Sunday, May 21, 2017

A Look At How The Pentagon Manages Its Money

Washington Post: At the Pentagon, overpriced fuel sparks allegations — and denials — of a slush fund

The Pentagon has generated almost $6 billion over the past seven years by charging the armed forces excessive prices for fuel and has used the money — called the “bishop’s fund” by some critics — to bolster mismanaged or underfunded military programs, documents show.

Since 2015, the Defense Department has tapped surpluses from its fuel accounts for $80 million to train Syrian rebels, $450 million to shore up a prescription-drug program riddled with fraud and $1.4 billion to cover unanticipated expenses from the war in Afghanistan, according to military accounting records.

The Pentagon has amassed the extra cash by billing the armed forces for fuel at rates often much higher — sometimes $1 per gallon or more — than what commercial airlines paid for jet fuel on the open market.

Read more ....

WNU Editor: Talk about timing. The Pentagon's proposed budget is going to be released in two days, and we now have this story. Also .... criticisms on how the Pentagon handles its money have ben intensifying in the past few months .... Congress has done nothing to solve the Pentagon's slush fund problem (The Hill).

Hat tip Jay for this link.

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