Army contracts are not halted, Pentagon clarifies after service email provokes confusion
• The Pentagon clarifies that Army contracts are not halted due to confusion arising from an email indicating all new contracts were on hold pending a review.
• The Defense Department stated that the memo issued by the Office of Management and Budget does not apply to contracting in the Army.
• The Department of Defense has not paused contract awards, contrary to some media accounts.
• The Army is “conducting a review of existing solicitations and awards of contracts,” a service spokesperson confirmed to Inside Defense.
• The Pentagon did not immediately respond to a request for comment from Bloomberg Government.
• It’s unclear whether the contracting pause would extend to other military branches.
• Army procurement spending on unclassified contracts in fiscal year 2024 amounted to $113.8 billion, according to a Bloomberg Government analysis.