DOD Financial Management: The Navy Needs to Improve Internal Control over Its Buildings
Abstract
This engagement was initiated in connection with the statutory requirement for GAO to audit the U.S. government's consolidated financial statements. The 2018 National Defense Authorization Act requires that the Secretary of Defense ensure that a full audit is performed on the financial statements of DOD for each fiscal year and that the results be submitted to Congress no later than March 31 of the following fiscal year. The Navy was the first military department to assert real property audit readiness related to DOD's Financial Improvement and Audit Readiness effort. For this report, GAO's objectives were to (1) determine the extent to which the Navy had internal control deficiencies, if any, that may impair its ability to assert that its buildings, as reported in its financial statements, exist and that the information about these buildings is complete and adequately supported by property records and (2) identify the challenges, if any, that Navy faces in valuing its buildings in accordance with federal accounting standards. GAO reviewed the Navy's policies and procedures for control activities over its buildings, performed data analyses, and tested a nongeneralizable sample of buildings. GAO also discussed with Navy officials the challenges in complying with federal accounting standards for valuing its buildings.
Document Details
- Document Type
- Technical Report
- Publication Date
- May 10, 2018
- Accession Number
- AD1157393
Entities
People
- Dennis Clarke
- Francine Delvecchio
- Jared Minsk
- Jason D Kelly
- Lisa Motley
- Marcia Carlsen
- Maxine Hattery.
- Paul Kinney
- Robert Sharpe
- Sandra Silzer
- Shana Wallace
- William J. Cordrey
Organizations
- United States Government Accountability Office