OMB Orders Cut in Management Services Contracts
November 18, 2011
The Office of Management and Budget has ordered agencies to cut their management support services contracts, in an effort to reduce spending on the services by 15 percent.
Over the past decade, agency spending for management support functions has quadrupled, far outpacing the growth in overall contract spending, OMB officials wrote in a memo from Nov. 7. And officials will be paying close attention to make certain that spending goes down.
OMB announced a goal of reducing spending on management support service contracts by 15 percent by the end of fiscal 2012. The government has to bring spending down by $6.7 billion governmentwide to $37.4 billion in 2012.