Open Recommendations

Rec. 1.b: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, develop and implement procedures to monitor future Economy Act transactions to ensure the: 1. Providers are reimbursed for costs incurred. 2. Support agreements are documented. 3. Processes are efficient or economical and in the best interest of the Government.

Rec. 1.c.1: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, coordinate with the Director of the Defense Security Cooperation Agency to return all Building Partner Capacity funds in the Foreign Military Sales Trust Fund to the accounts from which the funds originated.

Rec. 1.c.2: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, coordinate with the Director of the Defense Security Cooperation Agency to develop and implement a policy that requires the Foreign Military Sales Trust Fund be used only for the purposes outlined in sections 2761 and 2762, title 22, United States Code.

Rec. 1.c.3: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, coordinate with the Director of the Defense Security Cooperation Agency to develop and implement policies and procedures requiring that DoD Component purchases for Building Partner Capacity programs be paid for, whether through reimbursement or other means, directly from the accounts to which Congress appropriated the funds.

Rec. 1.d: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, coordinate with the Director of the Defense Security Cooperation Agency to review all applicable criteria for any active Building Partner Capacity programs to determine whether congressional notifications are required when funds are obligated or transferred and, if so, ensure that the congressional notification discloses the use of the Foreign Military Sales Trust Fund until Building Partner Capacity funds are removed from the Foreign Military Sales Trust Fund.

Rec. 1.e.1: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, assess the DoD Agency?Wide financial statements for prior period adjustment and determine materiality for each of the non?Army reporting entities that receive appropriations for Building Partner Capacity programs.

Rec. 1.e.2: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, assess the DoD Agency?Wide financial statements for prior period adjustment and perform an analysis on the status of non?Army Building Partner Capacity appropriated funds in the Foreign Military Sales Trust Fund to quantify the misstatement to the non?Army reporting entities financial statements.

Rec. 1.e.3: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, assess the DoD Agency?Wide financial statements for prior period adjustment and adjust the financial reports for non-Army reporting entities consistent with U.S. Treasury guidance.

Rec. 1.f: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, rescind the policy requiring DoD Components to treat Building Partner Capacity funds transferred to the Foreign Military Sales Trust Fund as non?exchange transactions.

Rec. 1.g: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, coordinate with the Service Secretaries and appropriate DoD Component directors to develop and ensure the implementation of a policy sufficient to ensure that the DoD fully and accurately account for the funds consistent with the intent of Congress for the: 1. Agency Indicators attribute. 2. Periods of Availability attribute. 3. Main Accounts attribute.

Rec. 1.h: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, coordinate with Defense Security Cooperation Agency, Defense Finance and Accounting Service, and Assistant Secretary of the Army (Financial Management and Comptroller) management to develop and implement procedures to provide the status of Afghanistan Security Forces Fund appropriated funds by fiscal year in the Foreign Military Sales Trust Fund and the amount of funds by fiscal year returned to the U.S. Treasury to the Special Inspector General for Afghanistan Reconstruction for its quarterly reports to Congress.

Rec. 2.a: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency perform a comprehensive review of Defense Security Cooperation Agency policies related to Building Partner Capacity programs to identify and remove any mention of the: 1. Foreign Military Sales Trust Fund as an appropriate Treasury account for Building Partner Capacity funds and update the DoD's processes accordingly. 2. Economy Act as the authority for transferring Building Partner Capacity funds to the Foreign Military Sales Trust Fund and update the DoD's processes accordingly.

Rec. 2.b.1: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency coordinate with the DoD Components to immediately reconcile and close all Building Partner Capacity cases with canceled appropriations.

Rec. 2.b.2: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency coordinate with the DoD Components to immediately identify and reconcile obligations for all Afghanistan Security Forces Fund appropriated funds remaining on cases, remove any expired funds on cases that are not obligated, and provide the reconciliations to the Special Inspector General for Afghanistan Reconstruction.

Rec. 2.c: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency return all canceled appropriations in the Foreign Military Sales Trust Fund to the U.S. Treasury.

Rec. 2.d: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency return all expired appropriations not on cases in the Foreign Military Sales Trust Fund to the account from which they were transferred.

Rec. 2.e: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency coordinate with any DoD Components that obligated and disbursed Building Partner Capacity funds to perform a comprehensive review of all cases to identify any obligations of expired funds and any disbursements of canceled funds.

Rec. 2.f: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency coordinate with any DoD Components that violated appropriations law in Recommendation 2.e, to determine whether a potential Antideficiency Act violation occurred that cannot be corrected and, if so, initiate a review in accordance with DoD Regulation 7000.14?R, "DoD Financial Management Regulation," volume 14, chapter 3, to determine whether it is reportable.

Rec. 2.g.1: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency assess the Security Assistance Accounts financial statements for prior period adjustment and determine materiality for the Security Assistance Accounts financial statements.

Rec. 2.g.2: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency assess the Security Assistance Accounts financial statements for prior period adjustment and perform an analysis on the status of Building Partner Capacity appropriated funds in the Foreign Military Sales Trust Fund to quantify the misstatement to the Security Assistance Accounts financial statements.

Rec. 2.g.3: The DoD OIG recommended that the Director of the Defense Security Cooperation Agency assess the Security Assistance Accounts financial statements for prior period adjustment and adjust the financial reports for the Security Assistance Accounts consistent with U.S. Treasury guidance.

Rec. 3.a: The DoD OIG recommended that the Assistant Secretary of the Army (Financial Management and Comptroller) assess the Army General Fund financial statements for prior period adjustment and determine materiality for the Army General Fund financial statements.

Rec. 3.b: The DoD OIG recommended that the Assistant Secretary of the Army (Financial Management and Comptroller) assess the Army General Fund financial statements for prior period adjustment and perform an analysis, in coordination with the Director of the Defense Security Cooperation Agency, on the status of Afghanistan Security Forces Fund appropriated funds and other Army appropriated funds in the Foreign Military Sales Trust Fund to quantify the misstatement to the Army General Fund financial statements.

Rec. 3.c: The DoD OIG recommended that the Assistant Secretary of the Army (Financial Management and Comptroller) assess the Army General Fund financial statements for prior period adjustment and adjust the financial reports for the Army General Fund consistent with U.S. Treasury and Office of Management and Budget guidance.

Capture and analyze the issues identified in whistleblower claims (for instance, by using relevant SAIN/UIL) and confirm whether the issues were substantiated in an examination using Forms 211 and 11369 and other relevant documentation, whether through modifications to e-Trak or through the replacement for e-Trak.