Pentagon cited again for weak oversight of Iraq contractors

Defense officials can't be sure they’re getting the services they paid for and lack an accurate count of contractors, auditors say.

The Pentagon has failed to provide adequate oversight of private companies that support American military operations in Iraq, according to a new report from the Government Accountability Office.

Because of a shortage of managers on the front lines to oversee contractor support, there is no accountability or assurance that the military is getting the services it has paid for, GAO found. Field commanders told GAO of problems getting needed spare parts and cited maintenance that contractors failed to provide.

Oversight remains a problem despite assurances from recently retired Defense Secretary Donald Rumsfeld that the military would comply with a series of recommendations made in earlier GAO reports.

The military's global war on terror has coincided with a massive outsourcing of jobs traditionally performed by uniformed personnel. In Iraq and Afghanistan, hundreds of private companies provide battlefield support to the troops, supplying them with everything from food and housing to Internet service and intelligence analysis.

While 9,200 contractors supported the 1991 Gulf War, the Army alone estimates that at least 60,000 contractors support combat operations in Iraq and Afghanistan, according to the new report (GAO-07-145).

The Pentagon does not know how many contractors currently are working in Iraq and living on the American bases that have sprung up around the country, GAO noted.

This results in millions of dollars being lost each year through waste and abuse, the report stated. The Army estimates that up to $43 million is lost annually due to contractors eating free meals, while also receiving a per diem allowance for food.

The lack of an accurate head count also means that as the military begins reducing the number of bases in Iraq, it will be unable to adequately plan for how many people will remain. The result, GAO said, is that commanders run the risk of either under building or overbuilding living accommodations on those bases.

GAO recommended that the Defense secretary immediately appoint somebody within his office, with sufficient seniority, to oversee contractor performance on the battlefield. In a response to the report, Pentagon officials agreed with this suggestion.