Defense Environmental Issues

Improved Guidance Needed for Reporting on Recovered Cleanup Costs Gao ID: GAO-02-103 October 26, 2001

The cleanup of contaminated Department of Defense (DOD) sites could cost billions of dollars. Private contractors or lessees that may have contributed to such contamination may also be responsible for cleanup costs. DOD and other responsible parties either agree to a cost sharing arrangement with the responsible parties conducting the cleanup or DOD conducts the cleanup and attempts to recover the other parties' share after the cleanup. On the basis of a GAO study, DOD issued guidance requiring its components to identify, investigate, and pursue cost recoveries and to report on them in the Defense Environmental Restoration Program Annual Report to Congress. The data on cost recoveries from non-Defense parties included in the Department's report for fiscal year 1999 were inaccurate, inconsistent, and incomplete. As a result, neither Congress nor DOD can determine the extent of progress made in recovering costs or the extent to which cost recoveries may offset cleanup costs. Data on cost recoveries included throughout the annual report were also missing from the appendix. Thus, DOD may not know whether all potential cost recoveries have been actively pursued and reported.

Recommendations

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