Federal Reports

The OIG investigated conflict of interest allegations against a Bureau of Land Management (BLM) Supervisor. The complaint alleged that the Supervisor favored a family member in official matters involving drilling permits for the family member’s employer, an oil and gas company, and his family’s property.Our investigation showed the allegations were unfounded. We determined that the Supervisor processed Applications for Permits to Drill (APDs) in accordance with policy and without bias. We also found no evidence that the Supervisor influenced official matters involving his family’s property. Finally, we learned that BLM supervisors and department ethics officials were aware of the Supervisor’s familial relationships and approved his continued involvement with the APDs.This is a summary of an investigative report that we provided to the BLM Director.

What We Looked AtThis report presents the results of our quality control review (QCR) of KPMG LLP's management letter related to the audit it conducted, under contract with us, of the Department of Transportation's (DOT) consolidated financial statements for fiscal years 2018 and 2017. In addition to its audit report on DOT's financial statements, KPMG issued a management letter that discusses four internal control matters that it was not required to include in its audit report.What We FoundOur QCR of KPMG's management letter disclosed no instances in which KPMG did not comply, in all material respects, with generally accepted Government auditing standards.RecommendationsKPMG made eight recommendations in its management letter. DOT concurred with all eight recommendations.

What We Looked AtFAA manages air traffic control operations through a complex network of information systems and air traffic control facilities. Cyber-based threats are rapidly evolving and could threaten the connectivity of this complex aviation infrastructure. In 2016, Congress passed the FAA Extension, Safety, and Security Act. Section 2111 of the act establishes requirements for FAA to enhance cybersecurity. The Chairmen and Ranking Members of the House Committee on Transportation and Infrastructure and the Subcommittee on Aviation requested that we assess FAA's progress in addressing section 2111's requirements.What We FoundAs required by section 2111, FAA has completed a cybersecurity strategic plan, coordinated with other Federal agencies to identify cyber vulnerabilities, and developed a cyber threat model and cyber research and development plan. However, the Agency has not completed a comprehensive, strategic policy framework to identify and mitigate cybersecurity risks. For example, the Agency has not established target dates to complete implementation of recommendations from its working group established to recommend cybersecurity rulemaking and policies for aircraft systems. Furthermore, while FAA is applying its cyber threat model across the National Airspace System, mission support, and research and development areas, it has not established target dates for full model implementation. Finally, as outlined in its cybersecurity research and development plan, FAA anticipates increased investments in research areas, but has not completed decisions on its research and development priorities in upcoming fiscal years.RecommendationsFAA concurred with all three of our recommendations and proposed appropriate actions and completion dates.

In Federal fiscal year 2015, the Substance Abuse and Mental Health Services Administration (SAMHSA) provided approximately $1.8 billion to States, territories, and tribes under the Substance Abuse Prevention and Treatment Block Grant (SABG) to plan, implement, and evaluate activities that prevent and treat substance abuse, including opioid treatment services. SAMHSA awarded $111.1 million in SABG funds to New York for the period October 2014 through September 2016.