WASHINGTON, USA – In a significant move to eliminate inefficient spending, Defense Secretary Pete Hegseth has announced the cancellation of over $580 million in programs, contracts, and grants. This decision, detailed in a memo titled “Continuing Elimination of Wasteful Spending at the Department of Defense,” underscores the Department’s commitment to aligning its expenditures with national priorities.
“These programs are not a responsible use of taxpayer dollars, and it is our duty to ensure transparency and accountability in our spending,” Hegseth stated during a recent address. The primary focus of the cuts includes a software development initiative for the Defense Civilian Human Resources Management System, initially projected to streamline the DOD’s legacy human resources program.
This program, which began in 2018 with an expected completion in one year at a cost of $36 million, is now almost eight years behind schedule and has exceeded its budget by $280 million—a staggering 780 percent over its initial cost. “This project will no longer continue,” Hegseth remarked.
Additionally, the Pentagon is terminating contracts for external consulting services, including a notable $30 million allocation to one firm that acquired multiple unused licenses. The Department is also cutting $360 million in grants, which includes funds aimed at decarbonizing emissions from Navy vessels, diversity initiatives within the Navy, and a university grant for creating equitable artificial intelligence and machine learning models. Hegseth emphasized the need for more practical applications, stating, “I need lethal machine learning models, not equitable machine learning models.”
With the latest cuts, the total savings amount to $800 million since Hegseth’s announcement regarding future DOD reductions on February 20, 2025. He assured that these savings would bolster resources for warfighters by addressing fraud, waste, and abuse. “We are dedicated to this cause and will continue to work diligently for our servicemen and women,” Hegseth confirmed. “Stay tuned for more updates as we forge ahead.”
