Improvements Needed for the Unapplied Cash Process at the Railroad Retirement Board

Submitting OIG:

Railroad Retirement Board OIG

Report Description:

Date Issued:

Thursday, May 16, 2019

Agency Reviewed / Investigated:

Railroad Retirement Board

Submitting OIG-Specific Report Number:

19-08

Location(s):

Agency-Wide

Type of Report:

Audit

Questioned Costs:

Funds for Better Use:

Number of Recommendations:

View Document:

Attachment	Size
Audit Report 19-08.pdf	1.7 MB

Recommendation Number	Recommendation Status	Significant Recommendation
19-08, 1	Open	No
The Executive Committee should develop a comprehensive agency-wide process for maintaining, monitoring and reporting on unapplied cash to ensure that all unapplied cash items are properly identified, recorded, monitored, reconciled, investigated, and resolved.
19-08, 2	Open	No
The Bureau of Fiscal Operations should update all control documentation (including policies and procedures, charts of controls, and other related documentation) to reflect the changes that occurred to unapplied cash as a result of the migration to the Financial Management Integrated System.
19-08, 3	Open	No
The Bureau of Fiscal Operations should test the updated unapplied cash controls to ensure that they are present and operating as intended.
19-08, 4	Open	No
The Office of Programs should update all control documentation (including policies and procedures, charts of controls, and other related documentation) to reflect the changes that occurred to unapplied cash as a result of the migration to the Financial Management Integrated System.
19-08, 5	Open	No
The Office of Programs should test the updated unapplied cash controls to ensure that they are present and operating as intended.
19-08, 6	Open	No
The Bureau of Fiscal Operations should work with the Railroad Retirement Board’s Financial Management Integrated System contracted service provider to implement Financial Management Integrated System modifications to ensure that all unapplied cash transactions [unapplied cash receipts received, carried over from prior year, and receipts disposed of (applied to debt)] are maintained going forward, for completeness and accountability.
19-08, 7	Open	No
The Bureau of Fiscal Operations should develop and implement a formal reconciliation process to ensure accountability, completeness, and accuracy of unapplied cash transactions.
19-08, 8	Open	No
The Bureau of Fiscal Operations should work with the Railroad Retirement Board’s Financial Management Integrated System contracted service provider to correct Financial Management Integrated System posting logic for unapplied cash to ensure that unapplied cash transactions are properly recorded.
19-08, 9	Open	No
The Bureau of Fiscal Operations should establish internal controls over accounting adjustments for unapplied cash to ensure that the adjustments are proper and that balances are accurate.
19-08, 10	Open	No
The Bureau of Fiscal Operations should develop and maintain an unapplied cash aging report to ensure proper monitoring and timely processing of unapplied cash receipts.

Recommendation Number

Recommendation Status

Significant Recommendation

Additional Details

19-08, 1

Open

The Executive Committee should develop a comprehensive agency-wide process for maintaining, monitoring and reporting on unapplied cash to ensure that all unapplied cash items are properly identified, recorded, monitored, reconciled, investigated, and resolved.

19-08, 2

Open

The Bureau of Fiscal Operations should update all control documentation (including policies and procedures, charts of controls, and other related documentation) to reflect the changes that occurred to unapplied cash as a result of the migration to the Financial Management Integrated System.

19-08, 3

Open