DOGE Report: Failure to Address Significant Risk of Fraud and Improper Payments


Iron Mountain cave system where federal retirement records are processed. | Department of Government Efficency

The mindset of the Department of Government Efficiency (DOGE) is now firmly embedded in agencies and departments across the federal government. Waste, fraud, and abuse are being detected and prevented at every turn.

A recent report issued by the Office of the Inspector General Government Accountability Office (GAO) found that that the federal employee retirement applications process, administered by the U.S. Office of Personnel Management (OPM), is "fraught with IT management weaknesses" and not nearly enough has been done to fix it.

An initial, and shocking finding of DOGE was the Iron Mountain cave system where the entire federal retirement program was kept in paper taking months to process by hand any one individual’s retirement paperwork. 700+ mine workers operate 230 feet underground to process ~10,000 applications per month, which are stored in manila envelopes and cardboard boxes.

OPM manages and administers the federal retirement program and the agency has been working on modernizing the process for more than 20 years with little progress. It was noted at the time that if this were a private company, they would have long since gone out of business.

The GAO report released that, "OPM has not yet demonstrated that it has incorporated key aspects of IT project management as part of its modernization effort, as we recommended. Doing so would help ensure that key aspects of the project, such as scope, responsible organizations, costs, schedules, and risks are identified and that progress toward meeting objectives, such as processing timeliness, can be assessed.”

The GAO said that legislation was enacted on July 4, 2025 that directed OPM to implement their recommendations. GAO estimated that OPM could save $1 billion after full implementing their recommendations.

Gene L. Dodaro, Comptroller General of the United States, wrote to the OPM Director saying, “GAO’s has 14 open priority recommendations. Additionally, there are 44 other GAO open recommendations that we will continue to work with your staff to address.”

Under ‘Actions needed' are common sense items such as:

  • OPM needs to implement a monitoring mechanism to identify and remove ineligible family members from the Federal Employees Health Benefits (FEHB) program”.
  • OPM needs to develop, document, and implement a Retirement Services IT modernization plan.
  • OPM needs to establish and maintain a workforce planning process and assess competency needs and staffing.
  • The Director of OPM should establish a time frame to develop a plan to manage permanent electronic records.
In November 2024, GAO reported that, on a government-wide basis, just 70% of their recommendations made 4 years ago were implemented. OPM’s recommendation implementation rate was just 33%. As of July 2025, OPM had 58 open recommendations.

The GAO report also calls out areas of particularly high risk to fraud, waste, abuse, and mismanagement. One of the high-risk areas—strategic human capital management—directly centers on OPM. In addition, mission critical skills gaps are a factor in 20 of the other 37 areas currently listed as high-risk.

Weekly DOGE Contracts Update: In the last five days, agencies terminated 123 wasteful contacts with a ceiling value of $5.3B and savings of $4.2B, including an $857k Department of the Interior contract for a “technical advisor, Lagos Nigeria”.

Organizations Included in this History


Daily Feed

Education

Stony Brook students blend fitness and ecology in 3K EcoWalk

Stony Brook University students participated in the "Running Wild 3K EcoWalk," a new Earthstock event conducted on April 21 at the Ashley Schiff Preserve.


Sports

Sayville Football Earns Rutgers Trophy

Sayville Football has won the Rutgers Trophy, awarded to the best team in Suffolk County. The Golden Flashes capped off an unforgettable season by finishing 12-0, securing their eighth Long Island Championship and bringing home the seventh Rutgers Trophy in program history. Sayville earned this prestigious honor at the Suffolk County Football Coaches Association dinner, where the program was officially recognized as Suffolk’s most outstanding team.


Sports

William Floyd Cleans Up at the Awards Dinner

The William Floyd Colonials football program had a big night this week earning a host of honors at the annual Suffolk County Football Coaches Association awards dinner held at the Hyatt Regency in Hauppauge.