Report on Quality Control Review of the Deloitte & Touche, LLP and Defense Contract Audit Agency FY 2008 Single Audit of The Aerospace Corporation
Abstract
BACKGROUND. Aerospace is a nonprofit, Federally Funded Research and Development Center, sponsored by the United States Air Force, and headquartered in El Segundo, California. Aerospace also provides technical support to space-related programs managed by other Federal agencies, international organizations, and foreign governments when in the national interest. Aerospace expended $804.4 million in Federal awards for the fiscal year ended September 30, 2008, under one Federal program, the research and development cluster. Of the $804.4 million, $748.3 million was expended for Department of Defense programs. REVIEW RESULTS. DCAA did not comply with Circular A-133 reporting requirements. As a result, DCAA must revise its FY 2008 Circular A-133 report on compliance and internal control to include findings on the fraud disclosed by Aerospace management and a significant deficiency related to internal control over compliance with the cash management requirements. We also identified deficiencies in the performance of fraud risk assessment procedures, information technology internal control testing and working paper documentation that need to be corrected in future audits. The Deloitte & Touche audit of the financial statements and the research and development program cluster generally met auditing standards and Circular A-133 requirements. Aerospace complied with Circular A-133 reporting requirements. However, Aerospace will have to resubmit the FY 2008 Circular A-133 reporting package and data collection form to the Federal Audit Clearinghouse upon receipt of the revised DCAA audit report.
Document Details
- Document Type
- Technical Report
- Publication Date
- Oct 29, 2010
- Accession Number
- ADA546987
Entities
Organizations
- Office of the Inspector General, U.S. Department of Defense