Financial Management: Internal Controls Over Compiling and Reporting Environmental Liabilities Data
Abstract
Who Should Read This Report and Why? DoD civilians and unifbn%ed officers responsible for envfrorn%ental cost estimating and financial reporting should read this report. It discusses internal controls over compiling and reporting cost%o-complete estimates for envfrorn%ental liabilities included in the Air Force annual financial statements. Background. This audit is required by Public Law 101-576, Chief Financial Officers Act of 1990, as amended by the Federal Financial Management Act of 1994. This report discusses the adequacy of internal controls used to compile and report $7.4 billion of envfrorn%ental liabilities and envfrorn%ental disposal liabilities data on Note 14 of the Air Force FY 2004 Annual Financial Statements. Specifically, we address the adequacy of the control envfrorn%ent and control activities over compiling Defense Fnvfrorn%ental Restoration Program and non-Defense Fnvfrorn%ental Restoration Program data for active installations, and Base Realigrn%ent and Closure data for inactive installations. Fnvfrorn%ental liabilities include estimated amounts for future cleanup of contamination resulting from waste disposal methods, leaks, spills, and other past activities that have created public health or envfrorn%ental risks. Two Components within the Air Force are responsible for calculating and reporting cost-to-complete estimates for envfrorn%ental liability data in Note 14 of the annual financial statements. Headquarters, United States Air Force Office of the Civil Engineer Fnvfrorn%ental Division manages and reports Defense Fnvfrom%ental Restoration Program and non-Defense Fnvfrom%ental Restoration Program cost-to-complete envfrom%ental liability estimates for active installations. The Air Force Real Property Agency manages and reports cost-to-complete envfrom%ental liability estimates for Base Realigm%ent and Closure installations. In perfbn%ance and accountability reports for FYs 2002, 2003, and 2004, DoD identified envfrom%ental liabilities as a s
Document Details
- Document Type
- Technical Report
- Publication Date
- Mar 15, 2006
- Accession Number
- ADA472202