What We Looked AtWe contracted with the independent public accounting firm Allmond & Company, LLC (Allmond), to audit the Surface Transportation Board’s (STB) financial statements as of and for the fiscal years ended September 30, 2023, and September 30, 2022; provide an opinion on those financial statements; report on internal control over financial reporting; and report on compliance with laws and other matters. The contract required the audit to be performed in accordance with U.S. generally accepted Government auditing standards, Office of Management and Budget audit guidance, and the Government Accountability Office’s and Council of the Inspectors General on Integrity and Efficiency’s Financial Audit Manual. We performed a quality control review (QCR) of Allmond’s report, dated November 6, 2023, and related documentation, and inquired of its representatives. What We FoundOur QCR disclosed no instances in which Allmond did not comply, in all material respects, with U.S. generally accepted Government auditing standards. Our RecommendationsSTB concurred with Allmond’s ten recommendations. We agree with Allmond’s recommendations and are not making any additional recommendations.
Open Recommendations
| Recommendation Number | Significant Recommendation | Recommended Questioned Costs | Recommended Funds for Better Use | Additional Details | |
|---|---|---|---|---|---|
| 1 | Yes | $0 | $0 | ||
| STB management should review the current version of OMB Circular A-136 to independently verify that all required footnotes are included and bring any omissions to the service providers attention so that errors or omissions can be corrected. | |||||
| 2 | Yes | $0 | $0 | ||
| STB management should review the service providers Financial Statement and Notes Review Checklist to verify that the checklist is up to date and includes all required elements per OMB and Treasury guidance and then complete the checklist independently. Alternatively, STB management should develop and complete its own review checklist based on current Treasury and OMB reporting requirements. | |||||
| 3 | Yes | $0 | $0 | ||
| STB management should request its financial management service provider to: | |||||
| 4 | Yes | $0 | $0 | ||
| STB management should ensure that its review process includes procedures to disaggregate material balances reported in the financial statements and footnotes, agree balances to source documents, agree the footnotes to the principal financial statements, and verify the mathematical accuracy of all statements and schedules included in the financial statement package. | |||||
| 5 | Yes | $0 | $0 | ||
| Managements review and certification of the financial statements and footnotes should be clearly documented and indicate what was reviewed, when the review was performed, and who performed the review for each reporting period. | |||||
| 6 | Yes | $0 | $0 | ||
| STB should perform a review of 100% of employee benefit elections and Official Personnel Folders (OPFs) to ensure they are complete and accurate. | |||||
| 7 | Yes | $0 | $0 | ||
| STB should develop policies and procedures that include the performance of periodic reviews of employees Official Personnel Folders to ensure that they are complete and accurate. | |||||
| 8 | Yes | $0 | $0 | ||
| STB should address missing or unavailable supporting documentation with its shared service provider to ensure that document retrieval tools are available and are working properly to allow retrieval of all stored documents. | |||||
| 9 | Yes | $0 | $0 | ||
| STB should obtain replacement documentation for employee forms and other documentation that have been determined to be incomplete or irretrievable from databases and other electronic sources following managements initial and periodic routine reviews. | |||||
| 10 | Yes | $0 | $0 | ||
| We recommend that STB implement and enforce its existing policies and procedures requiring the periodic review of all open obligations to ensure that closeout of completed contracts, including the de-obligation of funds and return of the balances for any advanced payments, is performed regularly and timely. | |||||
