By Jeremy Herb - 06/06/13 05:34 PM EDT
In fiscal 2011, the Pentagon reported over $1.1 billion in improper payments, which refers to either an under- or overpayment of a contractor.
“The Department spends about a trillion dollars annually, but officials have no idea how much of that money it loses to waste and fraud. This is simply unacceptable,” said Carper, who had requested the report with his ranking member Tom CoburnTom CoburnRyan calls out GOP in anti-poverty fight The Trail 2016: Words matter Ex-Sen. Coburn: I won’t challenge Trump, I’ll vote for him MORE (R-Okla.) and Sen. Claire McCaskillClaire McCaskillElection-year politics: Senate Dems shun GOP vulnerables The Trail 2016: Miss Universe crashes campaign McCaskill goes after Trump's weight MORE (D-Mo.).
Coburn said the report was more proof that the Pentagon must be audited, something that the department is currently not capable of. The Pentagon has vowed to get ready for an audit by 2017.
The GAO report faulted the Pentagon for failing to adapt key quality assurance procedures for tracking improper payments. It said the department did not develop sampling measures for estimating improper payments, maintain key documentation to support its estimates or conduct recovery audits or a required risk assessment.