Although unresolved audit recommendations are growing, they’re mainly the result of deeper examinations, according to DoD’s inspector general.
In DoD’s first financial audit, 46 percent of problematic findings were related to IT, not strictly financial management.
A “disclaimer of opinion” was a foregone conclusion for Pentagon’s first financial audit before it even started. Now the focus turns to what the Defense Department will do with the findings.
Amendment set for Senate debate this week would focus DoD’s attention on fixing weaknesses in “feeder systems” that supply vital financial data.
The Pentagon’s new comptroller says the department will meet it statutory deadline to become “audit ready” by the start of Fiscal 2018. But there’s little chance DoD will pass an audit in its first year.
While the federal government as a whole has made major progress toward getting its books in audit-ready condition over the past two decades, the Defense Department remains the single biggest impediment, the Government Accountability Office said last week in its annual report on the federal government’s financial statements.
The Defense Department has spent the last seven years getting itself ready for its first-ever financial audit. But the congressionally-mandated timeline for DoD to become “audit ready” means a new administration will have taken office before the final test.
For the first time, nearly all of the Defense Department’s budget is under professional audit, the Pentagon told Congress in a report last week, making 2015 a “pivotal year” in getting the entire department’s books in audit-ready condition by the end of fiscal 2017.
The Air Force’s comptroller poured $1 billion into a new enterprise resource planning system with virtually nothing to show for it after seven years. The service is restricting the ERP with details to come in the next few weeks.