Contact: By: Congressman Mike Castle

Dover | June 8, 2010 - The U.S. budget deficit soared to $1.4 trillion last year, and is expected to reach $1.6 trillion by the end of 2010.   Experts agree that a deficit this size cannot be sustained in the long-term.  Families across Delaware and throughout the nation are making smart choices with their finances in this economic climate, tightening their budgets and saving money, and the federal government needs to do the same.   Federal dollars must be spent efficiently, and with good reason behind every purchase.

Each day the Department of Defense spends just over $1 billion on contracts to acquire products and services from defense contractors to provide our soldiers with the necessary resources to keep them protected while they fight to defend our freedoms and bring stability to volatile regions around the globe.

Unfortunately, this acquisition process has, at times, run into problems such as dramatic cost increases, late deliveries, and significant performance shortfalls - wasting billions of dollars in critical funding.  For these reasons, it is essential that we ensure the Department is making the most effective use of the resources and funding provided by American taxpayers by eliminating wasteful spending and improving efficiency of the Defense acquisition process.

Since coming to Congress, I have introduced and lent my support to several measures aimed at bringing transparency and accountability to the Defense contracting process.  Most recently, I voted in support of the Implementing Management for Performance and Related Reforms to Obtain Value In Every (IMPROVE) Acquisition Act, which was considered in the U.S. House of Representatives to improve the awards and incentive programs for acquisitions  in order to maximize the Defense Department's return on investment.  This will ensure we are providing soldiers with necessary capabilities at the best value for the U.S. taxpayer.

Specifically, the IMPROVE Acquisitions Act, which is awaiting consideration in the U.S. Senate, requires the Department of Defense to create a performance management system for acquisitions, which will be subject to assessments and audits.  This bill will establish financial incentives in the form of salary increases, bonuses, and penalties to ensure that performance goals are being met.

Additionally, this measure will require potential federal contractors to provide certification that they do not have a seriously delinquent tax debt.

The IMPROVE Acquisitions Act is just one of many steps we should be taking to reduce spending levels and restore fiscal responsibility and accountability to the federal budget.  It should also serve as a model that could be similarly applied to other departments and agencies to reduce wasteful spending to better reflect the efficiencies that the American people not only demand, but deserve.