No, you've been misled. Musk - the mastermind behind this whole fracas - has been retweeting false information about what is and isn't being funding by the government. He's the one shutting crap down and in a lot of cases, he's not entirely sure what he's shutting down.
One of the most glaring instances is Musk did retweet something about USAID secretly funding Politico.
Turns out, that was patently false.
Scanning out further, this is why it's a bad idea to have a billionaire megalomaniac have unfettered access to the US Treasury. If he's wrong about this, what else might he be wrong about?