GAO: Pentagon failing to track improper contractor payments

In fiscal 2011, the Pentagon reported over $1.1 billion in improper payments, which refers to either an under- or overpayment of a contractor.

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Senate Homeland Security and Government Affairs Chairman Tom Carper (D-Del.), who authored the 2010 law along with Sen. Susan CollinsSusan CollinsGOP senator considering Libertarian ticket Trump’s Second Amendment people threaten Hillary’s legacy, not life Sunday shows preview: Trump's tough week MORE (R-Maine), said in a statement that the report was a “troubling” reminder of the problems with the Pentagon’s accounting failures.

“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 McCaskillSenate Dem: You can say Trump and his 'friend' Putin founded ISIS Sunday shows preview: Trump's tough week McCaskill blasts Gingrich for comparing Trump to Truman 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.