Washington’s new budget shortcut is a time bomb
Every September, Washington holds a fire sale on your money. Agencies with cash left rush to sign contracts and cut grant checks before Sept. 30, because they fear leftover funds will invite future budget cuts. Think Black Friday with a federal seal.
TL;DR
- Government agencies in Washington engage in a spending rush in September before the fiscal year ends on Sept. 30.
- This behavior is driven by a fear that leftover funds will lead to future budget cuts.
- Studies show spending increases significantly in the last week of the fiscal year, and IT projects initiated during this time have lower quality ratings.
- Analysis reveals that a disproportionate amount of executive branch contract spending occurs in September.