# VA Terminates $1.1B Contracts Following DOGE Review

The Department of Veterans Affairs (VA) terminated approximately 435 contracts valued at around **$1.1 billion** during 2025 as part of a rapid federal spending reduction effort urged by the Department of Government Efficiency (DOGE). This large-scale contract termination primarily affected consulting and professional services contracts. The VA Office of Inspector General (OIG) found that contracting officers generally complied with federal regulations despite the accelerated review timelines, though some data inaccuracies and operational challenges were noted. The terminations reportedly did not negatively impact veteran care and benefits, but the process caused increased workload stress among VA contracting staff and raised concerns about contract oversight quality and vendor relations. Procurement professionals and contractors should anticipate continued scrutiny and potential volatility in VA contracting processes, with an emphasis on thorough documentation and adherence to updated policies through at least early 2025.

**Jurisdictions:** federal
**Industries:** Healthcare, Professional Services
**Topics:** Regulatory Compliance
**Published:** September 26, 2026

### Government Entities
- Department of Veterans Affairs (VA)
- Department of Government Efficiency (DOGE)
- General Services Administration (GSA)
- VA Office of Inspector General (VA OIG)
- Department of Defense (DoD)

### Key Quotes
> I was told I MUST terminate these contracts, no ifs, ands, or buts. I was given a day to complete all of them.
> — Original poster

> This report confirms my repeatedly expressed concerns that VA has recklessly cancelled hundreds of contracts with no consideration of the impact on veterans or VA operations.
> — Sen. Richard Blumenthal, U.S. Senator

> This contracting review pressure is also being felt across multiple federal commands, not just the VA, indicating a broader government-wide issue.
> — themightyjoedanger (ARCYBER employee)

### Sources
- [VA’s contracting crackdown gave some staff hours to do hundreds of reviews - Government Executive](https://www.govexec.com/management/2026/09/vas-contracting-crackdown-hours-hundreds-reviews/416219) - GovExec.com
- [VA terminated $1.1 billion in contracts after DOGE requests, watchdog finds](https://www.federaltimes.com/federal-oversight/watchdogs/2026/09/24/va-terminated-11-billion-in-contracts-after-doge-requests-watchdog-finds) - Federal Times
- [VA’s contracting crackdown gave some staff hours to do hundreds of reviews](https://www.reddit.com/r/fednews/comments/1wpliza/vas_contracting_crackdown_gave_some_staff_hours) - reddit-fednews