New GAO Report on Government Credit Card Abuse

Statement

Date: April 8, 2008


NEW GAO REPORT ON GOVERNMENT CREDIT CARD ABUSE

Senator Chuck Grassley released the following statement after Senator Norm Coleman of Minnesota released a Government Accountability Office report that showed continued misuse of government credit cards.

Grassley introduced legislation this Congress that would establish safeguards and internal controls for government charge card programs as well as establish penalties for violations. The legislation, originally cosponsored by Senators Joe Lieberman, Susan Collins and Coleman, is expected to be considered by the Senate Homeland Security/Government Affairs Committee on Thursday.

Grassley first began looking at government credit card abuse in 2001 in the Department of Defense. The Government Accountability Office documented abuses in the Departments of Defense and Housing and Urban Development, the U.S. Forest Service, the Federal Aviation Administration and others. He also introduced legislation to address the problems found with government credit cards in 2003 and 2006.

Here is a comment from Grassley regarding the GAO report, followed by the specific provisions of Grassley's bill to stop waste, fraud and abuse of government credit cards.

"It's clear that there continue to be problems with government credit cards. You'd think that after seeing report after report, year after year, agencies would figure out what's appropriate to spend taxpayer money on. But, it looks like government employees are still ripping off the taxpayer. How somebody can go 6 years fleecing the taxpayer for nearly $650,000 or use an internet dating service without anybody knowing is beyond me. It just gives further evidence that legislation is the only way to stop these outrageous spending habits, which is why the Homeland Security/Government Affairs Committee's action on Thursday is so important."


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