Treasury and GSA Launch Initiative to Reward Federal Employees for Identifying Wasteful Spending

What's Happening?

The Treasury Department, in collaboration with the General Services Administration (GSA), has introduced the Savings Award for Verified Efficiencies (SAVE) program. This initiative aims to incentivize federal employees to identify and propose cost-saving measures within the Treasury's contracts. Eligible employees can earn up to $10,000 for verified savings resulting from contract cancellations, descopes, or other cost-reducing actions. The program builds on GSA's previous 'Defend the Spend' initiative, promoting responsible stewardship of public funds. Treasury Secretary Scott Bessent emphasized the program's potential to set a new standard for fiscal responsibility across government agencies.

Why It's Important?

The SAVE program represents a significant step towards enhancing fiscal accountability within federal agencies. By empowering employees to identify inefficiencies, the initiative could lead to substantial cost reductions, benefiting taxpayers and improving government operations. The program also highlights the importance of inter-agency collaboration, combining GSA's procurement expertise with Treasury's fiscal oversight. This approach not only democratizes savings efforts but also strengthens the role of federal workers as responsible fiduciaries. If successful, the program could serve as a model for similar initiatives across other government departments.

What's Next?

Currently, the SAVE program is limited to the Treasury Department, but there is potential for expansion across other federal agencies. The GSA has indicated that successful elements of the program may be adopted government-wide, fostering a culture of accountability and efficiency. As the program progresses, it will be crucial to monitor its impact on contract spending and evaluate its scalability. Stakeholders, including political leaders and federal employees, will likely play a role in shaping the program's future and ensuring its effectiveness.