Federal Reports

The U.S. Postal Service needs effective and productive operations to fulfill its mission of providing prompt, reliable, and affordable mail service to the American public. It has a vast transportation network that moves mail and equipment among approximately 308 processing facilities and 31,100 post offices, stations, and branches. The Postal Service is transforming its processing and logistics networks to become more scalable, reliable, visible, efficient, automated, and digitally integrated. This includes modernizing operating plans and aligning the workforce to meet marketplace needs; leveraging emerging technologies to provide world-class visibility and tracking of mail and packages in near real time; and optimizing the surface and air transportation network. The U.S. Postal Service Office of Inspector General (OIG) reviews the efficiency of mail processing operations at facilities across the country and provides management with timely feedback to further the Postal Service’s mission.

This report presents the results of our self-initiated audit of the efficiency of operations at the Cleveland Processing and Distribution Center (P&DC) in Cleveland, OH (Project Number 25-140). We judgmentally selected the Cleveland, OH P&DC based on a review of Leg 1 and Leg 3 failures; workhours; scanning compliance; and late, canceled, and extra trips. The Cleveland P&DC is in the Lakeshores Division and processes letters, flats, and parcels. The Cleveland P&DC services multiple 3-digit ZIP Codes in urban and rural communities.

The U.S. Postal Service’s mission is to provide timely, reliable, secure, and affordable mail and package delivery to more than 160 million residential and business addresses across the country. The U.S. Postal Service Office of Inspector General reviews delivery operations at facilities across the country and provides management with timely feedback in furtherance of this mission. 

This interim report presents the results of our self-initiated audit of delivery operations and property conditions at Station B, in Cleveland, OH. Station B is in the Ohio 1 District of the Central Area and serves about 61,344 people in ZIP Codes 44103, 44104, and 44106 which are considered a predominantly urban area.

The U.S. Postal Service’s mission is to provide timely, reliable, secure, and affordable mail and package delivery to more than 160 million residential and business addresses across the country. The U.S. Postal Service Office of Inspector General reviews delivery operations at facilities across the country and provides management with timely feedback in furtherance of this mission. 

This interim report presents the results of our self-initiated audit of delivery operations and property conditions at the Shaker Heights Station in Cleveland, OH. The Shaker Heights Station is in the Ohio 1 District of the Central Area and serves about 62,998 people in ZIP Codes 44120 and 44128, which are considered urban areas.

This report includes EAC OIG’s independent assessment of the top management challenges facing the EAC in fiscal year 2026.

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

Transmittal of the Final Report Assessing the Federal Trade Commission’s Compliance with the Federal Information Security Management Act for Fiscal Year 2025 (Redacted for public release)

Amtrak (the company) contracted with the independent certified public accounting firm of Ernst & Young LLP to audit its consolidated financial statements as of September 30, 2025, and for the year then ended, and to provide a report on internal control over financial reporting and on compliance and other matters. Because the company receives federal assistance, it must obtain an audit performed in accordance with generally accepted government auditing standards.

As required by the Inspector General Act of 1978, as amended, we monitored the audit activities of Ernst & Young to help ensure audit quality and compliance with auditing standards. Our monitoring focused on two Ernst & Young reports and disclosed no instances in which Ernst & Young did not comply, in all material respects, with generally accepted government auditing standards. We reached this conclusion by monitoring Ernst & Young’s audit activities, which included reviewing its reports, auditor independence and qualifications, audit plans, detailed testing results, summary work papers, and quality controls. We also attended key meetings.

Ernst & Young’s first report was its audit of the company’s consolidated financial statements for fiscal year (FY) 2025. In a report dated December 12, 2025, Ernst & Young concluded that the company’s consolidated financial statements were presented fairly, in all material respects, in accordance with U.S. generally accepted accounting principles. Further, the report emphasized that the company has a history of operating losses and without receipt of federal government funding, the company will not be able to continue in its current form, and significant operating changes, restructurings, or bankruptcy might occur.

In its second report on the company’s internal control and compliance, Ernst & Young did not identify any deficiencies that it considered to be significant deficiencies or material weaknesses.

Ernst & Young identified other deficiencies in internal controls over financial reporting that did not rise to the level of a significant deficiency, which it provided in a separate management letter issued to the company on December 12, 2025.

Although our review disclosed no instances in which Ernst & Young did not comply, in all material respects, with generally accepted government auditing standards, we note that our monitoring activities were not intended to enable us to express an audit opinion in accordance with generally accepted government auditing standards. Accordingly, we do not express an opinion on the company’s consolidated financial statements or conclusions about the effectiveness of internal controls and compliance with laws and regulations. As such, Ernst & Young is responsible for its reports and the conclusions expressed in those reports.