The Contracting Education Academy

Contracting Academy Logo
  • Home
  • Training & Education
  • Services
  • Contact Us
You are here: Home / Government Contracting News / As secret Pentagon spending rises, Defense firms cash in

November 1, 2019 By cs

As secret Pentagon spending rises, Defense firms cash in

Classified spending has edged up faster than overall defense budget requests, and accounts for nearly 11 percent of the $716 billion proposed for 2020.

The share of Pentagon spending hidden from public view is rising, as are defense contractors’ revenues from it.

The U.S. Defense Department’s overall budget request increased nearly 5 percent from 2019 to 2020, but classified spending rose 6 percent, according to the consulting firm Avascent. It accounts for about $76 billion, or almost 11%, of the $718 billion requested for the current fiscal year.

Military officials say they can’t talk about classified aircraft, space, and missile projects, lest they cede advantage to America’s enemies. (Critics, including House Armed Services Committee Chair Adam Smith, D-Wash., say excessive hidden spending hinders oversight, leads to waste, and undermines public trust.)

But there is one group of people talking about classified spending: the executives of America’s largest defense firms. In recent months, what defense contractors call “restricted” projects have become a hot topic on quarterly earnings calls with Wall Street analysts. Firms also tout the increase in classified contracts in annual reports and regulatory filings.

Keep reading this article at: https://www.govexec.com/technology/2019/10/secret-pentagon-spending-rises-defense-firms-cash/160818/

Filed Under: Government Contracting News Tagged With: classified information, DoD, federal contracts, Pentagon, spending

Popular Topics

abuse acquisition reform acquisition strategy acquisition training acquisition workforce Air Force Army AT&L bid protest budget budget cuts competition cybersecurity DAU DFARS DHS DoD DOJ FAR fraud GAO Georgia Tech GSA GSA Schedule GSA Schedules IG industrial base information technology innovation IT Justice Dept. Navy NDAA OFPP OMB OTA Pentagon procurement reform protest SBA sequestration small business spending technology VA
Contracting Academy Logo
75 Fifth Street, NW, Suite 300
Atlanta, GA 30308
info@ContractingAcademy.gatech.edu
Phone: 404-894-6109
Fax: 404-410-6885

RSS Twitter

Search this Website

Copyright © 2023 · Georgia Tech - Enterprise Innovation Institute