A new Government Accountability Office report reveals that federal agencies have reported about $2.7 trillion in "Total improper payments" since the fiscal year 2003 and $236 billion in fiscal year 2023 alone but that "Government-wide estimate potentially does not represent the full extent of improper payments." The reason the fiscal year 2023 total doesn't tell the full story of improper payments government-wide is because some agencies did not report the totals from select federal programs "Susceptible to significant improper payments," the GAO explained in their report, released publicly on Tuesday.
The GAO defines improper payments as "Those that should not have been made or were made in the incorrect amount." GAO reported that improper payments "Represent a material deficiency or weakness in internal controls" across the federal government.
"Specifically, GAO has noted that the federal government is unable to determine the full extent of its improper payments or to reasonably assure that appropriate actions are taken to reduce them," read the watchdog's latest report.
House Committee on Oversight and Accountability Chairman James Comer, R-Ky., and House Committee on the Budget Chairman Jodey Arrington, R-Texas, co-leaders of the Improper Payments Working Group, called for the U.S. government to do more to reduce the amount of improper payments each year.
"As our national debt continues to balloon, it's imperative we reduce government spending and waste. It's unacceptable our federal government made $236 billion in improper payments during the last fiscal year. This systemic mismanagement and waste of taxpayer dollars must be addressed. Our Improper Payments Working Group will continue to identify ways to address improper payments and ensure the federal government better stewards Americans' hard-earned money," Comer said in a statement.
"I'm working to ensure the Administration takes steps to prevent improper payments & stops letting taxpayer dollars fly out the door." Rep. Scott Perry, R-Pa., former chairman of the House Freedom Caucus, said on Wednesday that the "Staggering" amount of improper payment must be addressed.
"Any amount of waste from improper payments is unacceptable - but this report highlights just how staggering a problem the federal government faces," Perry wrote on the social media platform X. "Just this year, nearly a QUARTER OF A TRILLION of your tax dollars were wasted on improper payments. We can and must do better to ensure that the executive branch is a responsible steward of taxpayer dollars."
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