U.S. Coast Guard Cancels New Logistics IT System to Save Money

The U.S. Coast Guard is set to save $32.7 million following the termination of an information technology program that was once deemed critical in “integrating capabilities,” but which is now said to be ineffective.
In a move instigated by the Department of Government Efficiency (DOGE) and in line with the Coast Guard’s Force Design 2028 (FD 2028) initiative, the agency announced the termination of the Logistics Information Management System (CG-LIMS), with its program activities expected to cease no later than May 1, 2025. With the termination of the “ineffective” program, the agency is expected to save $32.7 million, funds that have already been appropriated and which will now be redirected to address emerging needs.
CG-LIMS was among the nearly 500 IT systems that the Coast Guard has invested millions to procure to help execute its various missions. Expected to begin operating in 2027 before reaching full capability in 2031, the CG-LIMS had been marketed as a system that leverages modern and cloud-based technology to deliver an integrated capability.
In particular, the system would have allowed the agency to better track its supply needs, ease the logistics burden on field units, provide a modern IT tool for maintenance teams and offer better cybersecurity than current systems. The system was also expected to support maintenance and supply of aircraft, vessels, and shore based assets besides managing asset configuration, supply, maintenance and technical data for capital assets in a single unit.
The Coast Guard intended to utilize the system on 245 cutters, 200 aircraft, 1,800 boats, shore-based systems, aids to navigation equipment and command, control, communications, computers, cyber, intelligence, surveillance and reconnaissance equipment.
However, with DOGE now determining that the program is ineffective, the Coast Guard is expected to stop any acquisition activities and reassign CG-LIMS personnel to fill other critical personnel shortages within the agency.
“Another win for government efficiency,” said Kristi Noem, Secretary of Homeland Security. “$32 million in taxpayer savings thanks to the Coast Guard eliminating an ineffective IT program. I’m proud of the men and women of the Coast Guard, who continue to deliver on the President's agenda and deliver efficiency while securing our borders and maritime approaches.”