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March 6, 2026

Project Announcement: Termination of the Oversight of the FY 2026 Defense Logistics Agency (DLA) System and Organization Controls 1 Examination of Service Owned Items in DLA Custody (Project No. D2026-D000FE-0018.000)

Audit

We announced the subject oversight project on November 24, 2025. The objective was to provide contract oversight of the Ernst & Young LLP (EY) attestation examination and determine whether EY complied with the contract and applicable attestation and generally accepted government auditing standards. We are terminating this contract oversight project because the DLA has decided to focus on supporting substantive counts of inventory for customers instead of relying on controls to support balances for Service Owned Items in DLA custody for FY 2026. As a result, the DLA requested EY stop efforts to review and validate those controls and our oversight is no longer required.

  • Office of Inspector General, United States Department of Defense, 4800 Mark Center Drive, Alexandria, VA 22350-1500