CMS Has Not Performed Required Close Outs of Contracts Worth Billions

The Centers for Medicare & Medicaid Services (CMS) relies extensively on contractors to carry out its basic mission and spends billions of dollars each year in contracts for a variety of goods and services. A contract is closed once the contractor has completed contract requirements and the Government has completed all required administrative actions. Because improper payments may be identified and recovered during the closeout process, it is imperative that contracts are closed within Federal Acquisition Regulation (FAR) timeframes. The closeout process, generally, is the last chance for improper contract payments to be detected and recovered, and delayed closeout poses a financial risk to agency funds.