Obama Pentagon Plans to Cut Military Outsourcing to Pre-Bush Levels
Monday, April 19, 2010

The boom times for military contractors may be coming to an end if the Obama administration follows through on plans to cut back on outsourcing defense jobs to the private sector. During the previous decade, the Department of Defense, under President George W. Bush, doubled the contracting out of responsibilities to companies, at a cost of $400 billion. But a new plan says the Pentagon intends to reduce outsourcing back to pre-Bush levels, when about 26 cents of every defense dollar was spent on contractors. The rate currently is nearly 40 cents.
“The Pentagon is conceding that the recent boom of military outsourcing proved to be a bust,” stated Jeff Ruch, executive director of Public Employees for Environmental Responsibility, which released the Pentagon memo. “Most importantly, it is now officially recognized that excessive outsourcing compromises both accountability and performance.”
-Noel Brinkerhoff
Pentagon In-Sourcing Plan to Reverse Bush Contracting Gains (Public Employees for Environmental Responsibility)
In-sourcing Contracted Services-Implementation Guidance (Department of Defense) (pdf)
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