EO Mandates Centralized System to Record Spending on Contracts, Grants
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EO Mandates Centralized System to Record Spending on Contracts, Grants

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President Donald Trump has released an executive order directing agency heads to work with Department of Government Efficiency, or DOGE, team leads to develop a centralized technological system to record payments issued to covered contracts and grants. 

The White House said Wednesday that each record should include a written justification submitted by the agency employee who approved the payment.

The centralized system should be implemented in a way that allows agency heads to pause and assess payments that do not come with written justification.

The requirement is part of the EO seeking to implement the cost efficiency initiative for DOGE.

Review of Covered Contracts, Grants

The new policy requires agency heads to assess all covered grants and contracts and modify or terminate them to reduce federal spending or shift funds in support of the current administration’s policies.

Within 30 days of the order’s issuance, agency heads should conduct and complete a comprehensive review of agencies’ contracting policies, personnel and procedures.

According to the document, DOGE team leads should provide the administrator of the DOGE Service with a monthly report on contracting activities.

Justification of Non-Essential Travel

The EO requires the creation of a tech system within each agency to record approval of federally funded travel for conferences and other non-essential purposes. Those records in the system should come with brief justifications, which will be posted publicly.

A monthly report outlining justifications for non-essential travel should be submitted to the administrator.

Real Property Disposition

Within seven days, agency heads should confirm to the General Services Administration that they have submitted updates to the Federal Real Property Management System to ensure that the platform reflects an accurate inventory of real property.

Within 30 days, agency heads should be able to identify all termination rights they have under existing leases of government-owned property. 

The order also directs the GSA administrator to submit to the director of the Office of Management and Budget a plan to dispose of properties that agencies no longer need.