WASHINGTON, Aug 15 (Reuters) - Democrats took aim at the
Trump administration after Reuters reported on Wednesday that
the Navy and Air Force were poised to cancel nearly completed
software projects worth over $800 million.
The reason for the move was an effort by some officials at
the services to steer new projects to companies like Salesforce ( CRM )
and Palantir ( PLTR ), in what could amount to a costly
do-over.
"The Pentagon has yet to show that it had a good reason for
halting these contracts in the last inning and scrapping work
American tax dollars have already paid for," Democratic Senator
Tim Kaine said in an emailed statement. "If it can't show its
homework, then this announcement - just days after Palantir's ( PLTR )
CEO spoke at Mike Johnson's Wyoming donor retreat - reeks of
corruption."
Punchbowl reported earlier this month that Palantir ( PLTR ) CEO Alex
Karp planned to address Republican House Speaker Mike Johnson's
annual big-donor retreat in Jackson Hole, Wyoming.
The Pentagon and Air Force did not immediately respond to
requests for comment. The Navy declined to comment.
Trump officials say the administration is striving to make
the contracting process more efficient. Trump took office vowing
to rid the government of what he calls waste and abuse. The
website of the Department of Government Efficiency, the agency
he created to spearhead those efforts, lists over $14 billion in
Defense Department contracts it claims to have canceled.
But seven months into his presidency, some of his own
actions have complicated DOGE's work, from firing the Pentagon's
inspector general to issuing an executive order prioritizing
speed and risk-taking in defense acquisitions.
"If you're serious about cracking down on waste, fraud, and
abuse, the last thing you'd do is cancel $800 million in
projects that are nearly ready to roll out just to turn around
and steer the same work to corporations of your choosing," said
Democratic Representative Maggie Goodlander, who sits on the
House Armed Services Committee and served as an intelligence
officer in the United States Navy Reserve for over a decade.
"This maneuver is an insult to taxpayers and servicemembers
across America," she added.
Salud Carbajal, another House Democrat who sits on the House
Armed Services Committee, said the behavior was part of a
pattern of waste at the Pentagon under Trump.
"I understand that our military's acquisition and
procurement processes aren't flawless, but this administration
has repeatedly shown a blatant disregard for the responsible use
of taxpayer dollars," said Carbajal.
"From lavish military parades to unnecessary troop
deployments in Los Angeles, President Trump has used our armed
forces to inflate his own ego and enrich his allies," he said,
adding that he would continue to call out mismanagement and
press for accountability.