1.1.1: Acquisition Spending
Decreasing Acquisition Spending Other Information:
Spending on contracts grew tremendously over the past decade, averaging 12 percent annually from FY 2000 to FY 2008, according
to Federal Procurement Data System (FPDS). Recognizing this growth was unsustainable, the President directed agencies to save
$40 billion annually by FY 2011. Responding to the President’s mandate, agencies have been working to eliminate waste and
apply fiscally responsible acquisition practices. For the first time since 1997, overall contract spending declined last year.
FY 2010 spending was $535 billion versus $550 billion in the prior year. Moreover, agencies spent nearly $80 billion less
in FY 2010 than they would have spent had contract spending continued to grow at the same rate it had under the prior Administration.
More work remains to be done, but efforts to curb contract spending have already successfully reversed the previous unsustainable
growth
Indicator(s):
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