The Department of Government Efficiency (DOGE) has reaffirmed its methodology for calculating cost savings, emphasizing the use of ceiling values. The agency criticized a recent Politico article as misleading and politically motivated. This statement was disseminated on the social media platform X.
According to an X post by DOGE, the agency rejected claims made in the Politico article that described its methodology—based on contract ceiling values—as faulty. DOGE argued that the report was "misleading at best, and politically motivated at worst," asserting that ceilings are a valid measure because government spending typically approaches them. The post highlighted that in federal contracting, ceiling values matter significantly, as they nearly always reflect the actual obligated amounts.
To support its position, DOGE referred to Federal Procurement Data System (FPDS) trends indicating historical ceiling utilization: 97.64% of contract ceilings were reached in FY22 out of 5.3 million awards, 97.84% in FY23 with 5.4 million awards, and 98.12% in FY24 also with 5.4 million awards. This consistent pattern across tens of millions of contracts underscores the agency’s claim that ceilings closely approximate actual spending. According to DOGE, these figures justify using ceilings in savings calculations as both conservative and grounded in real-world contract performance.
DOGE also contested Politico's notion that treating ceilings like unused credit card limits is simplistic. The agency called this framing "lazy and trivializing," noting that lowering ceilings is itself a direct mechanism to curb what it described as "drunken sailor" spending by agencies. It emphasized collaboration with agency partners, applying conservative calculations, and invited critics to examine actual contracts to verify its methodology.
DOGE is a federal agency focused on optimizing government spending, reducing waste, and ensuring accountability in contract management according to X. By reviewing expenditures and canceling non-essential contracts, DOGE aims to improve fiscal responsibility and enhance the effectiveness of public resource allocation.
