What is the DoD Hotline Program?

August 24, 2015

Members of the DoD community are likely to be familiar with the DoD Hotline program from posters displayed in their common work areas. However, not all defense contractors are aware of DFARS clause 252.203-7004  Display of Fraud Hotline Poster(s), which requires defense contractors to display the DoD hotline poster in common work areas or in their company websites.

The DoD Hotline allows DoD community members to report “suspected fraud, waste and mismanagement in DoD programs and operations”. The requirement to display the poster emphasizes the need to promote defense contractors business ethics and fraud awareness. The DoD Hotline poster rule applies to contracts and subcontracts that exceed $5 million with the exception of contractors in the acquisition of commercial items or that operate entirely outside the United States.

During site visits, DCAA auditors may ask defense contractors whether they are aware of the DoD hotline program and whether the DoD hotline poster is displayed at work areas for employees to view. Regardless of your company size, we encourage you to educate your HR team on the rule and, if applicable, display the DoD Hotline poster in appropriate locations.