Under current law, the Chief Financial Officers Act of 1990 requires federal agencies to pass an independent external audit every year, starting in the 1990s. Yet 20 years later, DOD is the only major agency that is, according to the Government Accountability Office, not compliant with this requirement. While DOD years ago said it would pass an audit by 2017, no progress has shown that to be a likelihood.

Congressman Michael C. Burgess today, with Congresswomen Barbara Lee and Jan Schakowsky, reintroduced their bipartisan amendment to the FY 2016 National Defense Authorization Act (NDAA), allowing Congress insight into Pentagon spending. Under the provision, the Secretary of Defense would provide Congress with rankings of their departments, in the order of most prepared. 

“As the holder of the purse, Congress has a duty to demand transparency,” Rep. Burgess said. “Our amendment will provide Congress with concrete, concise information as to how close each part of DOD is to achieving the goal. No such list currently exists and Congress to date has not required it. This amendment corrects a crucial missing puzzle piece and allows the Congress to execute a chief governmental function: oversight.” 

“Unauditable is unacceptable,” said Congresswoman Lee. “It has been more than two decades since the Pentagon was required to undergo an audit and the Pentagon is still reporting that full audit-readiness is years off. This amendment, which also passed last year, requires a ranked list of all departments and agencies by their audit-readiness status. This list will empower Congress to make decisions on next steps to ensure auditability of the Pentagon. We need greater sunlight and transparency so the American people know how their hard-earned tax dollars are being spent. It’s past time to end waste, fraud and abuse of taxpayer dollars in Pentagon spending.”

Grover Norquist, President of Americans for Tax Reform, made the following remarks in support of the amendment: 

"All departments of the United States Government are audited--except the Pentagon.  This is not acceptable.  If the management of the Pentagon cannot pass an audit--get new management. At a time when resources are scarce it is particularly important that we audit the Pentagon to reduce waste and the costs of mismanagement. All Americans who want our nation strong and secure know that step one is to ensure that all available resources are being spent wisely.  Every wasted dollar is a cut in our preparedness. An audit is the only way to begin to know how much is misspent.”