Would require contractors to justify substantial price increases
Senator Elizabeth Warren of Massachusetts joined Senators Elissa Slotkin of Michigan, Charles Grassley and Joni Ernst of Iowa in supporting bipartisan legislation that proposes transparency for monetary fees in military contracts. The proposed legislation would require contractors to submit their reasoning for every markup made to the U.S. military if the military identifies the markup within 30 days.
“Greedy contractors are threatening our military readiness by sneaking unreasonably high prices into our military’s contracts for basic materials or spare parts,” Senator Warren stated.
The legislation “puts these contractors on notice and requires them to justify major price increases — and they can bet we’ll double-check their math to ensure we are getting a fair shake,” she concluded.
Senator Warren is a member of the Senate Armed Services Committee, and this proposed legislation responds to a 2024 review that found many contractors are overcharging the U.S. military by a substantial amount. The most egregious incident was a 7,943 percent markup for soap dispensers installed on Boeing’s C-17 Globemaster III cargo plane.
As the Lord Leads, Pray with Us…
- For the senators as they attempt to curb price gouging by military contractors.
- For legislators in both congressional chambers to be discerning in their federal appropriations.
Sources: Military.com, Federal News Network
