Federal Reports

This report presents the results of the System and Organization Controls 1 Type 2 examination conducted in accordance with relevant attestation standards established by the American Institute of Certified Public Accountants for the United States Department of Agriculture’s (USDA) Financial Management Service (FMS) description of its financial systems used to process user entities financial transactions throughout the period October 1, 2023, to June 30, 2024. The report contains an unmodified opinion on the description and controls that were suitably designed to provide reasonable assurance that the control objectives would be achieved.

The statutes creating the SRFs require states to conduct financial and compliance audits of their SRFs. The EPA's implementing regulations expressly or implicitly require, among other things, that the states send these audits to the OIG and that the OIG review the audits. Until our April 2023 request, the states have not submitted their audits to the OIG so that the OIG can determine whether those audits meet regulatory requirements.