The US Department of Defense (DOD) has ordered all defense agencies and components to review existing contracts for consulting services to determine which are “non-essential” and can be terminated or reduced. The review aims to align spending with President Donald Trump’s America First priorities, including securing the southern border and establishing a missile defense architecture.
The review will assess the essentiality of projects across the DOD, with components expected to submit consolidated submissions by March 19 for contracts awarded through the General Services Administration vehicle. Non-GSA contracts must be submitted by April 19.
The move comes as part of a broader effort to cut programs and reduce spending, with officials aiming to offset about $50 billion from the Biden administration’s planned budget request for fiscal 2026. Billionaire Elon Musk-led Department of Government Efficiency (DOGE) is also involved in probing for wasteful spending within the Pentagon.
The review will focus on consultancy services supporting business and information technology enterprises, including topics like organizational effectiveness and change management. The DOD accounts for more than 46% of federal government contracts associated with consulting services, with $233.4 billion spent on such contracts between fiscal years 2019 and 2023.
Source: https://defensescoop.com/2025/02/20/dod-review-consulting-contracts-cuts-trump-priorities-doge