GAO Found Unreliable USDA Spending Records
A federal review of agency spending revealed that the USDA failed to track how billions in taxpayer-funded awards were utilized.
Updated on Sept. 29, 2026 in Economic Policy
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A government audit concluded that the USDA provided unreliable data regarding the status of spending reviews for programs examined by the GAO. The audit evaluated federal awards during fiscal years 2022 through 2025, following a presidential directive to align spending with administration policy.
Why it matters
The lack of clear documentation makes it difficult to assess how taxpayer funds were allocated across $37 billion in USDA program authority. This discrepancy contrasts with the Department of Energy, which successfully provided detailed records for its respective spending outcomes.
The USDA obligated $32.2 billion in funds between fiscal years 2022 and 2025, with only $67 million in contract terminations documented. The GAO was unable to verify the status of the remaining funds, unlike the Department of Energy which reported $9.1 billion in terminations.
The players
GAO
The Government Accountability Office serves as the non-partisan audit agency for Congress, tracking federal spending and evaluating program effectiveness.
USDA
The United States Department of Agriculture manages federal programs related to food, agriculture, and rural development that rely on congressionally approved budget authority.
Department of Energy
This federal agency manages energy policy and nuclear safety, overseeing large-scale awards and research grants funded by taxpayer dollars.
President Trump
As the President of the United States, he issued the directive for federal agencies to ensure program spending aligned with his administration's policy priorities.
The details
The GAO analyzed agency paperwork to determine how federal awards were handled following a January 2025 executive order to review spending. While the Department of Energy clearly accounted for its program outcomes, the USDA's reporting lacked the necessary detail to distinguish between continued, modified, or canceled projects. This missing documentation complicates oversight efforts meant to ensure federal resources are utilized according to official policy guidelines.
Timeline
January 20, 2025: President Trump ordered federal agencies to review spending.
Fiscal years 2022-2025: Period covering the federal obligations examined by the GAO.
June 30, 2025: USDA officials completed their internal reviews of program spending.
Money Landscape
Federal oversight of public funds often hinges on the transparent reporting of program results for major legislation like the Inflation Reduction Act. This audit highlights a significant variance in how agencies maintain the records necessary to justify continued spending.
These findings point to administrative gaps that can affect the efficiency of taxpayer-funded programs and how federal resources are prioritized. Households should remain attentive to future government audits that may impact the funding of agricultural or energy-related initiatives.
The takeaway
Reliable record-keeping is the backbone of federal fiscal accountability and public trust. Citizens interested in the status of government programs should track upcoming GAO reports to see how federal agencies resolve these documented discrepancies in spending data.
Further reading
For broader trends on federal budgeting and oversight, visit our guide on Economic Policy.
Source note: This article includes information reported by PJ Media.
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