Department of Defense Statement Clarifying Defense Contracting

View Online IMMEDIATE RELEASE Department of Defense Statement Clarifying Defense Contracting Jan. 28, 2025 "The Department is currently reviewing the OMB Memorandum, "Temporary Pause of Agency Grant, Loan, and Other Financial Assistance," dated January 27, 2025. As directed by the memorandum, the Department will expeditiously analyze its financial assistance programs to identify programs, projects, and activities that may be implicated by any of the President's executive orders. In the interim, and as directed by OMB, the Department will temporarily pause activities related to the obligation or disbursement of financial assistance, to the extent permissible under applicable law. The scope of the OMB M-25-13 memo on financial assistance instruments does not include contracts. Contrary to certain media accounts, the Department of Defense has not paused contract awards. The Department continues to award new contracts to fulfill validated mission needs. While we are not aware of any specific contracts or other activities affected, it is possible that activities may be paused if they are determined to fall within the bounds of the guidance. We look forward to providing more details regarding this matter as they develop and become available."

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