KPMG LLP (KPMG), under contract with DHS OIG, conducted an integrated audit of DHS’ FY 2019 consolidated financial statements and internal control over financial reporting. KPMG issued an unmodified (clean) opinion over the Department’s financial statements, reporting that they present fairly, in all material respects, DHS’ financial position as of September 30, 2019. However, KPMG identified material weaknesses in internal control in two areas and other significant deficiencies in three areas. Consequently, KPMG issued an adverse opinion on DHS’ internal control over financial reporting. KPMG also reported two instances of noncompliance with laws and regulations. DHS concurred with all of the recommendations.
Open Recommendations
Recommendation Number | Significant Recommendation | Recommended Questioned Costs | Recommended Funds for Better Use | Additional Details | |
---|---|---|---|---|---|
1 | No | $0 | $0 | ||
We recommend that DHS Office of the Chief Financial Officer (OCFO), in coordination with the Office of the Chief Information Officer (OCIO), the Office of the Chief Information Security Officer (OCISO), and Component IT and financial management, complete a comprehensive risk analysis and develop a mitigation plan to reduce risks related to ITGC and application control deficiencies. |