Politics
DOGE Claims Credit for Killing Contracts That Were Already Dead
While George W. Bush was president, the U.S. Coast Guard signed a contract to get administrative help from a company in Northern Virginia. It paid $144,000, and the contract was completed by June 30, 2005.
Twenty years passed. Presidents came and went.
Last week, Elon Musk’s restructuring team, called the Department of Government Efficiency or DOGE, said it had just canceled the long-dead Coast Guard contract — and in doing so, saved U.S. taxpayers $53.7 million.
That claim, posted on the group’s “wall of receipts,” bewildered experts on federal contracting. And there were others like it. Even after Mr. Musk’s group deleted several large erroneous claims from its website last week, The New York Times found that it had added new mistakes — claiming credit for “canceling” contracts that had actually ended under previous presidents.
“These are not savings,” said Lisa Shea Mundt, whose firm, The Pulse of GovCon, tracks federal spending. “The money’s been spent. Period. Point blank.”
These mistakes do not mean DOGE has not made cuts to the federal government. It has, deeply, by pushing widespread layoffs of employees and cancellations of active contracts, and by helping instigate the demise of the U.S. Agency for International Development.
But the repeated errors have raised questions about the quality and veracity of the information that the Musk team is putting out, including whether it is being misled by other departments. The mistakes also seem to call into question the team members’ competence — whether they understand the government well enough to cut it while avoiding catastrophe.
“It’s obvious that they don’t understand,” said Eric Franklin, the chief executive of the firm Erimax, who advises the government on contracting procedures. His own firm was the subject of one of the errors on DOGE’s “wall of receipts.” Mr. Musk’s group claimed it had saved $14 million by canceling one of its contracts — which had ended in 2021.
“It’s really akin to a bull in a china shop,” Mr. Franklin said. “And what do you end up with? It’s just a big mess.”
At the White House, a senior administration official offered a partial explanation, saying the information on the wall of receipts had been provided by individual federal agencies — many of which have embedded staff members from Mr. Musk’s group. The official, who spoke on condition of anonymity because he was not authorized to describe DOGE’s methods, said Mr. Musk’s group then checked the accuracy of the agency’s claims.
Why were there still so many errors? The official said individual agencies should answer that question. On its website, DOGE says it is trying to improve its data, and asks readers to notify it of potential errors.
Missing Identifiers
Agencies are under tremendous pressure to find budget cuts for Mr. Musk’s group to promote. The group has even created a “leaderboard” to measure which ones have eliminated the most.
But in databases of federal contracts, there are clues that this rush is not being well managed or adequately tracked.
In the past, the government has designated specific codes to track large batches of contracts across different agencies that relate to a common initiative, like the federal response to the Covid-19 pandemic. That makes it easier to find all the contracts involved.
But the contracts in the “wall of receipts” have no such signature. That omission may mean there are errors in both directions — not only with expired contracts that don’t actually save money, but also potentially with contracts that were canceled by the group’s effort but are not being counted.
Mr. Musk’s group has said that it has saved taxpayers $65 billion, by cutting contracts, leases, federal employees and other items in the federal budget. But it has itemized only two of those categories: cancellations of contracts and leases. When adding up DOGE’s claimed savings for each item, those categories collectively account for about $10 billion, less than one-sixth of the total.
When DOGE first published its list of canceled contracts, there were about 1,100 examples.
The five largest were wrong.
In one case, DOGE listed a contract worth $8 million as actually being worth $8 billion. In another, it mistakenly counted the same $655 million contract three times. In yet another, it erroneously said that a huge contract at the Social Security Administration had been fully canceled, saving $232 million. In reality, only a small project within that contract had been canceled. Actual savings: $560,000.
By last week, all of those claims were gone. DOGE revised the total savings from these five cuts from $10 billion down to about $19 million.
At the same time, Mr. Musk’s group also added about 1,100 new canceled contracts to the list.
Errant Links
Among the new entries were several that had ended before President Trump took office.
Mr. Musk’s group took credit for the cancellation of a $1.9 billion Treasury Department contract, for work on information technology at the Internal Revenue Service. But it had actually been canceled in November, when President Biden was in office.
The Treasury Department suggested this cut to DOGE in a post on X on Feb. 19. Two days later, The Times reported that it had been canceled before Mr. Trump took office.
Three days after that, DOGE went ahead and posted the Biden-era cancellation on its wall. The Treasury Department did not respond to questions about the contract.
DOGE also claimed credit for canceling two different Coast Guard contracts that had ended during the George W. Bush administration. In addition to the $53 million contract that ended in 2005, Mr. Musk’s group said it had saved $53 million more by canceling another contract with the same vendor. Public contracting data shows that one ended in 2006.
Deniece Peterson, a senior director of federal market analysis at the firm Deltek, said that both contracts were part of a larger spending agreement with a $53 million spending limit. In all, she said, the Coast Guard paid the vendor about $35 million over several years. All of its work under that agreement was completed by 2011, and federal contracting data shows that no bills remain outstanding and no more money was expected to be spent.
Tricia McLaughlin, a spokeswoman for the Department of Homeland Security, did not offer an explanation for why the department had claimed $106 million in savings from ending these two long-dead contracts. Instead, she responded to questions from The Times with an email saying: “We’re certainly excited about $100 million + in taxpayer savings.”
And then there were the links on the DOGE website that led to different contracts than those touted.
DOGE claimed it had saved $149 million by canceling a contract for three administrative assistants at the National Institutes of Health worth about $1.4 million.
The link, however, led to the page of an unrelated contract with a different company that supplies refrigerated gases used in laboratories. That contract, which does not appear to be canceled, was worth only $118,000.
After being asked about the errors, an official with the Department of Health and Human Services said DOGE was working to correct the website.
Emily Badger contributing reporting.
Politics
Top GOP lawmaker rallies around conservative school board member facing calls to resign
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House GOP Conference Chairwoman Lisa McClain, R-Mich., rebuked a school board in Richmond, Michigan, after some of its members tried to remove a conservative colleague for missing meetings while on military deployment to the Middle East.
Ray Stier, who received an American flag and a copy of the Congressional Record from McClain on Thursday as a commendation of his work, had been on deployment, attending board meetings remotely, but eventually lost virtual access.
That’s when the board called for his removal, citing a “disservice” caused by his absence.
“One of the board members’ family was taking to social media and putting out misinformation about myself and my wife and things that were not factually accurate and then ultimately calling for my resignation and prompting others to reach out to the district to call for my recall,” Stier recounted.
PARENTS SAY THEY’RE RUNNING FOR LOCAL SCHOOL BOARDS TO FIGHT ‘POISONOUS’ CRITICAL RACE THEORY
House GOP Conference Chairwoman Lisa McClain, R-Mich., left, pictured alongside Ray Stier, a school board member in Richmond, Michigan. (Andrew Harnik/Getty Images; office of Lisa McClain)
The moment is just the most recent clash between Republicans and school boards over policies that, in their view, are gatekeeping schools against diversity of thought and accountability.
“I think education is extremely important and vital,” McClain told Fox News Digital.
“And educators and administrators need to teach children how to think, not what to think. It’s about time that administrators begin to get held accountable for their actions. Good actions and bad actions.”
McClain’s meeting with Stier comes on the heels of a congressional hearing last week where she grilled a superintendent from Virginia over student privacy policy, probing if those policies were being unevenly applied to favor transgender students.
VIRGINIA SCHOOL DISTRICT SLAPPED WITH COMPLAINT ALLEGING NEW CLAIMS IN VIRAL TRANS LOCKER ROOM FIGHT
Rep. Lisa McClain, R-Mich., leaves a House Republican Conference meeting at the Capitol Hill Club on Feb. 28, 2023. (Tom Williams/ CQ Roll Call via Getty Images)
“The victims got a 10-day suspension and the biological female that did the filming got a one-day suspension,” McClain said, referring to an incident at Stone Bridge High School in Loudoun County where students had been reprimanded for filming in a locker room.
“How does that make sense?”
In Stier’s case, McClain questioned whether the board had targeted Stier on account of just his deployment overseas. Stierhad clashed with the board after learning that some of the district’s bathroom policies would have allowed fourth-grade students to use the same bathroom as transgender eighth-grade boys.
“Prior to him filling the seat, the seat was open for two months,” McClain observed. So that logical argument doesn’t exactly make sense to me; it doesn’t really hold a lot of water.”
MICHIGAN PARENT WANTS TRUMP TO ACT AFTER DAUGHTER SHARES LOCKER ROOM WITH TRANS-ATHLETE
House GOP Conference Chairwoman Lisa McClain, R-Mich., left, pictured alongside Richmond, Michigan school board member Ray Stier right. (Office of Lisa McClain)
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For his own part, Stier believes his case will refocus attention on the importance of the school board and its membership.
“My goal is to continue being an advocate for the community. One of the good things that I think came out of this was that it got so much attention that some of the community members who were unaware of the dynamics that were not being brought to light,” Stier said.
Politics
Political watchdog fines Newsom for failing to report $5.5M in solicited donations on time
California’s political watchdog commission on Thursday finalized a $31,500 fine against Gov. Gavin Newsom, alleging that the Democratic leader failed to report three dozen behested payments totaling $5.5 million mostly to support wildfire recovery by the deadline under state law.
The Political Reform Act requires elected officials to disclose payments of $5,000 or more that they solicit or direct others to give to a charitable, legislative or governmental purpose within 30 days.
The California Fair Political Practices Commission said 34 of the violations were for failing to report on time that Newsom and his staff directed outreach from companies and foundations that wanted to help after the Los Angeles wildfires to the California Fire Foundation. The nonprofit was started in 1987 by the California Professional Firefighters to support the families of fallen firefighters and communities impacted by fire.
The donations include $1 million from the Chuck Lorre Foundation and $500,000 apiece from Lockheed Martin, the Anthem Blue Cross Foundation and BlackRock, among others gifts.
The governor also failed in 2024 to report on time two behested payments, totaling $100,000 from the Schmidt Family Foundation and Schwab Charitable Funds to the Institute for Local Government, a nonprofit within the League of California Cities.
The commission said the governor reported all of the payments “prior to public discovery” or contact from its enforcement division, which it considered a mitigating factor. Newsom also signed the stipulation and agreed to the fine.
Tara Gallegos, a spokesperson for Newsom’s office, said the issue involved late paperwork at a time when the governor’s staff was focused on emergency response and supporting survivors. She also underscored the fact that the reports were filed before he was contact by the FPPC.
Gallegos said the fine is unrelated to an alleged investigation into the governor and his wife by the Department of Justice, which Newsom announced this week.
Newsom alleged Monday that Trump is using the government as a political weapon to target him and his wife, Jennifer Siebel Newsom. Newsom announced the investigation after he learned that the FBI and Internal Revenue Service asked his associates questions about nonprofits and businesses related to the couple.
The governor’s office characterized the investigation as a fishing expedition. The Trump administration declined to comment.
A source familiar with the matter, who requested anonymity because they were not authorized to discuss it publicly, said two federal probes have been going on for about a year, and that they originated not from Washington, D.C., but from conversations between whistleblowers and federal prosecutors based in Sacramento. The probes are linked to Newsom’s former chief-of-staff, Dana Williamson, and Siebel Newsom’s taxes, the source said.
The FPPC violations mark the second time Newsom has reported payments late, which increased his penalty for the new infractions. The commission fined Newsom in 2024 for failing to timely report 18 payments totaling $14.4 million.
Politics
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