Defense Secretary Pete Hegseth takes decisive action against wasteful military spending in his first weeks leading the Department of Defense.
According to Breitbart News, Hegseth terminated more than $580 million worth of contracts and grants through a new directive, citing misalignment with department priorities and poor use of taxpayer resources.
The defense secretary's memo outlined several major cuts, including the termination of a severely delayed software development program and the cancellation of hundreds of millions in grants focused on diversity initiatives, climate change research, and consulting services. The Department of Government Efficiency (DOGE) assisted in identifying these expenditures, bringing the total cuts to $800 million in recent weeks.
The Defense Civilian Human Resources Management System (DCHRMS) became a primary target of the cost-cutting initiative due to significant delays and budget overruns. The project, intended to modernize the department's HR technology infrastructure, had fallen six years behind schedule and exceeded its original budget by 780 percent.
Hegseth explained that while streamlining HR systems remains crucial, continuing to fund the troubled project would be wasteful. He directed the DoD Performance Improvement Officer to collaborate with various department heads in developing an alternative solution within 60 days.
The defense secretary emphasized the importance of responsible spending, as demonstrated in his video statement. Hegseth said:
Today, I'm signing a memo directing the termination of over $580 million in DOD contracts, in grants that do not match the priorities of this president or this department. In other words, they are not a good use of taxpayer dollars. Ultimately, that's who funds us. We owe you transparency and making sure we're using it well.
A significant portion of the cuts targeted grants supporting various social initiatives and research programs. The department eliminated $360 million in funding for projects related to diversity, equity, and inclusion, climate change studies, and pandemic response efforts.
Several specific programs faced immediate termination, including a $6 million grant for reducing Navy ship emissions and a $5.2 million initiative focused on increasing diversity in naval programs. Another casualty was a $9 million university project developing "equitable" AI and machine learning models.
The defense secretary also canceled $30 million in contracts with consulting firms Gartner and McKinsey. These contracts provided analysis products that Hegseth deemed non-essential to the department's core mission.
The cuts represent part of a broader strategy to eliminate non-essential spending across the Defense Department. Officials expect to reinvest nearly $170 million of the savings into mission-critical priorities.
Department leadership received praise from Hegseth for identifying wasteful expenditures. He encouraged other leaders within the organization to seek additional opportunities for cost reduction and resource optimization.
The partnership between the Defense Department and DOGE continues to yield results in targeting inefficient spending. Both organizations maintain their commitment to ensuring military resources directly support warfighter needs.
The Defense Department's recent cost-cutting measures under Secretary Pete Hegseth represent a significant shift in military spending priorities. The termination of $580 million in contracts and grants demonstrates the department's commitment to eliminating wasteful expenditures and redirecting resources toward essential military capabilities. These changes align with broader efforts to enhance fiscal responsibility within the Pentagon, with additional spending reviews and potential cuts expected in the coming weeks.