NASA's FIA Program: NASA's Progress in Implementing Financial Integrity Act Requirements
NSIAD-86-3
Published: Nov 19, 1985. Publicly Released: Nov 19, 1985.
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Highlights
GAO reviewed the National Aeronautics and Space Administration's (NASA) continuing implementation of the Federal Managers' Financial Integrity Act (FMFIA).
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| National Aeronautics and Space Administration | The Administrator, NASA, should not report that systems of internal control, taken as a whole, meet the requirements of the act until the Administrator is ensured that the FMFIA program provides an adequate basis to make such a determination. |
The NASA FMFIA program is in accordance with new Office of Management and Budget (OMB) guidelines and provides an adequate basis for stating that its internal control systems met FMFIA requirements.
|
| National Aeronautics and Space Administration | The Administrator, NASA, should direct the Associate Administrator for Management to ensure that NASA centers are reporting all important internal control weaknesses to the Internal Control Working Group. |
NASA reported 11 material control weaknesses in 1986 and has taken well documented action to address hundreds of specific recommendations contained in the Rogers Commission Report. While these major organization and procedural changes are being implemented, GAO will defer this specific recommendation.
|
| National Aeronautics and Space Administration | The Administrator, NASA, should direct the Associate Administrator for Management to ensure that NASA managers are provided sufficient guidance to allow them to comprehensively evaluate automatic data processing (ADP) internal controls. |
NASA has taken action to comply with OMB Circular A-130 and has recognized a material weakness in its computer controls. Corrective actions are planned, including cyclical risk assessments, which should address GAO primary concerns.
|
| National Aeronautics and Space Administration | The Administrator, NASA, should limit the accounting systems conformance statement to only those systems which have been evaluated and properly tested in operation during the NASA 2-year accounting system evaluation cycle. |
NASA conducted detailed evaluations at 4 of 9 locations during 1986, including testing transactions, and plans to review all systems at least once every 2 years. Despite reporting all of the 17 systems in conformance, NASA is developing a new agencywide personnel payroll system to replace 13 operating systems. The system is planned to be in operation by September 1988.
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| National Aeronautics and Space Administration | The Administrator, NASA, should direct the Comptroller to ensure that transaction tests are performed on all critical aspects of accounting systems in operation, including ADP controls. |
NASA reported that detailed evaluations have included tests of transactions and that the reviews are in accordance with the new OMB Circular A-127. NASA plans to review all of its systems every 2 years.
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Topics
Accounting systemsInternal controlsMaterialityProgram evaluationReporting requirementsFinancial managementProcurementElectronic data processingPayroll recordsReal property