Horizon cutting-room links: Wednesday, 1 October 2025

From the Horizon, the US government shuts down, and OMB threatens further layoffs as Dems balk.

"CACI-SAIC Dispute Over Air Force Contract Payment Comes to an End," Washington Business Journal

The long-running legal dispute between CACI International Inc. and Science Applications International Corp. over an Air Force contract has concluded with an out-of-court settlement, just days before the scheduled trial. The case, which involved allegations of underpayment and employee poaching, was dismissed with prejudice, meaning it cannot be refiled. This resolution marks a significant event for two of Greater Washington's largest government contractors, whose combined revenues approached $15 billion in 2024.

• The dispute, which began in July 2024, centered around CACI's claims that SAIC underpaid it on a $262 million Air Force contract, with CACI asserting it was owed $65.5 million but received $17 million less.
• CACI's allegations also included claims that SAIC poached CACI employees after terminating its involvement in the contract, but these allegations were dismissed by the court in December 2024.
• The lawsuit was officially dismissed on 19 September 2025, just days before it was set to go to trial, and the specific terms of the settlement have not been disclosed.

"HUD Website Blames Looming Shutdown on ‘Radical Left’" Federal News Network

HUD came under fire after posting a politically charged message on its website, accusing the "Radical Left" of threatening a government shutdown. This action raises concerns over a potential violation of the Hatch Act, which restricts political activity by federal employees.

• The HUD website featured a bold message claiming that the "Radical Left" would cause government shutdown unless their demands were met, pushing a narrative aligned with the Trump administration's stance.
• Legal experts suggest that this messaging could constitute a Hatch Act violation, as it appears to be partisan political speech rather than neutral information.
• HUD Secretary Scott Turner echoed the website's message on social media, further intensifying the controversy amid ongoing negotiations for government funding, with Democrats refusing to budge on extending healthcare subsidies.

"F-35 Deal for Lots 18 and 19 Covers Nearly 300 Fighters at $24.3 Billion," Air & Space Forces Magazine

The F-35 Joint Program Office and Lockheed Martin have finalized a substantial contract for Lots 18 and 19, encompassing nearly 300 fighter jets at a cost of $24.3 billion. This agreement, which adjusts from previous years' pricing to account for inflation, reflects ongoing confidence in the F-35's capabilities amidst a backdrop of evolving military needs.

• The finalized contract, worth $12.5 billion, includes production and delivery details for Lot 19, building on a previous agreement for Lot 18 worth $11.8 billion.
• The average cost per aircraft is $82.4 million, although specific pricing by variant remains undisclosed; the F-35A is typically less expensive than the F-35B and F-35C models.
• The contract encompasses not just US military branches but also international partners and Foreign Military Sales, with Lot 19 including various configurations for the Air Force, Marine Corps, and Navy, as well as for foreign military clients.