Operations Desert Shield/Storm:

Foreign Government and Individual Contributions to the Department of Defense

NSIAD-92-144: Published: May 11, 1992. Publicly Released: May 11, 1992.

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Pursuant to a legislative requirement, GAO reviewed foreign countries' contributions of money, property, services, and supplies accepted by the Department of Defense (DOD) as of September 30, 1991, focusing on whether DOD had: (1) complied with legislative requirements; (2) established adequate controls over the deposit and transfer of cash contributions; and (3) established adequate procedures for tracking and valuing in-kind contributions.

GAO found that: (1) as of September 1991, foreign governments and private individuals contributed about $48.7 billion to the DOD Defense Cooperation Account, primarily to defray the costs of Operations Desert Shield and Desert Storm; (2) DOD administered cash contributions to the Defense Cooperation Account in accordance with legislative and accounting requirements; (3) DOD deposited all contributions and earned interest in the account, invested account funds in U.S. securities, and only transferred funds to authorized accounts; (4) DOD also processed transactions in an accurate and timely manner; (5) in accordance with legislative requirements, DOD established procedures to track, report, and value in-kind contributions; (6) DOD corrected or plans to correct the contributions reporting discrepancies that GAO identified; and (7) because data from contributing countries were not always available, DOD estimated the value of some contributions, and, as a result, the estimated value may differ from the actual cost incurred by the contributor.

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