Federal Reports

Our Objective(s)To perform a quality control review (QCR) of Allmond & Company, LLC's management letter related to the audit of the Surface Transportation Board's (STB) financial statements for the fiscal year ended September 30, 2025. We reviewed Allmond's management letter, dated January 7, 2026, and related documentation.
About This ReportWe contracted with the independent public accounting firm Allmond to audit STB's financial statements. Almond also issued a management letter discussing internal control matters that Allmond was not required to include in its audit report.
What We FoundThe independent auditor, Allmond, found nine internal control matters in STB's operations:

Completion of revenue reconciliations was not properly evidenced,
Complementary user entity controls were not properly designed and implemented for the use of service organization systems,
Accounts payable transaction was recorded and paid from an incorrect funding year,
Improvements needed in internal control relating to the processing of personnel actions,
Improvements needed in internal controls relating to annual leave,
Improvements needed in internal control relating to the performance of property inventories,
Lack of sufficient internal control over financial reporting relating to upward and downward adjustments of prior year obligations,
Leave carryover balances were not properly calculated or reviewed, and
Federal Employees Health Benefits Program premiums were included in Old-Age, Survivors, and Disability Insurance and Medicare taxes in error.

Our QCR disclosed no instances in which Allmond did not comply, in all material respects, with U.S. generally accepted Government auditing standards.
RecommendationsWe agree with Allmond's 17 recommendations to help strengthen STB's internal controls.

The audit objectives were to determine whether program funds were managed in accordance with the ARC and Federal grant requirements.

Performance Audit Report on the Federal Labor Relations Authority’s Compliance with the Payment Integrity Information Act of 2019 for Fiscal Year 2025

This report presents the results of our verification inspection of the U.S. Small Business Administration’s (SBA) corrective actions for the recommendations from the Office of Inspector General (OIG) Audit of SBA’s Desktop Loss Verification Process (Report 19-23). A verification inspection is a review that focuses on the implementation of closed recommendations from prior OIG reports.

SBA made corrective actions in response to our prior audit and implemented a process to ensure all disaster assistance loans were verified before disbursing funds. However, the corrective actions the agency made in response to our prior audit no longer exist because SBA changed its loan processing management system and developed new processes. We found the same issues identified in our prior audit continue to persist because SBA did not address our recommendations when the agency transitioned to its new loan processing platform in 2023. In some cases, SBA weakened or eliminated internal controls even further.

In this verification inspection, we reviewed the files for 28 SBA disaster assistance loans approved in fiscal year 2025 and found 12 were missing photographs of the claimed damages. Only 1 of the 28 files contained contractor estimates for cost of repair or replacement, insurance reports, or repair receipts. The loss verifiers’ comments in the files were often minimal in supporting their conclusions from the documentation submitted. We will not reopen the recommendations from Report 19-23 but will instead incorporate our findings into a future audit of SBA’s disaster assistance loan loss verification process. SBA elected not to provide a formal response to this report.

We performed an audit of costs billed to the Tennessee Valley Authority (TVA) by Facilities Technology Alliance LLC (FTA) under Contract No. 15664 for staff augmentation electrical and telecommunication services.  Our objective was to determine if costs were billed in accordance with the contract’s terms.  Our audit scope included $15.1 million in costs paid to FTA from March 6, 2023, through February 28, 2025.

In summary, we determined FTA overbilled TVA $187,600, including (1) $69,790 in fuel and oil costs not provided for in the contract, (2) a net $65,805 due to duplicate and incorrectly billed invoices, (3) $48,257 in overbilled labor costs, and (4) $3,748 in unsupported travel costs. In addition, we found the contract’s pricing schedule did not include FTA’s billing rates.  Without billing rates, TVA’s field invoice approvers do not have sufficient information to effectively review invoices.

The OIG’s Mental Health Inspection Program evaluates Veterans Health Administration’s (VHA’s) continuum of mental healthcare services. This inspection focused on the inpatient mental health care delivered at the James A. Haley Veterans’ Hospital (facility), part of VA Tampa Healthcare System in Florida. 

The facility met some VHA requirements for inpatient mental health units, such as an established Interdisciplinary Safety Inspection Team and completion of twice-yearly environment of care inspections. The facility had a mental health executive council but did not have veteran representation. Additionally, the facility did not meet the requirement for a standard operating procedure for staff training, education, and the implementation of recovery-oriented services on the unit.  

Facility leaders did not have formal written processes to monitor and track compliance with state involuntary commitment requirements. Staff completed the required documentation of legal commitment status and informed consent medication discussions. Not all inpatient staff completed suicide prevention or annual environmental safety hazards trainings.  

Most reviewed electronic health records included evidence of suicide risk screenings and safety plans. Safety plans did not address ways to make the veteran’s environment safer from potentially lethal means beyond firearms and opioids. Discharge instructions included difficult to understand language and lacked important details for appointment location follow-up.  

The OIG observed a recovery-oriented culture and veteran-centric care through staff’s presence and engagement with veterans on the inpatient unit. While veterans had unrestricted access to a day room and a large outdoor space, bedrooms lacked recovery-oriented elements such as calming paint colors. 

VA concurred with the OIG’s seven recommendations; the OIG closed two recommendations based on information provided. The Facility Director agreed to implement a range of corrective actions, including strengthened staff training, ensuring formalized written processes, and improved documentation practices to support safe, recovery-oriented mental health care on the inpatient unit. 

This Office of Inspector General (OIG) Healthcare Facility Inspection program report describes the results of a focused evaluation of the care provided at the VA Beckley Healthcare System in West Virginia. 

This evaluation focused on five key content domains:
     •    Culture
     •    Environment of care
     •    Patient safety
     •    Integrated veteran care
     •    Veteran-centered safety net

The OIG issued no recommendations.