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The Department of Government Effectiveness (DOGE) said Friday that federal agencies have eliminated or cut 55 contracts over the past three days with a cumulative maximum value of $1.6 billion, representing a savings of $542 million.
DOJwhose name hints at the high-profile participation of Elon Musk, was launched during the opening days of the presidential Donald TrumpSecond US administration as part of broader efforts to change federal spending and bureaucracy.
Although Musk has since abandoned the project, elements of the DOGE structure stay actively works in federal agencies.
In a message on X, the department wrote: “Updating contracts! In the last 3 days, agencies have terminated and cut 55 worthless contracts, with a maximum cost of $1.6 billion and savings of $542 million.”
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Former White House senior adviser Elon Musk walks toward the White House after landing at Marine One on the South Lawn on March 9, 2025, in Washington, DC. (Samuel Corum/Getty Images)
The post listed several examples, including what was described as “$47 million.” State Department a program support contract for “Africa/Djibouti, Somali Armored Personnel Carriers, and Somali National Army Crew” and “a $19.5 million HHS IT Services contract to support the National Institute of Environmental Health Sciences in the design, creation, updating, maintenance, and archiving of online communications.”
DOGE also mentioned a “$151K DoW.” education contract for the provision of services for the “Directors' Leadership Development Program – Partnership Course to be conducted at Northwestern University,” the statement said.
Screenshots shared in the DOGE post show federal contract records matching the descriptions and dollar amounts listed.
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DOGE announced the drastic cost cuts Friday night via X-post. (Thomas Fuller/SOPA Images/LightRocket)
One screenshot shows a Somalia-related contract entry that specifies support for professional program management in accordance with the Federal Services Code and states that the country of origin of the services is Somalia. The contract description mentions support for Somali National Army armored personnel carriers and crews in Djibouti and Somalia.
The second screenshot shows a US-based IT management support services contract categorized as Computer Systems Engineering Services. The description describes the National Institute of Environmental Health Sciences' work to maintain and manage online communications, including websites, web pages, mobile tools, and social media platforms.
The Minnesota Center for Quality Learning is at the center of an alleged child care fraud scandal in the state. (Madeleine Fuerste/Fox News Channel)
The DOGE release does not provide additional information about when the contracts were originally awarded, how much funding has already been awarded or spent, or what agency actions led to the reported savings figure.
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The announcement comes amid increased scrutiny this week of several Somali-owned and government-funded day care centers in Minnesota that have been accused of fraudulently collecting millions of dollars in taxpayer funds.
Fox News Digital has reached out to the White House, DOGE, State Department and HHS for more information.
