"Funny Money": An Analysis of OPTAR Fraud, Waste, and Abuse in the U. S. Navy

Abstract

Operational target funds (OPTAR) are utilized by U.S. naval commands to purchase repair parts and consumable products (e.g., cleaning supplies, office products, etc.). These funds represent approximately six percent of the Department of the Navy's budget issued by Congress to the Department of Defense on an annual basis. OPTAR funds are managed by U.S. Navy Logistics Specialists and Supply Corps Officers. Possible gaps in the oversight of these funds may be present. These gaps in oversight could provide opportunities for potential fraud, waste, and abuse. The purpose of this research was to determine Navy Supply Corps Officers knowledge of fraud, waste, and abuse as it applies to OPTAR funds, and to assess their perceptions of the sufficiency of the Navy's training, internal controls, and audit processes related to those OPTAR funds. The data used for this research was obtained through the deployment of an online survey to Naval Postgraduate School (NPS) students who are United States Navy Supply Corps Officers. Findings from this research identified issues differentiating between abuse and fraud schemes, a lack of training and knowledge of services and programs available to Navy Supply Corps Officers, as well as gaps in training, internal controls, and audit processes that would help detect, deter, and prevent fraud, waste, and abuse of OPTAR funds. Based on the research findings, recommendations were provided.

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Document Details

Document Type
Technical Report
Publication Date
Jun 01, 2022
Accession Number
AD1184592

Entities

People

  • David A. Iii Dyal
  • Gamalier Riverafontan

Organizations

  • Naval Postgraduate School

Tags

Communities of Interest

  • Biomedical
  • Weapons Technologies

DTIC Thesaurus Topics

  • Application Software
  • Business Administration
  • California
  • Commerce
  • Congress
  • Databases
  • Department Of Defense
  • Enlisted Personnel
  • Financial Management
  • Information Systems
  • Logistics
  • Management Personnel
  • Management Training
  • Military Personnel
  • Military Science
  • Military Training
  • Navy
  • Organizational Structure
  • Personnel Management
  • Students
  • Supply Chain
  • Supply Chain Management
  • United States

Readers

  • Government and Public Administration Law.
  • Logistics and Supply Chain Management.
  • Military Leadership and Professional Education.