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Fees and Surcharges Assessed on Afghanistan Security Forces Fund Orders Need Improved Cost Accounting
DEPARTMENT OF DEFENSE ALEXANDRIA VA OFFICE OF THE INSPECTOR GENERAL
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We are providing this report for review and comment. We evaluated the fees and surcharges assessed by DoD components on orders funded by Afghanistan Security Forces Fund ASFF appropriations and whether the components supported the fees and surcharges with actual costs. DoD components generally identified actual costs to support the fees and surcharges assessed when fulfilling ASFF orders. However, the Defense Security Cooperation Agency needed to improve its cost accounting for the 2.8 billion in three Foreign Military Sales Trust Fund surcharge accounts to ensure that its surcharge rates were reasonable estimates of actual expenses and that it paid transportation expenses from the proper source of funding. We considered management comments on a draft of this report when preparing the fmal report.
APPROVED FOR PUBLIC RELEASE