Open Recommendations

Update internal guidance to reflect detailed procedures for (a) the annual reconciliation process, and (b) how decisions are made and documented when determining if and when a targeted review should be performed.

Develop and implement policies and procedures to ensure all federal grant and matching receipts and expenses are properly recorded in its general ledger.

Develop and implement policies and procedures to ensure in-kind donations are properly documented and recorded in its general ledger.

Work with ARC staff to correct and resolve the 2025 ARC grant match deficiency.

We recommend that the Assistant Secretary for Export Enforcement develop policy and guidance that:
a. Defines the methodology for target selection, including reviewing historical information when selecting a shipment for an end-use check and developing and conducting risk assessments to help inform the selection.
b. Requires documentation to support the analysis used to target high-risk shipments for end-use checks.
c. Defines the required process steps that export compliance specialists should perform when executing the end-use check process.
d. Requires that supporting documentation for end-use checks be maintained centrally to support the selection and final rating.
e. Requires that end-use check…

We recommend that the Assistant Secretary for Export Enforcement develop and conduct training for export compliance specialists and supervisors on the documented end-use check process and standard operating procedures.

We recommend that the Assistant Secretary for Export Enforcement, based on recommendation 3, implement a systematic process for targeting end-use checks for shipment transactions, including the establishment of red flags and trend reports.

We recommend that the Assistant Secretary for Export Enforcement establish and implement oversight controls that ensure supervisors are verifying that follow-up actions to hold export violators accountable are completed when closing end-use checks in IMS-R.

We recommend that the Assistant Secretary for Export Enforcement conduct an assessment to determine the appropriate number of high-risk shipments to be selected for end-use checks, ensuring the selection is sufficient to effectively mitigate potential compliance risk.

The Chief Tax Compliance Officer should promote the use of digital approvals on penalty approval documents to enhance record integrity, accountability, and evidentiary reliability.

The Chief Tax Compliance Officer should work with the Commissioners of the SB/SE and LB&I Divisions to review and revise penalty procedures, as needed, to ensure consistency when obtaining and documenting penalty approvals and verifying compliance with I.R.C. § 6751(b) requirements.

The Chief Counsel should formalize procedures in the CCDM for Chief Counsel attorneys to require verification of I.R.C. § 6751(b) compliance in all docketed cases, which may include reviewing electronic document properties and corroborating evidence (e.g., case activity records and emails).

The Commissioners of the Small Business/Self-Employed and Large Business and International Divisions should communicate to compliance employees that it is not appropriate to backdate penalty approvals and penalty approval documents must be dated contemporaneously, remind employees when supervisory approval is required, and provide guidance on how to update signed documents when a change is needed.

IRS Chief Counsel should update the CCDM to ensure that Chief Counsel management will direct a review following a court’s imposition of sanctions against Chief Counsel.

We recommend the Secretary of Labor: Determine whether MSHA violated the Antideficiency Act. If validated: (1) report immediately to the President and Congress all relevant facts and a statement of actions taken and (2) provide a copy of each report to the Comptroller General.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Identify alternate uses for new and renovated spaces or which it expended $9,589,592 so that the funds are put to better use.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Develop a mechanism(s) to track costs and ensure adherence to limitations identified in appropriations language (e.g., “mine rescue and recovery activities”). This should include: (a) establishing a clear and consistent definition of “rescue and recovery activities,” and (b) tracking applicable costs for all MSHA program areas, such as Technical Support and Enforcement.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Develop guidance and training for district personnel on: (1) the use of enforcement activity codes E06, E07, E08, E09, and E33 for mine emergencies, (2) the use of task code “O” on time charges during mine emergency operations, and (3) the minimum elements required in MSHA district Mine Emergency Response Plans and in annual revisions to the plans.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Provide refresher training on: (1) what qualifies as mine rescue and recovery activities” costs, (2) requirements in MSHA’s guidance regarding MSHA district Mine Emergency Response Plans, (3) requirements to complete accident investigation documentation, and (4) when it is appropriate and how to write or modify Section 103(j) and Section 103(k) of the Federal Mine Safety and Health Act of 1977 withdrawal orders, including how to determine which activity code to use to issue withdrawal orders.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Implement system controls to: (1) require completion of the “task code” field in the time reporting system for Enforcement personnel, (2) require accident investigation documentation to be completed before closing a chargeable accident investigation event, and (3) ensure proper activity code use when issuing violations during mine emergencies.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Conduct a trend analysis of repeated challenges encountered in historical after-action reviews and verify corrective actions were implemented to improve future MSHA emergency response efforts.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Update MSHA’s Mine Emergency Operations Standard Operating Procedures to require documentation of after-action reviews incorporating actions of: (1) the Mine Emergency Unit, (2) the Mine Emergency Technology Team, (3) any district personnel supporting the emergency response efforts, and (4) the headquarters’ Emergency Management Team.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Develop or update the process to ensure periodic reviews of MSHA guidance for required updates.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Develop MSHA guidance that sets expectations for: (1) training requirements for MSHA personnel responsible to respond (whether on-site or remotely) during a mine emergency and (2) vehicle and equipment requirements for each MSHA mine rescue station.

We recommend the Assistant Secretary of Labor for Mine Safety and Health: Develop MSHA guidance that sets expectations for MSHA’s: (1) support of mine rescue contests and (2) timely response to contest preparers’ requests. Then, notify the mining industry about these identified expectations.