DoD Does Not Have Visibility Over the Use of Funds Provided to the Department of Energy

The overall objective of the audit was todetermine whether the memorandum of
agreement (MOA) and corrective action plan (CAP) between DoD and the Department of
Energy (DOE) addressed the findings in the previous audit and to determine whether
DoD personnel complied with the roles and responsibilities outlined in the MOA. To
address the conditions identified in DoD Office of Inspector General (OIG) Report
No. D-2011-021, “More DoD Oversight Needed for Purchases Made Through the
Department of Energy,” December 3, 2010, the Director, Defense Procurement and
Acquisition Policy (DPAP), developed a MOA with DOE officials. The MOA,
“Governing Department of Defense Funded Work Performed at the Department of
Energy Laboratories and Facilities,” September 2010, outlined DoD and DOE roles and
responsibilities when DOE made purchases on behalf of DoD customers. The MOA
included the CAP.
DoD and DOE officials could not provide a complete list of FY 2011 DoD-related
projects. Therefore, we did not perform a full assessment of DoD’s compliance with the
roles and responsibilities outlined in the MOA. See Appendix A for a discussion of the
scope and methodology. See Appendix B for prior coverage related to the objective.