The Pentagon's Inspector General's Office has concluded that the very busy Defense Logistics Agency too often has no way of knowing whether it is paying contractors too much.
Not many taxpayers know much about the DLA, but the agency spends a lot of their money, more than $35 billion in 2006. An IG examination found that the DLA contracts it reviewed often overspent, to the tune of $93 million that year.
That was partly because the DLA didn't follow proper procedures to keep track of the money and report overpayments.
"DLA did not have effective internal controls over the identification and reporting of DLA improper payments," the audit said.
"DLA did not provide information on its improper payments in its FY 2006 financial statements, did not respond to a survey DoD used to collect information about improper payments, and did not perform risk assessments related to the susceptibility of DLA programs to significant improper payments," the audit said. "These conditions existed because DLA did not establish a process to identify and report on improper payments related to contractor and vendor payments and analyze payments by DLA program."
Uh, right. Let's see: They're going to spend $35 billion a year and not have a way to make sure they're sending out the right amount of money?
They're kidding, right? Somebody, please explain.
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