GAO: DOD relying more on contractors

The Defense Department has increased its reliance on contractors to maintain operations in the past decade because its personnel have been pulled away on military duty, according to a new report.

Following relatively constant spending levels from fiscal 1995 to fiscal 2000, the money going to the private sector skyrocketed from fiscal 2000 to fiscal 2005. In that time period, DOD’s operations and maintenance costs increased 57 percent, from $133.4 billion to $209.5 billion, according to a Government Accountability Office report released today.

An increase in military obligations because of the war on terrorism without an increase in personnel led DOD to rely more on the private sector, the report states.

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