Pentagon Contracts Dropped 66 Percent In October Due To Shutdown

In this April 29, 2013 file photo, Defense Secretary Chuck Hagel speaks during a joint news conference at the Pentagon.
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Contracts awarded by the Defense Department fell by 66 percent in October, as the government shutdown exacerbated sequester budget constraints, according to Bloomberg.

The Pentagon spent $15.7 billion last month on contracts, the lowest level since March.

Acquisition employees were furloughed during the shutdown, holding up contract applications. The Pentagon may not catch up on awarding contracts until January, defense analyst Loren Thompson told Bloomberg. The prospect of another shutdown would be disastrous.

“If we get another shutdown, it’s Groundhog Day,” Thompson said. “It’s a mess.”

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