Management Reporting Under the Inspector General Act Amendments
The Inspector General Act Amendments of 1988 require explanations for
all audit reports with recommendations open for more than one year. DOL
management and audit communities agree that some of these audit resolutions
will require several years to complete the corrective action. As of September
30, 2002, 66 audit reports have been open for over one year. The total value of
open audits of $67.3 million covers 498 separate recommendations.
The table below demonstrates that many of the reportable audits and
recommendations that are over one year old are not under the direct control of
and cannot be closed by the Department. Auditees have certain rights to appeal
audit decisions made by the Office of Inspector General (OIG), including
appeals to an Administrative Law Judge or a Federal Circuit Court of Appeals.
Audits are not considered closed simply because the claim is being appealed and
sent forward for further action. DOL agencies and the OIG jointly manage and
update an audit tracking system where the current status of each open audit is
maintained. Final closure of the audit is determined only by final decisions of
the reviewing officials. Many of these decisions take years before being
rendered and the audit closed.
The most significant of the non-monetary open audit findings are
discussed in this report. A listing of all open audits is available upon
request from the Departments Office of the Chief Financial Officer.
2001 Audit Summary As of 9/30/2002 ($ in
thousands)
Affected accounts in 66 audits with 498
recommendations over one year old |
$67,307 |
Less: |
|
Value of 24 open
recommendations Under administrative law or Federal Court Appeal
|
$18,055 |
Funds put to better
use |
$12,409 |
Amounts referred or in process of referral
to the Department of Treasury |
$2,704 |
Balance of 66 open audits |
$34,139 |
|