Grassley Continues Work to Clear Up Financial Mess at Defense Department


  

 

 

Washington, D.C. – U.S. Senators John McCain (R-AZ), Dr. Tom Coburn (R-OK), and Chuck Grassley (R-IA) today introduced legislation setting firm deadlines for the Department of Defense to undergo a complete audit of its financial statements.

 

Senators McCain, Coburn, and Grassley find it unacceptable that the Department of Defense (DoD), with a base budget of over a half trillion dollars, cannot be audited.  The Government Accountability Office (GAO) has testified that DoD’s accounting problems cost the American taxpayers approximately $13 billion in one year – and the issue transcends money.  Over the years, the GAO has reported that the Pentagon’s poor financial management has caused pay problems for National Guard and reservists; impeded delivery of food and other essential supplies to U.S. troops; and had the Pentagon scrambling to identify and locate 250,000 defective chem-bio suits.

 

“We owe it to our men and women in uniform and the American taxpayer to fix the Pentagon’s broken bookkeeping without further delay, and only by imposing hard legislative deadlines will this finally be accomplished,” said Senator John McCain.  “While DoD has made progress in improving its financial management, much more needs to be done.” 

 

“The consequences of not having an audited financial statement in the Department of Defense is costing lives.  The waste from this lack of financial accountability, estimated in the billions, results in fewer weapons and less resources for our troops in combat.  The Constitution demands financial accountability throughout the government, and the Financial Accountability Act will finally force the Department of Defense to comply with this requirement,” said Tom Coburn, M.D.

 

“The Defense Department needs to get its financial mess in order, and it’s time to let the department know that we’re serious about reform.  The financial mismanagement at the Pentagon at times has left our men and women in uniform without pay and essential items.  This is a tremendous disservice to the taxpayer and our service members.  Weak or nonexistent internal controls leave billions of tax dollars vulnerable to fraud, waste and abuse and outright theft,” Grassley said.  “The Pentagon leadership needs to follow through on its promises and Congress needs to hold their feet to the fire.  This legislation will lay the groundwork to do that.”

 

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