Open Recommendations

Rec. B.1.a.1: The DoD OIG recommended that the Assistant Secretary of the Army (Financial Management and Comptroller) perform a review of Presidential Drawdown Authority Execute Orders 38?56 to ensure that the Execute Orders complied with DoD's Presidential Drawdown Authority policies for Operating Materials and Supplies.

Rec. B.1.a.2: The DoD OIG recommended that the Assistant Secretary of the Navy (Financial Management and Comptroller) perform a review of Presidential Drawdown Authority Execute Orders 38?56 to ensure that the Execute Orders complied with DoD's Presidential Drawdown Authority policies for Operating Materials and Supplies.

Rec. B.1.a.3: The DoD OIG recommended that the Assistant Secretary of the Air Force (Financial Management and Comptroller) perform a review of Presidential Drawdown Authority Execute Orders 38?56 to ensure that the Execute Orders complied with DoD's Presidential Drawdown Authority policies for Operating Materials and Supplies.

Rec. B.1.a.4: The DoD OIG recommended that the Assistant Deputy Commandant for Programs and Resources of the Marine Corps perform a review of Presidential Drawdown Authority Execute Orders 38?56 to ensure that the Execute Orders complied with DoD's Presidential Drawdown Authority policies for Operating Materials and Supplies.

Rec. B.1.b: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, require the Military Departments to develop and implement procedures to ensure there are adequate controls over valuing defense articles provided under Presidential Drawdown Authority.

(U) Rec. A.1.a.1: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, strengthen Financial Improvement and Audit Remediation guidance to clarify and define Financial Improvement and Audit Remediation support tasks associated with the Audit Resources Budget Submission. At a minimum, the guidance should define all audit?related tasks required for reporting.

(U) Rec. A.1.a.2: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, strengthen Financial Improvement and Audit Remediation guidance to clarify and define reporting requirements of Financial Improvement and Audit Remediation contracts for classified activities.

(U) Rec. A.1.b: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, develop and implement a process to ensure that the Audit Resources Budget Submissions the DoD Components report are complete and meet the Financial Improvement and Audit Remediation reporting requirements.

(U) Rec. A.1.c: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, develop and implement a process to ensure that audit remediation tasks across the DoD Components are not conflicting.

(U) Rec. A.2.a: The DoD OIG recommended that the Assistant Secretary of the Army (Financial Management and Comptroller) develop and implement a centralized process to monitor Financial Improvement and Audit Remediation efforts across all commands. At a minimum, the process should include performing annual data calls, identifying Financial Improvement and Audit Remediation contracts, and verifying that the information submitted for the Audit Resources Budget Submission is complete and accurate.

(U) Rec. A.2.b: The DoD OIG recommended that the Assistant Secretary of the Navy (Financial Management and Comptroller) develop and implement a centralized process to monitor Financial Improvement and Audit Remediation efforts across all commands. At a minimum, the process should include performing annual data calls, identifying Financial Improvement and Audit Remediation contracts, and verifying that the information submitted for the Audit Resources Budget Submission is complete and accurate.

(U) Rec. B.1.a. The DoD OIG recommended that the Assistant Secretary of the Army (Financial Management and Comptroller) develop and implement a strategy to align their Financial Improvement and Audit Remediation contracts to the annual Secretary of Defense audit priorities and their Component roadmaps to meet audit remediation goals. At a minimum the strategy should include how they plan to use their contractors and an evaluation of current contract requirements to meet the remediation goal of receiving an unmodified audit opinion by December 31, 2028.

(U) Rec. B.1.c: The DoD OIG recommended that the Assistant Secretary of the Air Force (Financial Management and Comptroller) develop and implement a strategy to align their Financial Improvement and Audit Remediation contracts to the annual Secretary of Defense audit priorities and their Component roadmaps to meet audit remediation goals. At a minimum the strategy should include how they plan to use their contractors and an evaluation of current contract requirements to meet the remediation goal of receiving an unmodified audit opinion by December 31, 2028.

(U) Rec. B.2.a: The DoD OIG recommended that the Assistant Secretary of the Army (Financial Management and Comptroller) develop and implement a plan to reduce the use of contractors when transitioning their Component from remediation to sustaining an unmodified audit opinion. At a minimum, the plan should include how they will transfer the contractor's knowledge to their workforce and estimate the level of contractor assistance still needed.

(U) Rec. B.2.b: The DoD OIG recommended that the Assistant Secretary of the Navy (Financial Management and Comptroller) develop and implement a plan to reduce the use of contractors when transitioning their Component from remediation to sustaining an unmodified audit opinion. At a minimum, the plan should include how they will transfer the contractor's knowledge to their workforce and estimate the level of contractor assistance still needed.

(U) Rec. B.2.c: The DoD OIG recommended that the Assistant Secretary of the Air Force (Financial Management and Comptroller) develop and implement a plan to reduce the use of contractors when transitioning their Component from remediation to sustaining an unmodified audit opinion. At a minimum, the plan should include how they will transfer the contractor's knowledge to their workforce and estimate the level of contractor assistance still needed.

(U) Rec. B.3.a: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, develop and implement updated Financial Improvement and Audit Remediation guidance, including a definition of Financial Improvement and Audit Remediation. At a minimum, the guidance should define the allowable processes and tasks that fall under Financial Improvement and Audit Remediation and the use of contractor personnel to help with Financial Improvement and Audit Remediation tasks.

(U) Rec. B.3.b: The DoD OIG recommended that the Under Secretary of Defense (Comptroller)/Chief Financial Officer, DoD, develop and implement performance measures to monitor the Financial Improvement and Audit Remediation contracts for overall effectiveness, including verifying the appropriateness of the tasks and funds spent.

Establish formal policies and procedures addressing financial reporting considerations in WAPA's stand-alone AFR

Implement modifications to BOE to reduce manual intervention in account mapping to the financial statements.

Implement checklists and analytics at the disaggregated financial statement caption level, and the related footnotes, to ensure internal consistency and proper mapping of the trial balance to the financial statements.

Implement formal review and approval controls over the AFR.

Work with WAPA’s Asset Management office to establish a formal, consistent method for measuring, ranking and prioritization, and scheduling of maintenance and repairs WAPA-wide to satisfy the requirements of SFFAS No. 42 and relating required supplementary information disclosures.

Establish policies and procedures to require appropriate segregation of duties relating to all manual journal entries, including those initiated and recorded by WAPA’s budget offices.

We recommend that CPB management require KMOJ-FM to identify the corrective actions and controls it will implement to ensure future compliance with Act and CPB requirements for open financial records.