ML23005A293
| ML23005A293 | |
| Person / Time | |
|---|---|
| Issue date: | 01/05/2023 |
| From: | Virkar H NRC/OIG/AIGA |
| To: | Roscetti C Defense Nuclear Facilities Safety Board, NRC/EDO |
| References | |
| DNFSB-22-A-06 | |
| Download: ML23005A293 (1) | |
Text
MEMORANDUM DATE: January 5, 2023 TO: Christopher Roscetti Acting Executive Director of Operations FROM: Hruta Virkar, CPA /RA/
Assistant Inspector General for Audits
SUBJECT:
STATUS OF RECOMMENDATIONS: AUDIT OF THE DEFENSE NUCLEAR FACILITIES SAFETY BOARD'S FISCAL YEAR 2021 COMPLIANCE WITH IMPROPER PAYMENT LAWS (DNFSB-22-A-06)
REFERENCE:
OFFICE OF THE GENERAL MANAGER, MEMORANDUM DATED OCTOBER 31, 2022 Attached is the Office of the Inspector Generals (OIG) analysis and status of the recommendations as discussed in the agencys response dated October 31, 2022. Based on this response, all recommendations are now closed.
If you have any questions or concerns, please call me at 301.415.1982 or Terri Cooper, Team Leader, at 301.415.5965.
Attachment:
As stated cc: J. Biggins T. Tadlock O. Fawole NRC Headquarters l 11555 Rockville Pike l Rockville, Maryland 20852 l 301.415.5930 www.nrcoig.oversight.gov
Audit Report AUDIT OF THE DEFENSE NUCLEAR FACILITIES SAFETY BOARD'S FISCAL YEAR 2021 COMPLIANCE WITH IMPROPER PAYMENT LAWS Status of Recommendations (DNFSB-22-A-06)
Recommendation 1: Submit annual data call documentation to the OMB, as required by OMB Circular A-136.
Agency Response Dated October 31, 2022: In FY 2021, we coordinated with the Office of Management of Budget to add DNFSB to the FY 2022 Payment Integrity Act Data Call distribution list. DNFSB received communication from OMB when the FY 2022 reporting period opened. DNFSB has successfully completed the data call for FY 2022 and as a result request closure of this recommendation.
OIG Analysis: OIG has reviewed and verified that DNFSB has successfully completed the data call for FY 2022. Based on this response, the recommendation is now closed.
Status: Closed.
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Audit Report AUDIT OF THE DEFENSE NUCLEAR FACILITIES SAFETY BOARD'S FISCAL YEAR 2021 COMPLIANCE WITH IMPROPER PAYMENT LAWS Status of Recommendations (DNFSB-22-A-06)
Recommendation 2: Include the paymentaccuracy.gov link in the annual AFR, as required by Appendix C to OMB Circular A-123.
Agency Response Dated October 31, 2022: DNFSB has included the link to the FY2022 Data Call in the draft AFR, which will be submitted to OMB on November 4, 2022. The final AFR is scheduled to be published on November 30, 2022. See below for applicable content from the draft DNFSB FY2022 AFR. As a result, we request this recommendation be closed.
3.3 Payment Integrity Information Act Reporting The Payment Integrity Information Act (PIIA) of 2019 (Public Law (P.L.) 116-117) requires agencies to periodically review all programs and activities to identify those susceptible to significant improper payments. Each program with annual outlays over $10,000,000 must conduct an improper payment risk assessment at least once every three years to determine whether the program is likely to have improper payments above the statutory threshold. The Board conducted a risk assessment in FY2020 and will conduct its next risk assessment in FY2023. The Board is deemed not susceptible to significant improper payments.
The functional payment areas include traveler reimbursement, commercial vendors for supplies and services, and the payroll electronic funds transfer payments.
Payroll is the only program area with annual outlays over
$10,000,000. The Board does not administer any entitlement, grant, or loan programs.
Every year, each agency Inspector General (IG) reviews relevant improper payments and unknown payment reporting and records pertaining to the programs within an agency to determine whether the agency complies with PIIA and OMB guidance. The OIG conducted an audit in FY2022 to assess DNFSBs FY2021 compliance with the PIIA, and report any material weaknesses in internal control. The OIG determined that for fiscal year FY 2021, the DNFSB was not 3
Audit Report AUDIT OF THE DEFENSE NUCLEAR FACILITIES SAFETY BOARD'S FISCAL YEAR 2021 COMPLIANCE WITH IMPROPER PAYMENT LAWS Status of Recommendations (DNFSB-22-A-06)
Recommendation 2 (continued):
compliant with the PIIA. Specifically, DNFSB did not meet the requirements for publishing and posting the annual financial statement and accompanying materials required under the PIIA and corresponding OMB guidance. However, the OIG did not report any material weaknesses in internal control. The OIG issued three recommendations to address the areas of non-compliance. The Board has implemented all recommendations.
During FY 2022, the National Finance Center (for payroll) and USDA (for all other payments) made total payments of approximately $37.3 million on the Boards behalf. To help ensure accurate payments, the DNFSB finance staff records all voucher payment requests in its Simplicity Financial Tracking System before sending them to USDA for payment.
USDA reports back monthly on all payments that it made.
The finance staff compares the tracking system payments and invoices with the USDA payment reports and notifies USDA of all differences, including improper payments.
For additional details related to the Boards Payment Integrity Information Act Reporting, please visit https://paymentaccuracy.gov/.
OIG Analysis: OIG reviewed and verified that DNFSB included the paymentaccuracy.gov link in the final annual AFR, as required by Appendix C to OMB Circular A-123. Based on this response, the recommendation is now closed.
Status: Closed.
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Audit Report AUDIT OF THE DEFENSE NUCLEAR FACILITIES SAFETY BOARD'S FISCAL YEAR 2021 COMPLIANCE WITH IMPROPER PAYMENT LAWS Status of Recommendations (DNFSB-22-A-06)
Recommendation 3: Develop and implement a process for continuous monitoring of financial statutory requirements.
Agency Response Dated October 31, 2022: DNFSB now has a process in place to ensure continuous monitoring of financial statutory requirements as it relates to compliance with improper payment laws. This includes the newly hired DNFSB Accountant monitoring OMB Circulars A-123, Managements Responsibility for Enterprise Risk Management and Internal Control (including Appendix C, Requirements for Payment Integrity Improvement) and A-136, Financial Reporting Requirements for any changes at least twice per year using the following website.
https://www.whitehouse.gov/omb/information-for-agencies/circulars/#financial As a result, we request this recommendation be closed.
OIG Analysis: OIG has reviewed and verified that DNFSB has developed and implemented a process to ensure continuous monitoring of financial statutory requirements as it relates to compliance with improper payment laws. Based on this response, the recommendation is now closed.
Status: Closed.
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