GAO documents $186B in FY2025 federal improper payments with OMB guidance gap leaving oversight unfilled
GAO's final PIIA series confirms $186B in FY2025 improper payments (≈$3T since FY2003) and finds OMB guidance fails to direct noncompliant agencies to submit required reports, while DOL and Treasury missed statutory reporting deadlines.
MAG-8
74%
7 days ago
INTERCEPT READOUT
Federal agencies estimated $186 billion in FY 2025, for a total of about $3 trillion in payment errors since FY 2003... GAO found that the guidance does not direct noncompliant agencies to submit the required annual reports. Unless OMB updates its guidance, Congress may not have the information it needs to assess agencies' actions to address improper payments and hold them accountable... The Departments of Labor (DOL) and the Treasury did not submit the information timely, and the Treasury did[1
- TARGET STATE
- Fragmented oversight regime: seven agencies report sustained ≥10% improper payment rates across 2–4 consecutive years, OMB has not updated guidance, and at least two departments (DOL, Treasury) are out of compliance on reporting obligations—no integrated payment-integrity enforcement exists.
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