The Trump administration is defending its decision to award a no-bid contract worth up to $500 million for construction of the new White House East Wing ballroom after a Washington Post report detailed how the agreement was routed through the Executive Residence.

According to the Post, the Executive Residence — an office exempt from many federal procurement rules — handled the contract with Clark Construction, allowing the administration to move ahead with President Donald Trump's long-planned ballroom project without a competitive bidding process.

Experts told the newspaper the president has the authority to direct changes to the Executive Mansion and that the Executive Residence is not subject to the same competitive bidding requirements as most federal agencies. They noted, however, that competitive bidding is generally used to help secure the best value for taxpayers.

"I would certainly expect them to compete a project of this size and complexity," Anthony Costa, a former General Services Administration official who oversaw major federal real estate projects, told the Post.

The White House pushed back on criticism, telling the newspaper in a statement that the Executive Residence issued the contract because it "will be the primary support of the facility" and that it "consistently executes contracts following the law."

Clark also defended its role, saying, "We follow established procurement and contracting processes for each project and execute the work consistent with schedule, budget, delivery, and contractual requirements."

The Post reported the estimated cost of the ballroom has risen since the project was announced last summer, with roughly half of the cost expected to be funded by taxpayers.

Trump, however, has repeatedly said the ballroom will be financed through private donations and previously said Clark executives offered to construct it at no cost.

"They said: 'Sir, we'll do it for nothing. This is the greatest honor,'" Trump told The New York Times in January.

According to the newspaper, Clark's internal documents project the company could receive about $65 million in combined profit, overhead, staffing, and related costs during the project. Records also show the contractor charged a 3% profit margin for its initial work, which experts described as typical for large government construction projects.

The project remains the subject of ongoing litigation after a federal judge ruled in March that the president's authority over the White House does not extend to demolishing the East Wing and constructing the ballroom. The Trump administration has appealed, arguing federal law authorizes the work.

The Post also reported that White House Office of Administration Director Joshua Fisher cited national security as the reason competitive bids were not sought. Trump has argued the project will bolster security by incorporating an underground military bunker and a rooftop "drone empire ... to protect Washington."

According to the newspaper, Trump also personally negotiated the price of concrete supplied by one of Clark's subsidiaries in March, reducing the projected cost by about $2.3 million from an initial estimate of more than $47 million.