TREASURY DIRECTIVE: 27-12

Date: May 26, 1992

Sunset Review: TBD

Expiration Date: TBD

SUBJECT: Organization and Functions of the Office of Inspector General

1. PURPOSE. This directive describes the organization and functions of the Office of Inspector General (OIG).

2. THE INSPECTOR GENERAL is appointed by the President and reports to the Secretary through the Deputy Secretary. The Inspector General is responsible for ensuring a comprehensive audit and investigative program for the Department, subject to subsection 8C(a) of the Inspector General Act of 1978, as amended, and for performing the following principal functions.

a. Audits and conducts inquiries into the programs and operations of: the Departmental Offices (DO); the Bureau of Alcohol, Tobacco and Firearms (ATF); the Office of the Comptroller of the Currency (OCC); the U.S. Customs Service (Customs); the Bureau of Engraving and Printing (BEP); the Federal Law Enforcement Training Center (FLETC); the Financial Management Service (FMS); the U.S. Mint (Mint); the Bureau of the Public Debt (Public Debt); the U.S. Savings Bonds Division (Savings Bonds); the U.S. Secret Service (Secret Service); and the Office of Thrift Supervision (OTS). The Inspector General has authority to audit any operation, including the Internal Revenue Service (IRS).

b. Investigates allegations of criminal and other misconduct by employees or other persons in connection with the programs and operations of OCC, DO, BEP, FLETC, EMS, Mint, Public Debt, Savings Bonds, and OTS; investigates or oversees other case matters, as appropriate, throughout the Department; and coordinates cases with the Office of the Chief Inspector at the IRS and the Offices of Internal Affairs and Inspection at ATF, Customs and Secret Service, when necessary.

c. Exercises oversight responsibility for the activities of the Office of the Chief Inspector at the IRS and the Offices of Internal Affairs and Inspection at ATF, Customs, and Secret Service.

d. Represents the Department on the President's Council on Integrity and Efficiency (PCIE).

e. Handles referrals from the Office of Special Counsel.

f. Promotes integrity awareness among employees in conjunction with the Designated Agency Ethics Official.

g. Coordinates and recommends policies designed to promote economy, efficiency and integrity in the administration of Departmental and bureau programs and activities.

h. Advises and assists management in preventing and detecting fraud, waste, and abuse in Departmental programs and operations.

i. Acts as the Inspector General to the Thrift Depositor Protection Oversight Board.

3. ORGANIZATION STRUCTURE. The OIG is organizationally placed within DO but is independent of DO and all other offices and bureaus within the Department. Under the supervision of the Inspector General and Deputy Inspector General are four Assistant Inspectors General (AIGs) for: Audit; Investigations; Oversight and Quality Assurance; and Policy, Planning, and Resources. (See Attachment 1)

4. THE DEPUTY INSPECTOR GENERAL assists the Inspector General in conducting, supervising and coordinating audits, investigations, inquiries, and the administrative and support services necessary to accomplish the OIG mission. The Deputy Inspector General acts for the Inspector General when the Inspector General is absent and also works closely with the AIGs to:

a. establish priorities;

b. provide direction or guidance on projects of special significance; and

c. coordinate personnel assignments to projects involving staffs of two or more of the AIGs.

5. THE COUNSEL TO THE INSPECTOR GENERAL. As provided in Treasury Order (TO) 107-04, "The General Counsel," dated July 25, 1989, or any successor Order, the Counsel to the Inspector General, an official of the Department's Legal Division and under the supervision of the General Counsel, provides all administrative legal services within the OIG.

6. THE ASSISTANT INSPECTOR GENERAL FOR AUDIT (AIGA) is responsible for the following functions.

a. Manages OIG audit activities, including multi-bureau audits.

b. Coordinates and participates with the Assistant Inspector General for Investigations and the Assistant Inspector General for Oversight and Quality Assurance on efforts requiring joint audit and investigative activities.

c. Supervises the Deputy Assistant Inspector General for Audit (Audit Operations) and the Deputy Assistant Inspector General for Audit (Audit Program Services).

(1) The Deputy Assistant Inspector General for Audit (Audit Operations) (DAIG-AO) has Treasury wide audit responsibilities, which include all Departmental and bureau program areas, and is responsible for the following functions.

(a) Manages, directs and coordinates the execution of all audits throughout the OIG regional network.

(b) Assists the AIGA with planning and developing audit policies, program goals and objectives.

(c) Provides oversight to the Regional Inspectors General for Audit with regional, multi-region, and nationwide audits. (See OIG field structure at Attachment 2)

(2) The Deputy Assistant Inspector General for Audit (Audit Program Services) (DAIGA-APS) is responsible for the following functions.

(a) Develops tactical, strategic, and annual audit plans.

(b) Develops proposals for audit work to be conducted by the OIG.

(c) Provides technical program information in support of audit execution.

(d) Maintains liaison with principal Departmental managers and outside audit organizations.

(e) Assists the AIGA in planning and developing audit policies, program goals and objectives carried out through Audit Program Directors who report to the DAIGA-APS and are responsible for:

1. providing all technical support, research, planning and liaison duties within their assigned functional areas of responsibility;

2. conducting long-range and/or issue area planning;

3. performing research to identify audit issue areas/program needs and specific audits to meet those needs;

4. monitoring audit progress and implementation of corrective actions;

5. preparing Office of Management and Budget/ congressional testimony;

6. conducting liaison activities with external organizations; and

7. supporting audit operations by developing and sharing functional expertise.

(3) The Director of Audit Program Analysis is responsible for the following functions.

(a) Analyzes and recommends improvements in the policy, procedures, functions, organization, and operations of the Office of Audit (OA).

(b) Monitors the OA planning processes and recommends changes to meet OA objectives.

(c) Maintains and operates OA's Management Accountability System and issues periodic reports.

(d) Coordinates the development of the OA annual budget, develops and issues quarterly budget allocations within the OA, monitors budgetary expenditures, and recommends appropriate management actions.

(e) Responds to recurring and ad hoc data calls as assigned.

7. THE ASSISTANT INSPECTOR GENERAL FOR INVESTIGATIONS (AIGI) is responsible for the following functions.

a. Investigates allegations of criminal violations of Federal statutes and violations of other laws and regulations as set forth in TO 114-01.

b. Conducts liaison activities with law enforcement bureau internal affairs and inspection offices.

c. Promotes integrity awareness among employees in coordination with the Designated Agency Ethics Official.

d. Coordinates and participates with the AIGA and the Assistant Inspector General for Oversight and Quality Assurance on efforts requiring joint audit and investigative activities.

e. Supervises the Deputy Assistant Inspector General for Investigations and the Regional Inspectors General for Investigations.

(1) The Deputy Assistant Inspector General for Investigations manages the investigative activities performed by the DIG and is responsible for liaison activities with law enforcement bureau internal affairs and inspection offices on investigative matters.

(2) The Regional Inspectors General for Investigations are responsible for managing, directing and coordinating investigative activities within their assigned geographic regions.

8. THE ASSISTANT INSPECTOR GENERAL FOR OVERSIGHT AND QUALITY ASSURANCE (AIGO) is responsible for the following functions.

a. Provides oversight to internal investigations performed by ATF, Customs, Secret Service, and for the internal audits and internal investigations performed by the Chief Inspector, IRS.

b. Directs a quality assurance program to ensure that internal GIG audit, investigative, administrative, and management programs are carried out in an efficient and effective matter.

c. Directs studies and/or projects of special interest or which cut across organizational or functional lines.

d. Coordinates and participates with the AIGA and AIGI on those efforts requiring joint audit and investigative activities.

e. Supervises the following organizations: Oversight; Quality Assurance; and Special Projects.

(1) The Director of Oversight is responsible for the following functions.

(a) Establishes and directs oversight programs of the internal audit and investigative programs of IRS.

(b) Provides oversight for the internal affairs or inspection operations of ATF, Customs, and Secret Service.

(c) Provides continual feedback on the individual internal affairs and inspection programs regarding their response to the workload and threat assessment associated with each law enforcement environment.

(2) The Director of Quality Assurance is responsible for the following functions.

(a) Manages the quality assurance program through which evaluations are made of the audit, investigative and management functions of the OIG.

(b) Recommends changes in OIG audit and investigative, administrative and management policies and procedures as a result of quality assurance reviews and activities.

(3) The Director of Special Projects is responsible for responding to issues of special interest, concern and/or immediacy, by conducting reviews, studies and analysis involving Treasury or its bureaus.

9. THE ASSISTANT INSPECTOR GENERAL FOR POLICY. PLANNING AND RESOURCES (AIG-PPR) is responsible for the following functions.

a. Coordinates policy, planning, and resource activities including personnel, budget, training, facilities management and ADP services.

b. Develops and maintains OIG policies and procedures.

c. Coordinates OIG planning efforts, congressional and PCIE liaison activities.

d. Prepares semiannual and other accomplishment reports.

e. Responds to PCIE and other data calls.

f. Operates the OIG Hotline.

g. Coordinates the OIG's legislative and regulatory review activities.

h. Supervises the following organizations: Policy, Planning, and Programs; Management Resources; and ADP Support Programs and Technology.

(1) The Director of Policy. Planning. and Programs is responsible for the following functions.

(a) Initiates and maintains OIG policies and procedures and coordinates OIG planning efforts.

(b) Compiles the semiannual report for the Secretary and the Congress and other OIG accomplishment reports; and serves as Treasury's PCIE liaison.

(c) Coordinates PCIE and other data requests and provides technical assistance to Departmental managers of Treasury audit follow-up, Federal Managers' Financial Integrity Act, and information systems risk management programs.

(d) Operates the OIG Hotline.

(e) Coordinates legislative and regulatory review activities within the OIG.

(2) The Director of Management Resources is responsible for the following functions.

(a) Supervises the management and administrative programs and functions of the OIG, such as the formulation, presentation and execution of an OIG budget, the personnel management and training programs, the Freedom of Information Act and Privacy Act activities.

(b) Develops OIG policy and procedures for administrative services, including space, property, travel, procurement, printing and graphics, accounting, and all other miscellaneous services.

(3) The Director of ADP Support Programs and Technology is responsible for the following functions.

(a) Provides technical assistance in accomplishing audits and investigations of automated systems.

(b) Implements and maintains all OIG automated information systems, including the OIG Management Information System.

(c) Evaluates, acquires, develops and maintains software and hardware systems to support the mission of the OIG.

(d) Represents the OIG for ADP technical matters.

(e) Develops long-range OIG information systems plans, strategies, and budget requirements.

(f) Provides advice to the Inspector General on establishing OIG information systems and information resource management policy and procedures.

10. AUTHORITY. 5 U.S.C. App. 3, Inspector General Act of 1978, as amended.

11. REFERENCES.

a. TO 114-01, "Office of Inspector General," dated May 16, 1989.

b. Treasury Directive 40-01, "Responsibilities of and to the Inspector General," dated December 17, 1986.

c. TO 107-04, "The General Counsel," dated July 25, 1989.

12. OFFICE OF PRIMARY INTEREST. Office of Inspector General.

Donald E. Kirkendall

Inspector General

Attachments

Attachment 1.  Office of Inspector General - Organization Chart (5/26/92)

Attachment 2.   Office of Inspector General - Field Structure Chart (5/26/92)