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Home DoD

DOD Eyes Termination of ‘Non-Essential’ Consulting Contracts

by Jane Edwards
February 24, 2025
in DoD, News
DOD Eyes Termination of 'Non-Essential' Consulting Contracts

The Department of Defense has released a memo directing heads of component agencies to review and validate existing consulting services contracts.

Table of Contents

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  • Phased Approach to Contract Review, Validation

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GAO Offers Recommendations to Strengthen Federal Cloud Security Practices

Four Naval Commands Unite to Launch Gulf Coast Defense Catalyst Partnership

The Feb. 18 memo issued to senior Pentagon leadership, defense agencies and DOD field activities directors calls for the assessment of the “essentiality of contracts … for the purpose of terminating or descoping contracts for activities that are not essential for the Department to fulfill its statutory purposes.”

The move seeks to ensure alignment with President Trump’s America First priorities and the direction of Pete Hegseth, secretary of defense and 2025 Wash100 awardee.

Phased Approach to Contract Review, Validation

DOD will implement a phased approach to assessing and validating the contracts, according to the memo signed by Steven Morani, who currently performs the duties of the under secretary of defense for acquisition and sustainment.

The initial review will be for contracts where a DOD contracting officer has placed an order against a General Services Administration contract vehicle for consulting services.

Under Phase 2, component agencies will evaluate and validate non-GSA contracts for consulting services.

For consultancy contracts determined to be “essential,” components should submit a short justification, including a validation of the requirement by a general officer or a Senior Executive Service member.

Components have until March 19 to submit the results of their review for GSA-related contracts. Submissions for non-GSA contracts are due April 19.

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