The Department of Government Efficiency (DOGE), a new task force, has boasted of saving approximately $175 billion, translating to around $1,055 per taxpayer, by terminating over 25,000 federal contracts and grants, as per their latest update released this Saturday.
In mid-May, DOGE had previously reported savings of $170 billion, and the current figure includes terminations of approximately 10,871 government contracts, 15,149 grants, and 494 leases. The agency asserts that this endeavor is part of a broader initiative to eliminate waste within the federal government.
The most substantial savings have reportedly been realized in departments such as Health and Human Services, the General Services Administration, the Education Department, the Office of Personnel Management, and the Department of Labor.
Just last week, DOGE highlighted that another 81 contracts deemed “wasteful” were canceled, potentially saving around $244 million. In a previous announcement, it also noted a “major cleanup” of Social Security records affecting 12.3 million individuals aged 120 and above, effectively marking them as deceased.
Established in January under President Donald Trump, DOGE is charged with addressing what the White House identifies as fraud, waste, and abuse in the federal system, all against the backdrop of a soaring national debt.
While tech mogul Elon Musk initially helmed the group, he has since shifted his focus back to his various business endeavors, particularly amid a significant downturn in Tesla’s sales across Europe, which plummeted nearly 50% last month.
The European Automobile Manufacturers’ Association (ACEA) reported that Tesla vehicle sales in 32 European countries fell to 7,261 in April, down from 14,228 in the same month of the previous year.
Over the weekend, Musk confirmed on his own platform, X, that he has returned to a full-time role within his companies, stating, “Back to spending 24/7 at work and sleeping in conference/server/factory rooms. I must be super focused on X/xAI and Tesla (plus Starship launch next week), as we have critical technologies rolling out.”
Earlier this month, Musk elucidated that the ball rests in Congress’s court regarding the continuation of DOGE’s savings initiatives, emphasizing his advisory position without formal power. “We’re not the dictators of the government. We are the advisers,” he remarked during a forum in Qatar on May 20, indicating that the success of DOGE’s efforts is contingent upon support from Congress and the executive branch.
Musk has previously expressed ambitions for DOGE’s audits to result in $1 trillion in federal spending reductions. Despite his substantial financial backing of Trump’s presidential campaign and other Republican efforts last year, Musk signaled a potential decrease in political contributions, suggesting a return to his corporate priorities amidst investor apprehensions.
On the legal front, DOGE has encountered challenges, including lawsuits aimed at restricting its access to Social Security records. The Trump administration is currently appealing to the Supreme Court to counter a lower court’s ruling that limited this access.
Democratic leaders have voiced their opposition to DOGE’s actions. On April 29, they released a report accusing Musk and the Trump administration of obstructing approximately $400 billion in federal funds that had been allocated by Congress. Key figures such as Senator Patty Murray and Representative Rosa DeLauro criticized this “vast, illegal funding freeze,” claiming it adversely affects citizens nationwide.
The Associated Press contributed to this report.
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