Open Recommendations

Rec. 1.a.1: The DoD OIG recommended that the Under Secretary of Defense for Acquisition and Sustainment, in coordination with the Program Executive Officer for the F'35 Joint Program Office modify the F'35 air vehicle sustainment contract to include incentive metrics and associated remedies that closely align with or support the performance requirements outlined in the bilateral Performance'Based Arrangement or obtain a waiver for not including the performance requirements from each Military Service.

Rec. 1.a.2: The DoD OIG recommended that the Under Secretary of Defense for Acquisition and Sustainment, in coordination with the Program Executive Officer for the F'35 Joint Program Office modify the F'35 air vehicle sustainment contract to include contract requirements that contain specific metrics and associated remedies, including the development of metrics for action requests, property transfer responses, and resolution timelines.

Rec. 1.a.3: The DoD OIG recommended that the Under Secretary of Defense for Acquisition and Sustainment, in coordination with the Program Executive Officer for the F'35 Joint Program Office modify the F'35 air vehicle sustainment contract to include property clauses the Defense Contract Management Agency considers necessary in future option years.

Rec. 1.b: The DoD OIG recommended that the Under Secretary of Defense for Acquisition and Sustainment, in coordination with the Program Executive Officer for the F'35 Joint Program Office enforce the requirement for Lockheed Martin to provide a completed DD Form 250, Material Inspection and Receiving Report, or its electronic equivalent.

Rec. 2.a: The DoD OIG recommended that the Program Executive Officer for the F'35 Joint Program Office align the contracting officers representative responsibilities to monitor and report impactful evaluation data on Lockheed Martins performance, including the impact of cannibalization of spare parts on aircraft readiness, and update these responsibilities in the Quality Assurance Surveillance Plan.

Rec. 2.b: The DoD OIG recommended that the Program Executive Officer for the F'35 Joint Program Office provide all contracting officers representatives a detailed Performance Work Statement and appropriate access to databases and information required to accomplish effective oversight.

Rec. 2.c: The DoD OIG recommended that the Program Executive Officer for the F'35 Joint Program Office coordinate with the Military Services to complete a workforce study to determine appropriate contracting officers representative requirements and staffing levels for the F'35 air vehicle sustainment contract.

The Chief Information Officer should work with the Treasury Department to ensure that privileged Enterprise Data Platform user accounts are fully integrated with the PUMAS.

The Chief Information Officer should ensure that the responsible unit with the authority to remove Enterprise Data Platform user access is timely notified when appropriate e.g., entitlements are changed or accounts are inactive.

The Chief Information Officer should coordinate with the Treasury Department to resolve the infrastructure issue between IRS and Treasury networks and ensure that systemic processes are incorporated into the platform user account management process once the infrastructure limitations are resolved.

The Chief Information Officer should establish a corrective action plan or an RBD to address the lack of automated provisioning of user accounts.

Revise policies and procedures to track and maintain supporting documentation to ensure expenditures are adequately supported prior to reporting financial information to ARC.

Work with ARC to resolve the questioned costs totaling $44,989 for unsupported ARC funded Contractual and Other cost.

Work with ARC to resolve the questioned costs totaling $15,000 for unsupported non-ARC matching Contractual cost.

Revise policies and procedures for financial reporting to ensure costs incurred under a federal award are tracked within the GL, regularly reconciled against previously reported amounts and the approved budget, and reviewed prior to submission.

Work with ARC to resolve the questioned costs of $3,857 for non-ARC Matching cost share.

Revise policies and procedures to ensure the timely preparation and submission of financial and progress reports in accordance with the Uniform Guidance and ARC grant agreement requirements.

Develop formal subrecipient agreement procedures to ensure that all subrecipient agreements are reviewed for completeness and include all required elements in accordance with 2 CFR 200.332 prior to execution.

Develop standardized subrecipient agreement templates that incorporate all required Uniform Guidance data elements, including Federal award identification, required disclosures, access to records provisions, and subaward closeout requirements.

The Chief, Taxpayer Services, should review procedures and system programming specific to tax compliance to ensure that initial and continuous suitability reviews function as intended.

The Chief, Taxpayer Services, should Identify individuals with either an incomplete or ineligible citizenship
status and ensure that follow-up to verify their status has been completed.

The Chief, Taxpayer Services, should review programming specific to citizenship verification and consider
including this check in continuous suitability reviews.

The Chief, Taxpayer Services, should continue to identify and request that participants who are subject to fingerprinting requirements, and are not under continuous monitoring, submit their fingerprints and are enrolled in the FBI’s Rap Back Service.

The Chief, Taxpayer Services, should establish a systemic method of identifying IRS employees during initial and continuous suitability checks.

Take appropriate actions to monitor the collection of the remaining 11 restitutions identified in our audit and the 3 restitutions from our prior audit, as appropriate.