WASHINGTON (dpa-AFX) - As part of the Defense Department's ongoing effort to cut wasteful spending, Defense Secretary Pete Hegseth has signed a memo directing the termination of more than $580 million in programs, contracts and grants.
The memo, 'Continuing Elimination of Wasteful Spending at the Department of Defense,' orders an end to various spending identified by the Department of Government Efficiency that does not match the priorities of President Donald J. Trump or the Defense Department,' Hegseth said.
The top contract being cut is a software development program for the Defense Civilian Human Resources Management System, which was intended to streamline a significant portion of DOD's legacy human resources program.
The program started in 2018 and was supposed to take one year to develop at a cost of $36 million. However, Hegseth said it is now nearly eight years behind schedule and $280 million over budget.
The Pentagon is also cutting contracts for external consulting services, including $30 million allotted to one company that purchased several unused licenses.
In addition to contracts, DOD is also cutting $360 million in grants.
Included are a $6 million grant to decarbonize emissions from Navy ships, a $5.2 million grant to diversify the Navy and a $9 million university grant for developing 'equitable AI and machine learning models.
Hegseth said the $580 million of cuts announced in Thursday's memo brings the total money saved to $800 million since his February 20 announcement on future DOD cuts.
He said that the money saved would ensure war-fighters have what they need thanks to the cutting of fraud, waste and abuse.
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