Government operations
Implementing the President's "department of government efficiency" cost efficiency initiative
Federal agencies must tighten oversight of contracts, grants, loans, travel, credit cards, and real estate.
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The order seeks to cut federal spending and increase public accountability by requiring written payment justifications, rapid spending reviews, and closer DOGE oversight.
What the order does
- Requires agencies to create centralized systems recording covered payments and employee justifications, with public posting where lawful and practicable.
- Orders agencies to review covered contracts and grants within 30 days and modify or terminate them when appropriate, prioritizing funding to educational institutions and foreign entities.
- Requires 30-day reviews of contracting policies, procedures, and personnel and generally pauses new contracting officer warrants during that period.
- Requires monthly DOGE reports on contracting activity and written, generally public justifications for non-essential federal travel.
- Freezes most employee government credit cards for 30 days, subject to exceptions for disaster response, critical services, and agency-approved needs.
- Requires updated federal property inventories within 7 days, lease-termination reviews within 30 days, and a surplus-property disposal plan within 60 days.
Who it affects
- Federal agencies, employees, contracting officials, grant managers, and government travelers.
- Federal contractors, grant recipients, loan recipients, educational institutions, and foreign entities receiving discretionary funds.
- Government landlords and agencies administering federally owned or leased property.
Context
Direct individual assistance, classified systems, the uniformed services, specified law-enforcement and immigration functions, and approved critical or emergency spending are excluded or may be exempted.