More agencies targeted high-value contracts for termination during the second quarter of fiscal 2025 than in previous years, deobligating a total of $557.8 million.
Data from the second fiscal quarter of the year that began Jan. 1 offers a first glimpse into contracting changes under the Trump administration, which has been prioritizing spending cuts across the federal government. The Department of Government Efficiency estimates up to $25 billion in savings from more than 7,000 contracts, but the official reported version is much lower, according to Bloomberg Government data.
Agencies can unilaterally cancel contracts — known as a “termination for convenience” ...