deemed reasonable).
In a lengthy statement Monday morning, Ramaswamy highlighted that Loper Bright will allow their department to enact the sweeping budget cuts they envision for the executive branch—which includes shrinking the federal deficit and slashing $2 trillion in spending by July 4, 2026.
“Under the old standard, federal courts deferred to agency interpretations of law when a statute was deemed ambiguous,” Ramaswamy wrote on X. “Overturning Chevron deference, combined with the Major Questions Doctrine codified in West Virginia vs EPA, paves the way for not a slight but a *drastic* reduction in the scope of the federal regulatory state. It’s coming.”
Musk quote-tweeted Ramaswamy’s lengthy post, simply replying, “Yes.”
The biotech billionaire pointed to several legal studies to back his perspective, including a 2017 study that found that Chevron had become something of a standard for determining agency interpretation, being applied to close to three-quarters of relevant cases between 2003 and 2013.
An op-ed by the duo published in The Wall Street Journal last month highlighted some specific and immediate targets for their cuts. They include slashing more than $500 million a year from the Corporation for Public Broadcasting (which funds NPR and PBS), nearly $300 million from Planned Parenthood, and “$1.5 billion for grants to international organizations.” Musk and Ramaswamy also suggested, in vague terms, that “entitlement programs” such as Medicare and Medicaid are on the line, though they refused to acknowledge how much they intend to burn from the critical health care programs.
