The Pentagon’s watchdog has identified $23.4 billion so far in 2013 that the Defense Department could have spent more wisely, according to a senior DoD official.
The DoD Inspector General’s (DoD IG) take so far is huge compared to just the $2 billion identified in 106 reports in 2012, according to the official. Thus far in 2013, the official said DoD IG has identified the misspent $23.4 billion in 70 reports.
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| The Stryker tactical wheeled vehicle is developed by General Dynamics. Photo: DoD IG. |
“That (2013) number will go up,” said the official, who was speaking as part of a Defense Writers Group event in Washington.
Whether it be due to money misspent on Stryker tactical wheeled vehicle seats that sit unused or just better fiscal management in an era of budget drawdowns, the DoD IG’s office is putting an emphasis on return on investment per auditor: finding as much misspent funds as possible and getting to the bottom of it.
“I don’t want to be driven by dollars, but I want to provide value,” the official said.
Misspent funds on spare parts will be a priority of the DoD IG’s office, which is not subject to sequestration because DoD IG’s budget is located outside of DoD, the official said. The Pentagon paying inflated pricing for parts it already has in inventory has been a theme since 2011, according to the official.
DoD IG also has nine audits currently pending on various weapon systems, including the F/A-18 Super Hornet, C-130J cargo jet and the F119 engine, the F-22’s spare engine, according to the official. DoD IG is also performing audits on companies including Bell Helicopter, a division of Textron [TXT], and Datron World Communications over spare parts deals.
“DoD is getting more aggressive when it comes to spare part refunds,” the official said. “The whole atmosphere at DoD is starting to change.”
DoD IG combats fraud, waste and abuse by the Pentagon by conducting audits and investigations, according to its website. In addition, the inspector general ensures that the defense secretary and Congress are fully informed of problems in the military.
Stryker vehicles are manufactured by General Dynamics [GD], the F/A-18 and F-22 are developed by Boeing [BA], the C-130J is produced by Lockheed Martin [LMT] while the F119 engine is manufactured by United Technologies Corp. [UTX] subsidiary Pratt & Whitney.