Federal Reports

Our objective was to assess the effectiveness of the U.S. Postal Service’s management of Highway Contract Routes (HCR) and Postal Vehicle Service (PVS) trips operating more than four hours late.The 2020 Annual Compliance Determination Report defines Postal Service trips that arrive more than four hours late as critically late trips (CLT). The Postal Service uses HCRs to transport mail and other products between plants and other designated stops for distances generally over 50 miles. PVS trips are internally operated by the Postal Service and are generally within a 50-mile radius of Postal Service facilities.

We contracted with KPMG LLP—an independent public accounting firm—to perform this audit of the U.S. Department of Commerce's (the Department's) Digital Accountability and Transparency Act of 2014 (DATA Act) submission for the first quarter of fiscal year 2021. Our office oversaw the progress of this audit to ensure that KPMG performed the audit in accordance with generally accepted government auditing standards and contract terms. However, KPMG is solely responsible for the attached report and the conclusions expressed in it. We do not express any opinion on the Department’s DATA Act submission, including any conclusions about the completeness, timeliness, quality, and accuracy of the data and the Department’s implementation and use of the required standards.

The National Credit Union Administration (NCUA) Office of Inspector General conducted this audit in accordance with the Digital Accountability and Transparency Act of 2014 (DATA Act). Specifically, we conducted this audit to assess the: (1) completeness, accuracy, timeliness, and quality of the financial and award data submitted for publication on USASpending.gov; and (2) the NCUA’s implementation and use of the government-wide financial data standards established by the Office of Management and Budget (OMB) and the Department of the Treasury (Treasury).

AmeriCorps submits quarterly grant and procurement award data for publication on USASpending.gov as required by the Digital Accountability and Transparency Act of 2014 (DATA Act). The Office of Management and Budget (OMB) and Department of Treasury (Treasury) established standards for Federal agencies to use 59 data elements in reporting its financial and award information. Periodically, the AmeriCorps Office Inspector General (OIG) audits the agency’s spending data to assess its completeness, accuracy, timeliness, and quality, as well as its adherence to the government-wide data standards. AmeriCorps’ grant and procurement spending data for the first quarter of FY 2021 ranks at the lower end of the moderate level for quality, scoring 72.63 out of a possible 100 points based on metrics established by the Council of the Inspectors General on Integrity and Efficiency. The moderate score stems from the fact that the data submissions were not entirely complete, accurate, or timely. Also, AmeriCorps did not consistently use the prescribed financial data standards. These deficiencies occurred due material deficiencies in AmeriCorps’ internal control over the design, implementation, and operating effectiveness of DATA Act reporting. In addition, issues arose from AmeriCorps’ transition to a shared services provider for its financial management and reporting services. AmeriCorps is still working to resolve them. We recommended that AmeriCorps develop a plan to correct outstanding accounting and processing issues related to the transition to shared services and update its DATA Act Business Process Guide to ensure that the agency uses standardized data elements across its business processes, systems, and applications. In addition, we recommended that AmeriCorps maintain adequate documentation to support its contracts and grants awards; implement controls to require vendors to register upon receiving an award on SAM.gov; and implement effective internal control over the financial reporting process for DATA Act submissions. AmeriCorps’ management did not respond to the individual findings and recommendations but stated that management plans to review them and issue a formal management decision as to each.

To assess the (1) completeness, accuracy, timeliness, and quality of Fiscal Year (FY) 2020 third-quarter financial and award data the Social Security Administration (SSA) submitted for publication on USASpending.gov and (2) implementation and use of the Government-wide financial data standards established by the Office of Management and Budget (OMB) and Department of the Treasury (Treasury).

EAC OIG, through the independent accounting firm of Brown & Company, PLLC, audited EAC's compliance with the DATA Act of 2014 for fiscal year 2021

The Federal Election Commission (FEC) OIG performance audit of the FEC’s fiscal year 2021 first quarter financial and award submission in accordance with the Digital Accountability and Transparency Act of 2014 (DATA Act

In accordance with the Reports Consolidation Act of 2000, we are submitting what we have determined to be the most significant management and performance challenges facing the U.S. Department of the Interior (DOI) for inclusion in the DOI’s Agency Financial Report for fiscal year 2021. We have organized this report around three main challenge areas—“Managing Spending,” “Delivering Core Services,” and “Ensuring Health and Safety”—but note that some topics span multiple challenge areas.

We are pleased to provide the Office of Inspector General (OIG) Quarterly Audit Recommendation Status Report. As of September 30th, 2021, there are 58 open recommendations, 6 of which were reported as “implemented” by management; and 3 of the remaining 52 categorized as “Overdue.” Since the date of the OIG’s last recommendation status report, dated July 30th, 2021, no new recommendations were added, and 11 recommendations were closed.

In April 2021, the VA Office of Inspector General (OIG) discovered VBA had incorrectly created a debt of about $210,000 for a veteran. Because of the size of the debt and VA’s plan to withhold the veteran’s entire monthly compensation benefits (over $1,100), and given the veteran’s history of treatment for mental illness, a prior suicide attempt, and suicidal ideation, the review team promptly contacted VBA for corrective action.The debt was created when a VBA employee attempted to correct a disability rating error made more than two years before that had created the overpayment. Subsequently, the overpayment should have been considered an administrative error and the debt waived since veterans are not responsible for repaying overpayments that are found to be the result of administrative errors. However, VBA’s Compensation Service claimed the veteran knew he was not entitled to the payments as VBA had sent him a letter with the cut-off date. The veteran did contact VBA numerous times about the overpayment and was told he had a 100 percent evaluation, making it reasonable to believe he was entitled to the compensation. When VBA proposed reducing the 100 percent evaluation, staff from four offices assured the veteran he would not be responsible for any overpayment.The OIG review team contacted the director of quality assurance for VBA’s Compensation Service on April 22, 2021, and provided a detailed accounting of the case. The Compensation Service recorded a new decision on April 23, 2021, that attributed the debt to administrative error and approved waiving it. The debt was ultimately eliminated from VA’s electronic system on April 30, 2021.The OIG does not request any further action on this case, but VBA should consider steps to avoid this type of error in the future.

This report responds to requests from U.S. Representatives C.A. Dutch Ruppersberger and Kweisi Mfume, for the 2nd and 7th Congressional Districts of MD, respectively, to review mail delivery and customer service operations at select units in the Baltimore, MD, region. In May 2021, Representatives Ruppersberger and Mfume sent letters requesting reviews at several units in the Baltimore region based on an increase in constituent complaints in the months prior.Congressman Ruppersberger requested reviews at the Dundalk Sparrows Point (Dundalk), Essex, Rosedale, Parkville, Middle River, and Towson (served by Loch Raven) branches. His request specifically mentioned constituents not receiving mail, including paychecks and life-saving prescriptions, for weeks at a time. Congressman Mfume’s request specifically mentioned an increased lack of service, non-delivery of mailpieces, and customer service complaints in ZIP Codes 21213 (Clifton East End Station), 21217 (Druid Station), and 21229 (Carroll Station).Our objective was to evaluate mail delivery and customer service operations on selected routes at the following delivery units in the Baltimore, MD, region: Dundalk, Essex, Rosedale, Parkville, Middle River, Loch Raven, Clifton East End, Druid, and Carroll.

The objectives were to assess the completeness, accuracy, timeliness, and quality of DHS’ fiscal year 2020, fourth quarter (FY 2020/Q4) spending data submitted for publication on USASpending.gov; and DHS’ implementation and use of the government-wide financial data standards.

The objective was to determine the effectiveness of USCIS’ technology systems to provide timely and accurate electronic processing of immigration and naturalization benefit requests while field offices, asylum offices, and application support centers were closed or operating on a reduced workforce during the COVID-19 pandemic.

The objective was to assess the causes and impact of medical vacancies at U.S. Immigration and Customs Enforcement (ICE) detention facilities and determine whether existing medical staffing plans and vacancies at detention facilities hinder ICE detainees’ access to adequate medical care.

EAC OIG, through the independent public accounting firm of Brown & Company, PLLC, audited EAC's compliance with the Federal Information Security Modernization Act of 2014 (FISMA) and related information security policies, procedures, standards, and guidelines for fiscal year 2021.

This Office of Inspector General (OIG) Comprehensive Healthcare Inspection Program report provides a focused evaluation of the quality of care delivered in the inpatient and outpatient settings of the Orlando VA Healthcare System and multiple outpatient clinics in Florida. The inspection covers key clinical and administrative processes that are associated with promoting quality care. This inspection focused on Leadership and Organizational Risks; COVID-19 Pandemic Readiness and Response; Quality, Safety, and Value; Registered Nurse Credentialing; Medication Management: Remdesivir Use in VHA; Mental Health: Emergency Department and Urgent Care Center Suicide Risk Screening and Evaluation; Care Coordination: Inter-facility Transfers; and High-Risk Processes: Management of Disruptive and Violent Behavior.When the team conducted this inspection, the healthcare system’s leaders had worked together for approximately two months, although all but one leader had served in their position for over a year. Two of the five healthcare executive positions were filled in an acting capacity. Employee survey data indicated satisfaction with leaders. Patient experience survey scores for access to urgently needed primary or specialty care appointments were generally lower than VHA national averages.The OIG’s review of the healthcare’s accreditation findings did not identify any substantial organizational risk factors. The OIG identified concerns with identification of sentinel events and completion of institutional disclosures. Executive leaders were knowledgeable within their scope of responsibilities about selected data used in Strategic Analytics for Improvement and Learning models and should continue to take actions to sustain and improve performance.The OIG issued four recommendations for improvement in three areas:(1) Quality, Safety, and Value• Surgical work group meeting attendance(2) Registered Nurse Credentialing• Primary source verification of nursing licenses(3) High-Risk Processes• Disruptive behavior committee meeting attendance• Staff training

We reviewed the FY 2020 fourth quarter financial and award data that USDA submitted for publication on USAspending.gov and any applicable procedures, certifications, documentation, and controls related to this process through FY 2021.

On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act made available $5 billion in supplemental CDBG funding for grants to prevent, prepare for, and respond to the coronavirus pandemic (CDBG-CV grants). Because of similarities, we reviewed 132 CDBG-DR program audits and evaluations issued from May 2002 to March 2020 to summarize the common CDBG-DR program weaknesses and risks for CPD to consider to help its CDBG-CV grantees effectively and efficiently manage their CDBG-CV program operations.We found that grantees had common areas of weaknesses and risks in the administration of their CDBG-DR programs. More than 44 percent of grantees reviewed (32 of 72) did not follow program requirements, resulting in questioned costs totaling more than $1.7 billion. Generally, grantees (1) did not follow general program and administrative requirements, including duplication of benefits requirements, Federal cost principles, and procurement requirements; (2) could not support the eligibility of applicant awards; (3) did not adequately monitor their program; and (4) did not follow grant requirements or did not ensure that subrecipients or contractors followed agreements or requirements. These conditions occurred because the grantees (1) lacked controls or were unfamiliar with the program requirements; (2) had weak policies or did not implement controls; (3) relied on or did not monitor their subrecipients or contractors; and (4) lacked adequate staff or capacity to administer the program.As of September 11, 2020, CPD had awarded the CDBG-CV grant funds to 1,265 formula and joint grantees to respond to the pandemic, and 1,195 grantees, or about 94 percent, lacked experience with CDBG-DR activities. Most CDBG-DR grantees that incurred questioned costs were unfamiliar with the program requirements and did not implement adequate policies and internal controls. The lack of familiarity with program rules, the creation of new programs, and the ability of States to directly administer a program are also likely to be issues for CDBG-CV grantees without disaster experience. To ensure program integrity and timeliness of CDBG-CV activities and to mitigate the risk of financial loss, CPD should Provide grantees with training or other technical assistance to help familiarize them with program requirements.Ensure that grantee coronavirus activities are allowed and are needed to prevent, prepare for, and respond to the coronavirus pandemic.Ensure that grantees without disaster experience become familiar with the program rules and have the capacity to directly administer the coronavirus funding if they choose to directly administer the funds instead of passing the funds through to units of general local government.Ensure that grantees are aware of the requirements to prevent duplication of benefits issues related to other agencies and entities providing coronavirus relief to the same applicants.Ensure that grantees become familiar with Federal procurement requirements, cost principles, and other administrative requirements.

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The Office of the Inspector General included an audit of Tennessee Valley Authority’s (TVA) corporate contributions in our annual audit plan due to the potential reputational risk associated with contributions that do not comply with TVA policies and procedures. Our audit objective was to determine if corporate contributions were made in compliance with TVA’s Standard Programs and Processes (SPP) 36.001, Corporate Contributions (Contributions Policy).We found 41 contributions totaling $296,582 made using miscellaneous vouchers rather than submitted through TVA’s online request and approval system in violation of TVA’s Contributions Policy. We also noted the Contributions Policy and TVA‑SPP‑13.092, Miscellaneous Vouchers, contradict one another. TVA‑SPP‑13.092, Miscellaneous Vouchers, states miscellaneous vouchers may be used for payment of contributions while the Contributions Policy states all contributions made by TVA must be processed through the Community Relations office to confirm consistent adherence to the approval requirements and minimize overlapping of contributions, including sponsorships.We also found control weaknesses including inadequate segregation of duties, inadequate controls for contribution approvals, and a lack of ongoing technical support for the contributions request and approval system. Additionally, in-kind donations are not managed and tracked as outlined in the Contributions Policy.

The United States Capitol Police (USCP) Office of Inspector General (OIG) Strategic Plan for FY 2021-2025 sets forth our mission, vision, and goals for 5 years. OIG plans to provide positive return on U.S. taxpayer investments by asking the following critical questions of work we plan to undertake: Are we addressing the most important matters? Are we adding value, achieving positive change, or significant results? And, are we making USCP programs and operations more efficient and effective?

We evaluated DIA’s management and oversight of the DoD Joint Reserve Intelligence Program, including the Joint Reserve Intelligence Centers. We also evaluated DIA’s internal management and use of reserve military intelligence capabilities, as well as assessed the effectiveness of the Agency to facilitate, coordinate, and oversee the management of Joint Reserve Intelligence Support Elements and reservists on orders. We issued the classified results of our evaluation, along with six recommendations, in a Final Report dated October 29, 2021.

This report was issued in conjunction with the Office of Inspector General for the Railroad Retirement Board's Semiannual Report to the Congress. It was incorporated by reference in the corresponding Semiannual Report which is available at the link below.

We did not substantiate allegations that an oil and gas company manipulated inspections, bypassed safety procedures, and falsified reports.

Audit of the CFTC Customer Protection Fund Financial Statements(Fiscal Year 2021)

This is the audit of the NEA's information technology systems security. Due to security concerns, this report is not published on the internet. You can obtain a copy of this report through a freedom of information act request at the following link: https://www.arts.gov/freedom-information-act-guide.

We reported on allegations of safety violations and mismanagement that pose serious risk of harm to personnel, infrastructure, and the environment.

An Amtrak service/train attendant based in New Orleans was terminated from employment on October 29, 2021, following her administrative hearing. Our investigation found that the former employee violated company policies by failing to report an April 2019 drug-related arrest as required by company policy. During her interview, the former employee acknowledged her arrest and admitted that she failed to report it to the company.

As required by FISMA, OIG reviewed USDA’s ongoing efforts to improve its information technology security program and practices during FY 2021.

Our objective was to determine whether the U.S. Department of Education’s (Department) overall information technology (IT) security programs and practices were effective as they relate to Federal information security requirements.The Department made several improvements in implementing its cybersecurity posture. In FY21 the Department improved in three functional areas and three metric areas from Level 2 Defined to Level 3 Consistently Implemented.However, its overall IT security programs and practices were not effective in all the five security functions. We had findings in four of the nine metric domains, which included findings with the same or similar conditions identified in prior reports, as well as open findings from previous years where the corrective action plan was not completed.Although the Department made considerable progress in strengthening its information security programs, we found areas needing improvement in all nine metric domains.

U.S. Customs and Border Protection (CBP) does not always ensure only low-risk drivers participate in its Free and Secure Trade (FAST) program.

This report was submitted to the Comptroller General in accordance with Section 5 of the Government Accountability Office Act of 2008. The report summarizes the activities of the Office of Inspector General (OIG) for the six-month reporting period ending September 30, 2021. During the reporting period, the OIG issued one audit report and continued two performance audits. In addition, the OIG closed 15 investigations and two self-initiated inquiries, and opened 10 new investigations. The OIG processed 59 hotline complaints, many of which were referred to other OIGs for action because the matters involved were within their jurisdictions. The OIG remained active in the GAO and OIG communities by briefing new GAO employees on its audit and investigative missions, and participating in committees and working groups of the Council of Inspectors General on Integrity and Efficiency, including those related to the Pandemic Response Accountability Committee. Details of these activities and other accomplishments are provided in the report.

October 2021 Semiannual Report to Congress

Semiannual Report

The report summarizes the FTC OIG’s activities and accomplishments during the second half of the FY 2021 reporting period.

To view the report, please click on the link below.

This semiannual report summarizes the OIG's activities and accomplishments for April 1, 2021,through September 30, 2021.The OIG issued one memorandum, one evaluation, and one peer review report during the reportingperiod and resolved 673 investigative inquiries.

Social Security payments may increase annually based on changes to the cost of living. When this happens, the Veterans Benefits Administration (VBA) reduces pensions for veterans and other beneficiaries because they are receiving more income from another source. The OIG received two allegations in 2020 that the automated letters sent to beneficiaries failed to provide proper notification before pensions were reduced or discontinued.The review team found that pensions were not reduced in accordance with policies to include specific information in the notification letters and to consider evidence that the pension should not be reduced.The letters did not include the current and proposed pension amount, but only indicated that the pension would be reduced or terminated. They also did not provide information to help beneficiaries determine what evidence they could submit to show that the pension should not be reduced, as required by VBA procedures.In addition, pensions were reduced without accounting for evidence that the reduction should not be made. This includes evidence that the beneficiaries submitted within 60 days, as well as increases in supplementary medical insurance premiums.The team determined that the monetary impact on each beneficiary was limited. However, inadequate processing of pension reductions could result in improper benefit payments, unnecessary debts, and undue stress for beneficiaries.The OIG recommended that the under secretary for benefits update VBA’s Adjudication Procedures Manual to ensure automated notices align with VA regulations, and amend the automated notices, which require material facts and detailed reasons. The OIG also recommended a review of pension reductions with cost of living adjustments that were automatically completed in fiscal year 2020 to ensure regulations and procedures were followed. This includes consideration of supplementary medical insurance premiums and all evidence submitted by the beneficiary.

Social Security payments may increase annually based on changes to the cost of living. When this happens, the Veterans Benefits Administration (VBA) reduces pensions for veterans and other beneficiaries because they are receiving more income from another source. The OIG received two allegations in 2020 that the automated letters sent to beneficiaries failed to provide proper notification before pensions were reduced or discontinued.The review team found that pensions were not reduced in accordance with policies to include specific information in the notification letters and to consider evidence that the pension should not be reduced.The letters did not include the current and proposed pension amount, but only indicated that the pension would be reduced or terminated. They also did not provide information to help beneficiaries determine what evidence they could submit to show that the pension should not be reduced, as required by VBA procedures.In addition, pensions were reduced without accounting for evidence that the reduction should not be made. This includes evidence that the beneficiaries submitted within 60 days, as well as increases in supplementary medical insurance premiums.The team determined that the monetary impact on each beneficiary was limited. However, inadequate processing of pension reductions could result in improper benefit payments, unnecessary debts, and undue stress for beneficiaries.The OIG recommended that the under secretary for benefits update VBA’s Adjudication Procedures Manual to ensure automated notices align with VA regulations, and amend the automated notices, which require material facts and detailed reasons. The OIG also recommended a review of pension reductions with cost of living adjustments that were automatically completed in fiscal year 2020 to ensure regulations and procedures were followed. This includes consideration of supplementary medical insurance premiums and all evidence submitted by the beneficiary.

The Consolidated Appropriations Act in 2021 and 2020 granted the Small Business Administration (SBA) the authority to accept gifts of up to $4 million. Before SBA can accept a gift, the Office of General Counsel must determine there is no existing conflict of interest. In addition, SBA must put any cash gifts into a separate account. The Office of Inspector General (OIG) is responsible for semiannual audits to determine the adequacy of SBA controls over the solicitation, acceptance, holding, and use of cash contributions and gifts and ensure the agency is appropriately using and accounting for such gifts.The only activity for this review period relates to cash contributions for 2020 National Small Business Week. We found SBA complied with the Consolidated Appropriations Act and SBA regulations and policies regarding soliciting and accepting cash contributions. SBA’s Office of Communications and Public Liaison obtained proper approval from the Office of General Counsel for the 2020 National Small Business Week cosponsored activity. The 10 entities that cosponsored the business week were properly vetted through SBA program offices to ensure no business relationship existed that would cause a conflict of interest. The 10 cosponsoring entities provided cash contributions totaling $360,000.Although SBA adequately complied with applicable laws and SBA regulations and policies for cash contributions for the 2020 National Small Business Week, we noted control deficiencies in the close out of the event. We made two recommendations to ensure all cosponsored activities are closed out in a timely manner in accordance with SBA standard operating procedures.The report also includes one recommendation to ensure the accuracy and reliability of the fiscal agent’s final report.SBA management agreed with our findings and recommendations. Management’s proposed actions to address the recommendations include clarifying language in the National Small Business Week cosponsorship and joinder agreements to emphasize the 90-day close out requirement. Management also assigned staff to perform monthly reconciliations to ensure the fiscal agent reporting is accurate.

The U.S. Department of Agriculture (USDA) Coronavirus Disease 2019 (COVID-19) Funding Dashboard allows stakeholders to explore an overview of the sources and uses of USDA’s COVID-19 funding. This interactive dashboard displays the amounts of USDA COVID-19 funding enacted, budgeted, obligated, and spent, by appropriations act, agency, program area, and use of funds, as identified by USDA’s Office of Budget and Program Analysis and by the Forest Service.

The U.S. Department of Agriculture (USDA) Office of Inspector General’s (OIG) Annual Plan for Fiscal Year 2022 describes how OIG will accomplish its mission of promoting economy, efficiency, effectiveness, and integrity in the delivery of USDA programs throughout the fiscal year (FY).