Trump Signs Order Targeting ‘Bloated Overhead’ in Federal Contracts

The president signed an executive order that seeks to address longstanding problems in the government’s contracting system.
Trump Signs Order Targeting ‘Bloated Overhead’ in Federal Contracts
President Donald Trump signs an executive order regarding federal workers contracting in the Oval Office at the White House on April 30, 2026. Brendan Smialowski/AFP via Getty Images
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President Donald Trump signed an executive order Thursday that seeks to address longstanding problems in the federal government’s contracting system, citing “unpredictable costs,” “bloated overhead,” and weak performance incentives that have driven up spending and reduced accountability.

In a new policy directive, officials said the current model has too often failed to protect taxpayer dollars or ensure contractors deliver on time.