ML20137Z346
| ML20137Z346 | |
| Person / Time | |
|---|---|
| Issue date: | 03/31/1997 |
| From: | Barchi T NRC OFFICE OF THE INSPECTOR GENERAL (OIG) |
| To: | Diaz N, Dicus G, Shirley Ann Jackson, Mcgaffigan E, Rogers K, The Chairman NRC COMMISSION (OCM) |
| Shared Package | |
| ML20137Z108 | List: |
| References | |
| NUDOCS 9704240096 | |
| Download: ML20137Z346 (2) | |
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.!?.i UNITED STATES j
[ p, NUCLEAR REGULATORY COMMISSION E WASHINGTON, D.C. 20555-0001
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% ..... ! March 31,1997 OFFICE OF THE INSPECTOR GENERAL MEMORANDUM TO: Chairman Jackson Commissioner Rogers Commissioner Dicus Commissioner McGaffigan Commissioner Diaz q.
FROM: H I Inspector Gene al
SUBJECT:
REVIEW OF NRC'S IMPLEMENTATION OF THE FEDERAL MANAGERS' FINANCIAL INTEGRITY ACT FOR FISCAL YEAR 1996 1
The Federal Managers' Financial integrity Act (FMFIA) requires Federal managers to establish a continuous process for evaluating, improving, and reporting on the intemal control and accounting systems for which they are responsible. The FMFIA requires that by December 31 of each year, the head of each executive agency subject to the Act shall submit a report to the President and Congress on the status of management controls and financial systems that protect the integrity of agency programs and administrative activities. As part of an Office of Menagement and Budget (OMB) sponsored pilot program to streamline financial reporting, NRC issues its FMFIA report as part of its annual " Accountability Report" due by March 31.
OMB Circular A-123, Revised " Management Accountability and Control,"is the implementing guidance for FMFIA. The term " internal controls," as envisioned by the FMFIA, is synonymous with
" management controls" and encompasses program and administrative areas, as well as the accounting and financial management areas.
NRC redesigned and streamlined its management control program in accordance with the National Performance Review recommendations and OMB's 1995 revision to OMB Circular A-123. The redesigned program required offices designated as highest risk (with respect to programmatic and administrative activities) to submit management control plans and reasonable assurance letters to NRC's Executive Committee for Management Controls. The Executive Director for Operations (EDO)is the Chairman of the Executive Committee.
9704240096 PDR ORG 970331 %
NRCIC PDR
We found that NRC has complied with the requirements of the FMFIA during Fiscal Year (FY) 1996. Although our work did not identify any material weaknesses in FY 1996, the former EDO identified a concern as a potential material weakness in a memorandum to the Executive Committee on January 2,1997. The concem involves the adequacy of NRC's program to ensure licensees' compliance with their licensing and design bases. Although NRC preliminarily determined that the concern is not a material weakness, NRC is evaluating the need for additional action. We plan to monitor NRC's actions on this issue.
Attachment. As stated cc: L. Callan, EDO J. Blaha, AO/OEDO P. Norry, DEDM/OEDO H. Thompsor,, DEDR/OEDO E. Jordan, DEDO /OEDO A. Galante, ClO J. Funches, CFO J. Cordes, Acting OCAA D. Rathbun, OCA K. Cyr, OGC C. Stoiber, OIP W. Beecher, OPA 1 J. Hoyle, SECY -
E. Halman, ADM D. Ross, AEOD R. Scroggins, OC E E
G. Cranford, IRM G. Caputo, Ol P. Bird, OP h y
D. Morrison, RES T. Taylor, ACMUI g
P. Pomeroy, ACNW E R. Seale, ACRS '
P. Cotter, Jr., ASLBP H. Miller, RI l L. Reyes, Rll l A. Beach, Rlli l J. Dyer, Acting Regional Administrator, RIV l OPA-RI OPA-Ril
, OPA-Rill OPA-RIV OPA-RIV-FO