Posted on 02/19/2025 1:14:40 AM PST by Libloather
The Department of Government Efficiency (DOGE) pledged to “simplify” the federal government’s credit card program on Tuesday which cost taxpayers nearly $40 billion last year.
“The US government currently has ~4.6M active credit cards/accounts, which processed ~90M unique transactions for ~$40B of spend in FY24,” read an X post from the cost-cutting initiative’s official account.
“DOGE is working w/ the agencies to simplify the program and reduce admin costs,” the group added.
DOGE said it “will report back in 1 week” with its plan to disentangle the system.
Data from the Bureau of Labor Statistics indicate that the federal government employed just over 3 million people in 2024 – meaning that more active credit cards are on file with federal government agencies than employees.
The General Services Administration, which runs the program, notes that government contractors may also be eligible for credit cards.
The spending data highlighted by DOGE is publicly available on the GSA website.
Since 1998, the GSA has managed the program, which issues credit cards linked to major banks to millions of employees at more than 250 federal agencies and Native American tribal governments.
GSA touts that it’s so-called “SmartPay” system enables government workers “to make purchases on behalf of the federal government in support of their agency’s mission” with “streamline transaction processing.”
The agency website states that the current system results in an “increase” in “accountability” and is “efficient and effective” at identifying “fraud, waste, and abuse.”
For decades, the federal government has been plagued with scandals involving the use of taxpayer-funded credit cards.
Over the years, government watchdogs have found everything from adult entertainment to LEGO toys to lavish multi-course meals being charged to taxpayers.
(Excerpt) Read more at nypost.com ...
And it will be glorious listening to the democrats and their media whores defend this.
Handing out gov credit cards willy nilly is like letting kids loose in a candy store. Then try and take the candy way and you get a newly made democrat.
In the private sector what would happen if you used the company’s credit card for personal items?
(Rhetorical question - depending on the amount you may just get a talking to and told to repay it back, or you could be fired and told to repay it back, but if extreme turned over to the police and get charged with embezzlement).
In the government you get promoted.
Around 15 years ago, I managed a Military organization’s credit card program. End of each month...an dual-audit occurred. I had to represent all of the card-holders, and report total spending for the month to the commander....then outside agency would review purchases a 2nd time.
Maybe some organizations loosely run the program, but this amount/level of audit...there’s zero chance of wild spending within this organization.
I would say yours was an exception.
Sometimes they won’t even authorize legitimate TDY purchases. I’ve had to pay out of pocket because idiot admin officers couldn’t figure how one could check out of a hotel in the morning, and into another in the evening in two different locations….they thought two hotels in the same day = “dual lodging.” The only way they would process the claim was if I paid for one out of pocket. Meanwhile I was on the naughty list for not paying the claim in full they refused to process. Of course all command cared about was whether there was anyone on the naughty list. We had one GS who screwed up every last claim she processed. When she retired the command never backfilled her with a civilian. They had a Marine do the claims as a collateral duty. It was that bad.
About 20 years ago I worked for a medical equipment manufacturer and audited their Purchase Cards or P-Cards which are company credit cards - the same as these government credit cards. I found several purchases of personal things being charged to the company credit cards including porn and in one case, a hooker. A few employees got canned and I recommended additional controls including making the cards invalid for certain merchant codes (ie each category of business has a merchant code some of which would not have been appropriate for company purchase) and stricter controls over who gets them, how quickly they are cancelled when an employee leaves and how carefully they are reviewed by each employee’s manager.
I’m willing to bet a thorough audit of the government credit cards is going to find the same things.
If there’s 2 million gov employees how do you get 4.6 million credit cards? One for legal expenses and one for whatever?
I turned down my government CC. I used my own and they paid me back and that left out any chance of unauthorized charges.
” ...If there’s 2 million gov employees how do you get 4.6 million credit cards? ...”
That’s a very good question.
I bet now we know where the money with no designating code in place was going to.
I would probably get fired ... my employer has strict accountability for every charge made on corporate cards.
Illegal alien cards I would guess. Vote purchasing gift cards by design
You can thank His Slickness (Clinton) for that.
I have a company AMEX card. It’s in my name. When I expense something I have to do an expense report and get reimbursed.
Occasionally I’m lax at getting it done and rock up several thousand in expenses which I have to pay out of pocket. My wife yells at me that we’re out of money and I do an expense report.
I can make personal purchases but I have to report it and remove that purchase.
We use an online system that cross checks every expense.
Cash purchases may be added. Purchases under $25 do not need a receipt. Finally there’s a rarely used mechanism for post receipts.
In other words, it’s a robust oversight system designed to keep it above board.
I probably spend $100,000 a year and have never taken a penny I’m not allowed to.
C’mon government, it’s your turn
HOORAY D.O.G.E. individuals and Elon!
Now I wish they would make Government Travel Card as optional
- not mandatory. I’d rather use my own for travel-related purposes. That’ll keep other travelers who abuse the cards in check when they’re using their own accounts.
BTTT
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