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Exhibit 283

The FY 2025 DoW Financial Statement Audit Explained (DOWIG-2026-081)

Exhibit 283 ยท Inspector general report

The FY 2025 DoW Financial Statement Audit Explained (DOWIG-2026-081)

The audit identified 26 material weaknesses, representing significant deficiencies that increase the risk of undetected errors.

FY2025: disclaimer issued 18 December 2025; 26 agency-wide material weaknesses; of 22 stand-alone entities, 21 got opinions (11 clean, 1 qualified, 9 disclaimers); 121 entity-level weaknesses (21 fewer); 2,485 NFRs (427 fewer); 297 financial systems; unsupported accounting adjustments over $859 billion in last two quarters; plans substantive testing of physical assets in FY2026; 929 NFRs have no remediation date. Defines unsupported accounting adjustments (PDF p. 21): 'Changes made to accounting records without the proper documentation to show why the change was needed or correct.' The DoW's adjustments totaled more than $859 billion in the last two quarters of FY2025.

Source
Department of War (DoD) Office of Inspector General
Date
11 May 2026
Quoted from
PDF p. 3 (printed p. i)
Grade
Primary record
Document
https://www.oversight.gov/sites/default/files/documents/reports/2026-05/DOWIG2-2026-081%20SECURE.pdf
Accessed
2026-11-09
Cited by
Findings citing this exhibit

Cited by

Finding DEF-3.1
Primary record The DoD Inspector General issued a disclaimer of opinion on the department-wide financial statements in each of fiscal years 2018 through 2025, eight years in a row. GAO reports that DoD is the only one of the 24 Chief Financial Officers Act agencies that has never obtained a clean opinion.
Finding DEF-3.3
Primary record The DoD Inspector General counted 20 agency-wide material weaknesses in fiscal year 2018, 25 in 2019, 26 in 2020, 28 in each of 2021 through 2024, and 26 in 2025. The Inspector General states that comparing these counts from year to year is not a reliable way to measure progress.
Finding DEF-3.4
Primary record In fiscal year 2025 the DoD Inspector General reported opinions on 21 reporting entities: 11 clean, 1 qualified and 9 disclaimers, up from 5 clean opinions among 21 entities in fiscal year 2018. The Congressional Research Service reports that the entities with disclaimers account for 43 percent of DoD assets.
Finding DEF-3.6
Primary record An unsupported accounting adjustment is a change to the accounting records that lacks the documentation showing why it was made. In 2018 the Under Secretary of Defense (Comptroller) told the House Armed Services Committee that this is not the same thing as not being able to account for money that Congress has given the department to spend.
Finding DEF-3.9
Primary record The Defense Department reports progress in its own audit record: the Marine Corps has received a clean opinion since fiscal year 2023, the FY2025 audit report records 121 entity-level material weaknesses and 2,485 notices of findings, which it describes as 427 fewer, and GAO counts one of 17 scope-limiting weaknesses as resolved.