Federal Reports

The DOL-OIG Investigations Newsletter contains a bimonthly summary of selected investigative accomplishments.

Due to potential risks associated with employee separations where some Tennessee Valley Authority (TVA) employees ceased active work prior to their last official day of employment, we included an audit of timely access removal as part of our annual audit plan. Our audit objective was to determine if physical and logical access is removed when employees cease active work prior to retirement or other termination. Our scope included TVA employees whose employment ended during calendar year 2018 who ceased active work prior to retirement or other termination. In summary, we found (1) TVA’s policies and procedures do not provide guidance for supervisors/managers regarding removal of an employee’s logical or physical access if they stop active work prior to separation, and (2) employee’s physical and logical access is not consistently removed on a timely basis when employees cease active work prior to retirement or other separation.

The Office of the Inspector General (OIG) previously conducted an evaluation of Sourcing (Evaluation 2017-15514, August 17, 2018) to identify strengths and risks that could affect Sourcing’s organizational effectiveness. Our report identified several strengths and risks along with recommendations for addressing those risks. In response to a draft of that report, Tennessee Valley Authority (TVA) management provided their management decision. Prior to the commencement of this evaluation, the recommendations related to alignment risks, employee advancement, and collaboration within Sourcing were closed. The objective of this follow-up evaluation was to assess management’s actions to address the two remaining risks, related to leadership and workload. In summary, we determined TVA management has taken actions to address the remaining risks.

The Postal Service has a pricing management system based on procedures and methodologies that were developed over 20 years ago. The Postal Service’s primary sources for developing and analyzing prices comes from statistical analysis and reports that are generated on a quarterly and annual basis. These systems are not integrated; thus, it is difficult for the Postal Service to use this information to be nimble in its pricing strategy. Our objective was to identify opportunities for increased efficiencies in pricing processes and initiatives for competitive products using industry best practices.

The Ypsilanti MPO is in the Detroit District in the Great Lakes Area. We conducted this audit in response to concerns related to delayed mail and package scanning raised by U.S. Representative Debbie Dingell, 12th District, Detroit, MI. Other concerns were directed to our Office of Investigations, as appropriate.

What We Looked AtWe reviewed the Puerto Rico Highways and Transportation Authority's single audit report for the fiscal year ending June 30, 2018, in order to identify findings that affect directly awarded Department of Transportation programs. An independent auditor prepared the single audit report, dated March 25, 2019.What We FoundWe found that the report contained a subrecipient monitoring finding that needs prompt action from the Federal Transit Administration's (FTA) management. We also found that the report contained a matching finding that needs prompt action from the Federal Highway Administration's (FHWA) management.RecommendationsWe recommend that FTA ensures that the Authority complies with the subrecipient monitoring requirements. We also recommend that FHWA ensures that the Authority complies with the matching requirements.

What We Looked AtWe reviewed the State of Indiana's single audit report for the fiscal year ending June 30, 2018, in order to identify findings that affect directly awarded Department of Transportation programs. An independent auditor prepared the single audit report, dated March 21, 2019.What We FoundWe found that the report contained a special tests and provisions finding that needs prompt action from the Federal Highway Administration's (FHWA) management.RecommendationsWe recommend that FHWA ensures that the State complies with the special tests and provisions requirements.

What We Looked AtWe reviewed the State of Vermont's single audit report for the fiscal year ending June 30, 2018, in order to identify findings that affect directly awarded Department of Transportation programs. An independent auditor prepared the single audit report, dated March 25, 2019.What We FoundWe found that the report contained a level of effort finding that needs prompt action from the National Highway Traffic Safety Administration's (NHTSA) management.RecommendationsWe recommend that NHTSA ensures that the State complies with the level of effort requirements.