What We Looked AtThis report presents the results of our quality control review (QCR) of Allmond & Company, LLC's management letter regarding the audit it conducted, under contract with us, of the Surface Transportation Board's (STB) financial statements as of and for the fiscal year ended September 30, 2021. The management letter discusses internal control matters that Allmond was not required to include in its report on the audit.What We FoundOur quality control review of the management letter disclosed no instances in which Allmond did not comply, in all material respects, with generally accepted Government auditing standards.RecommendationsAllmond made eight recommendations in its management letter. STB concurred with all eight 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 should perform routine reviews of employee benefit elections and Official Personnel Folders to ensure they are complete and accurate. | |||||
| 5 | 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. | |||||
| 6 | Yes | $0 | $0 | ||
| STB management should work with the service provider to identify, at least quarterly, upward adjustments that have been offset by downward adjustments in the general ledger or perform an independent review of the general ledger activity of both accounts so that manual adjustments can be recorded to properly state the ending balances of both accounts, if needed. | |||||
| 7 | Yes | $0 | $0 | ||
| STB management should design and implement policies and procedures which enhance the internal review process for upward and downward adjustment transactions and includes a reconciliation of the UDO balances with the supporting documentation to ensure that transactions have been recorded correctly. | |||||
| 8 | Yes | $0 | $0 | ||
| STB should amend its existing policy regarding the review and approval of journal vouchers to include a review of all non-reversing entries recorded during the fiscal year and to review all year-end journal vouchers before they are recorded in the agencys general ledger. | |||||
