Section II: Financial Report

Message from the Chief Financial Officer
The message from the Chief Financial Officer provides an overview of audit results, Management’s Responsibility for Internal Control, a description of successful implementation of the Unified Financial Management System, and the Department’s commitment to effective financial management and stewardship.

Office of Inspector General Transmittal
The Office of the Inspector General transmittal provides a summary of the results of the Independent Audit and a description of the evaluation and monitoring of the audit performance process.

Independent Auditor's Reports
The Independent Auditor's Reports describes the findings of Price Waterhouse Coopers, LLP. These reports describe the auditor’s opinion concerning the financial statements and notes; internal controls; and compliance with laws and regulations. This section also includes the Department’s response to the independent auditor’s reports.

Financial Statements and Notes
Consolidated  Financial Statements and accompanying Notes to the Financial Statements are presented for years ended September 30, 2007 and 2006.

Required Supplementary Stewardship Information
Required supplementary stewardship information describes investments in human capital and research and development.

Required Supplementary Information
The required supplementary information section includes the combining statement of budgetary resources; deferred maintenance; stewardship property, plant and equipment; and Social Insurance.

Report Date: November 15, 2007