This report examines logistical support contracts for troop support services in Iraq primarily administered through the U.S. Army's Logistics Civil Augmentation Program(LOGCAP).

With a conventional military and weapons of mass destruction (WMD) threat from Saddam Hussein's regime removed, Iran seeks to ensure that Iraq can never again become a threat to Iran, either with or without U.S. forces present in Iraq. By supporting armed Shiite factions, Iran's influence in Iraq has at times hindered U.S. efforts to stabilize Iraq, and has heightened the U.S. threat perception of Iran generally. However, Iran faces difficult choices in Iraq now that its protege Shiite factions, formerly united, are competing and often fighting each other.

Iraq's political system, the result of a U.S.-supported election process, continues to be riven by sectarianism and ethnic and factional infighting. The Administration is optimistic that the passage of key laws in 2008, including a law to govern provincial elections to be held in early 2009, will sustain recent reductions in violence.

This report discusses the current political and social climate of Iraq, specifically in regards to the influence of the U.S. military presence over recent years. It addresses planned and possible future efforts under the Obama Administration, including the scheduled gradual troops withdrawal; some U.S. officials believe that a U.S. military presence is needed beyond the scheduled August 31, 2010 date. This report also discusses the continued tensions between various Iraqi sociocultural groups.