Fourteen out of the U.S. government’s 20 largest pending contract awards have been delayed as a result of sequestration and the total value of those contracts has fallen nearly 40 percent from the prior year.
Market research firm Deltek found the drop in value comes as agencies increase their focus on avoiding duplicative contracts as federal budgets decline, Federal Times reports.
Jim McElhatton writes the Army delaying six contracts worth up to $22 billion combined.
Deltek found the Army pushed back an $8 billion war fighter training contract award from June 2013 to March 2014 and another potential $4.9 billion space and missile technology contract from April to August, according to the report
Matthew Bourke, an Army spokesman, told Federal Times the branch faces a $14 billion shortfall and may have to delay some awards as a result.
The Air Force owns the largest contract on Deltek’s survey, a potential $10-year, $20.9 billion award for training systems.
Deltek expects the Air Force to issue an award in June 2014, one year later than it previously expected, according to Federal Times.