The counterargument is pretty simple - it was directly funding propaganda. One of the truly fascinating aspects of the USAID budget cuts was a lot of journalists suddenly looking for new funding including an astonishing 9/10 Ukrainian outlets who were drawing funding from foreign sources like USAID [0].

As a matter of principle it just isn't possible to run a democracy where the government, in its official capacity, is working to shape the narrative. I can't deny that is what has been happening for decades, but the result is a toxic soup of lies and would explain a lot about why the journalist community seems to have been slowly unmooring from reality - they're attached to the money printing pipe. People shouldn't be paying for political propaganda with their taxes; particularly not in the US where it is probably leaking into domestic politics. Those NGO networks USAID was pushing money towards appear to be hostile in the main to the Trump voter base and their political objectives.

[0] https://rsf.org/en/usa-trump-s-foreign-aid-freeze-throws-jou... - I note they put in an erratum, although given that the US is almost certainly trying to obscure where its propaganda funding there are still a lot of questions. Their source in imi.org.ua was quoting some eyebrow-raising numbers.