Semiannual Report to Congress

April 1, 2017 – September 30, 2017

November 2017

Federal Election Commission - Office of Inspector General

999 E Street, N.W. Suite 940, Washington, D.C. 20463
MANAGEMENT REPORT ON

INSPECTOR GENERAL ISSUED REPORTS

WITH QUESTIONED COSTS 

FOR THE SIX-MONTH PERIOD ENDING SEPTEMBER 30, 2017

Number of Questioned Unsupported

 Reports Costs Costs

A. Reports for which no management decision

has been made by commencement of the

reporting period 0 0 [0]

B. Reports issued during the reporting period 0 0 [0]

Subtotals (A + B) 0 0 [0]

C. Reports for which a management decision

was made during the reporting period 0 0 [0]

(i) Dollar value of disallowed costs 0 0 [0]

(ii) Dollar value of costs not disallowed 0 0 [0]

D. Reports for which no management decision has

been made by the end of the reporting period 0 0 [0]

E. Reports for which no management decision

was made within six months of issuance 0 0 [0]
MANAGEMENT REPORT ON

INSPECTOR GENERAL ISSUED REPORTS WITH

RECOMMENDATIONS TO PUT FUNDS TO BETTER USE FOR 

THE SIX-MONTH PERIOD ENDING SEPTEMBER 30, 2017

Number of Funds to be Put

 Reports To Better Use

A. Reports for which no management decision

has been made by the commencement

of the reporting period 0 0

B. Reports issued during the reporting period 0 0

C. Reports for which a management decision

was made during the reporting period 0 0

(i) Dollar value of recommendations that were

agreed to by management 0 0

- Based on proposed management action 0 0

- Based on proposed legislative action 0 0

(ii) Dollar value of recommendations that were

not agreed to by management 0 0

D. Reports for which no management decision

has been made by the end of the reporting period 0 0

E. Reports for which no management decision

was made within six months of issuance 0 0

vii

April 1, 2013 - September 30, 2013

vii

April 1, 2017 – September 30, 2017

Executive Summary 1

OIG Audit Activity 3

OIG Audit Follow-up Activity 5

OIG Special Review Activity 6

OIG Hotline Information 7

OIG Investigative Information 8

Additional OIG Activity 9

Council of the Inspectors General on Integrity and Efficiency (CIGIE) Activity 10

OIG Contacts 11

List of Training, Meetings and Conferences Attended by OIG Staff 12

Reporting Requirements 14

Table I – Questioned Cost 16

Table II – Funds Put To Better Use 17

Table III – Summary Of Audit And Inspection Reports With 18

Corrective Actions Outstanding For More Than Six Months

Table IV – Summary Of Investigative Reports 19

Appendix A – Peer Review Results 20

Appendix B – Review of Outstanding Recommendations as of August 2017 21

Appendix C – The Federal Election Commission 33

 Office of Inspector General

Table of Contents
1

April 1, 2013 - September 30, 2013

1

April 1, 2017 – September 30, 2017

Executive Summary

of Findings and Recommendation to management 

for each (see page 3 for additional information). Audit 

of Contract Management and Oversight – Originated 

during a previous reporting period. The OIG selected the audit testing sample and retrieved all contract 

files for the selected audit samples. Due to the OIG’s 

workload in meeting several mandated IG reporting 

requirements, only the limited activity described has 

been conducted on the audit during this reporting period (see page 3 for additional information).

Audit of the FEC’s Compliance under the Digital 

Accountability andTransparency Act of 2014 (DATA 

Act) – Commenced during this reporting period. The 

primary purpose of this audit is to satisfy the OIG’s 

responsibilities under the DATA Act by assessing the: 

(1) completeness, timeliness, quality, and accuracy

of financial and payment data submitted for publication on USASpending.gov; and (2) the FEC’s implementation and use of Government-wide financial data

standards established by the Office of Management

and Budget (OMB) and the Department of Treasury

(The Treasury). This engagement is being conducted

as a performance audit in accordance with Generally

Accepted Government Auditing Standards, and the

Inspectors General Guide to Compliance under the

DATA Act.

The scope of this audit, which was mandated by the

DATA Act, is the FEC’s fiscal year 2017 second quarter financial and payment data submitted for publication on USASpending.gov. The OIG held the entrance conference on June 14, 2017. As of September 

30, 2017, the engagement team has conducted audit 

planning, internal controls testing, and is in the process of completing detailed testing of financial transactions submitted to the Treasury DATA Broker (see 

page 3 for additional information).

OIG’s Review of Outstanding Recommendations 

as of August 2017 – On a semiannual basis, the OIG 

The Inspector General Act of 1978, as amended (IG 

Act), states that the Inspector General (IG) is responsible for: conducting audits and investigations; recommending policies and procedures that promote 

economy, efficiency, and effectiveness of agency resources and programs; and preventing fraud, waste, 

abuse, and mismanagement. The IG Act also requires 

the IG to keep the Federal Election Commission 

(Commission or FEC) and Congress fully and currently informed about problems and deficiencies in 

the Commission’s operations and the need for corrective action.

This Semiannual Report (SAR) includes the major accomplishments of the FEC Office of Inspector 

General (OIG), as well as relevant information regarding additional OIG activities. The executive summary highlights the most significant completed activities of the OIG. The Inspector General Empowerment 

Act, which became law in December 2016, added 

additional reporting requirements to the SAR; those 

changes are incorporated herein. Additional details 

pertaining to each activity (e.g., audits, hotline, and 

investigations) can be found in subsequent sections 

of this report. The honesty, integrity, and diligent work 

of our entire IG staff make the accomplishments of 

the OIG possible.

Audit of the FEC’s Fiscal Year (FY) 2017 Financial 

Statements – Leon Snead & Co. (LSC) conducted 

the entrance conference for the FEC’s 2017 Financial 

Statement Audit on April 18, 2017. LSC has conducted audit planning, internal controls testing, and followed up on the progress and status of prior year audit recommendations.

As in prior years, the OIG conducted bi-weekly status 

meetings with LSC and management. LSC conducted the required Governance meetings with the Chair 

and Vice Chair. At the conclusion of interim testing, 

LSC identified six audit issues and provided a Notice 
2

Office of Inspector General Semiannual Report to Congress

2

Office of Inspector General Semiannual Report to Congress

provides the Commission with a report of outstanding 

recommendations that contains details of the followup work conducted by the OIG. We reviewed 7 audits 

and inspections that contained a combined total of 

59 outstanding recommendations. The OIG was able 

to close 3 recommendations included in the Audit of 

the FEC’s Office of Human Resources and 1 recommendation from the Inspection of the FEC’s Disaster 

Recovery Plan and Continuity of Operations Plans, 

for a total of 4 recommendations closed for this review period; 55 outstanding recommendations remain open as of August 2017. In addition to the details 

regarding the outstanding recommendations, the report also identified concerns of the OIG that we believe significantly impact the agency’s overall control 

environment and require immediate attention from 

Governance (see page 5 for additional information).
3

April 1, 2013 - September 30, 2013

3

April 1, 2017 – September 30, 2017

Audit of the FEC’s FY 2017 Financial Statements

Assignment Number: OIG-17-01

Status: In Progress

Leon Snead & Co. conducted the entrance conference for the FEC’s 2017 Financial Statement Audit on 

April 18, 2017, and the start of fieldwork commenced 

shortly after. For the interim audit phase, LSC has 

conducted audit planning, internal controls testing, 

and followed up on the progress and status of prior 

year audit recommendations.

In connection with LSC’s audit follow-up work, the 

OIG requested that the Office of General Counsel 

(OGC) consider management’s decision to implement the OIG’s prior recommendation to officially adopt the National Institute of Standards and 

Technology (NIST) information technology (IT) security controls and other applicable IT security best 

practices during their required assessment of IT security laws and regulations applicable to the agency. 

In addition, LSC reviewed the status of the Office of 

the Chief Information Officer’s (OCIO) contract with 

SeNet International to assist the OCIO with implementing the applicable NIST IT security controls.

As in prior years, the OIG conducted bi-weekly status 

meetings with LSC and management to discuss audit 

issues, upcoming deliverables, and any outstanding 

audit requests. Also during interim testing, LSC conducted the required Governance meetings with the 

Chair and Vice Chair to provide a status update of 

the audit and address any potential concerns from 

Governance in relation to the audit.

At the conclusion of interim testing, LSC identified six 

audit issues and provided a Notice of Findings and 

Recommendation to management for each. The OIG 

reviewed all deliverables and significant work papers 

for the interim phase of the audit and final audit testing is scheduled to start in October.

Audit of Contract Management and Oversight

Assignment Number: OIG-16-02

Status: In Progress

During this semiannual reporting period, the OIG 

obtained the required system information from management listing all agency contracts. The OIG selected the audit testing sample and retrieved all 

contract files for the selected audit sample from 

the Procurement Office. Due to the OIG’s workload 

in meeting several mandated IG reporting requirements, only limited activity has been conducted on 

this audit during this reporting period. The OIG anticipates more progress on the audit at the conclusion of the agency’s annual financial statement audit.

Audit of the FEC’s Compliance under the Digital 

Accountability and Transparency Act of 2014 

Assignment Number: OIG-17-05

Status: In Progress

The Audit of FEC’s Compliance under the DATA Act 1

commenced during this reporting period. The primary purpose of this audit is to satisfy the OIG’s responsibilities under the DATA Act by assessing the: 

(1) completeness, timeliness, quality, and accuracy

of financial and payment data submitted for publication on USASpending.gov; and (2) the FEC’s implementation and use of Government-wide financial data standards established by the OMB and the

Treasury. This engagement is being conducted as

1 The DATA Act requires the establishment of government-wide 

standards for information on spending by Federal agencies, and 

all agencies must begin reporting spending data in compliance 

with the DATA Act. According to OMB’s Management Procedures 

Memorandum No. 2016-03, data reported by Federal agencies in 

fiscal year 2017 second quarter will be displayed on USAspending.gov by May 2017.

OIG Audit Activity
4

Office of Inspector General Semiannual Report to Congress

4

a performance audit in accordance with Generally 

Accepted Government Auditing Standards, and the 

Inspectors General Guide to Compliance under the

DATA Act, which was updated and released in July 

2017.

The scope of this audit, which is mandated by the

DATA Act, is the FEC’s fiscal year 2017 second quarter financial and payment data submitted for publication on USASpending.gov. It includes any applicable 

procedures, certifications, documentation, and controls to achieve this process.

The main objectives are as follows:

• Assess the FEC’s internal controls in place

over the financial and payment data reported to

USASpending.gov per OMB Circular A-123;

• Assess the FEC’s internal controls in place

over data management, collection, reporting,

and processes used to report financial and

payment data under the DATA Act;

• Assess the general and application controls

pertaining to the procurement and financial

systems from which the data elements were

derived and linked; and

• Perform testing of fiscal year 2017 second

quarter financial and payment data submitted

by the FEC for publication on USASpending.

gov.

To help accomplish the objectives of this performance 

audit, the OIG has leveraged the work performed by 

the FEC OIG during the FEC’s DATA Act Readiness 

Review and obtained assistance from LSC, the independent public accounting firm that performs our 

financial statement audit. A contract modification to 

the FEC’s FY 2017 financial statement audit was 

awarded to LSC to expand, where necessary, interim 

work and testing around internal controls applicable 

to implementing the requirements of the DATA Act.

The OIG held the entrance conference on June 14, 

2017. As of September 30, 2017, the engagement 

team has conducted audit planning, internal controls testing, and is in the process of completing detailed testing of financial transactions submitted to 

the Treasury DATA Broker. Preliminary findings have 

been communicated to Management and the OIG is 

waiting for follow-up by Management in order to finalize some of the audit findings and recommendations. 

The OIG’s goal is to meet the reporting deadline requirement which is November 8, 2017. As such, we 

expect to publish audit results during the next reporting period.
5

April 1, 2013 - September 30, 2013

5

April 1, 2017 – September 30, 2017

OIG Audit Follow-up Activity

Office of Inspector General’s Review of Outstanding 

Recommendations as of August 2017

Assignment Number: OIG-17-07

Status: Released September 2017

Report Location:

https://transition.fec.gov/fecig/documents/

OIGReviewofOutstandingRecommendationsasofAugust2017.pdf

The OIG provides the Commission with a semiannual report of outstanding recommendations 

that contains details of the follow-up work conducted by the OIG and the status of the outstanding OIG audit and inspection recommendations. 

For this reporting period, we reviewed the following 7 audits and inspections that contained a combined total of 59 outstanding recommendations:

• Audit of the Commission’s Property

Management Controls;

• 2010 Follow-up Audit of Privacy and Data

Protection;

• 2010 Follow-up Audit of Procurement and

Contract Management;

• Inspection of the FEC’s Disaster Recovery

Plan and Continuity of Operations Plans;

• Audit of the FEC’s Office of Human Resources;

• Inspection of the FEC’s Compliance with

FMFIA/OMB A-123; and

• Audit of the FEC Telework Programs.

The OIG’s review determined that management had 

made no significant progress to close any of the outstanding recommendations for five of the seven audits and inspections. The OIG was able to close three 

recommendations that were included in the Audit 

of the FEC’s Office of Human Resources, and one 

recommendation from the Inspection of the FEC’s 

Disaster Recovery Plan and Continuity of Operations 

Plans, closing a total of four recommendations for this 

review period, leaving 55 outstanding recommendations open as of August 2017. 

In addition to the details regarding the outstanding 

recommendations, the report also identified concerns of the OIG that we believe significantly impact 

the agency’s overall control environment and require 

immediate attention from Governance. Specifically, 

these areas of concern were related to the high risks 

impacting the agency’s mission, information technology assets, and procurement functions.

The OIG’s transmittal letter to the Commission for 

this report included a request to the Commission to 

thoroughly review and consider addressing these areas of concern to reduce potential risks to the agency. The OIG has not received any response from 

Governance regarding this OIG request or report. 
6

Office of Inspector General Semiannual Report to Congress

6

The Council of Inspectors General on Integrity 

and Efficiency (CIGIE) Purchase Card Project

Assignment Number: OIG-17-04

Status: In Progress

The CIGIE Information Technology (IT) Committee’s 

mission is to facilitate effective IT audits, evaluations, 

and investigations by OIGs, and to provide a vehicle to express the OIG community’s perspective on 

Government-wide IT operations. Under its operating 

principles, this committee strives to promote participation by the IG community members in its activities; encourage communication and cooperation with 

colleagues in the IT field (including Federal Chief 

Information Officers and staff, and IT security professionals); and promote effective teamwork in addressing Government-wide initiatives, improve Federal 

Government IT activities, and safeguard national IT 

assets and infrastructure.

The OIG volunteered to participate in this CIGIE 

IT Committee’s Government-wide purchase card 

(P-Card) project initiated during the prior reporting 

period. The main objective of this project is to analyze P-Card data to determine risks associated with 

purchase card transactions.

The OIG has reviewed the P-Card process and completed testing of FEC’s P-Card transactions using the 

standard algorithms and applicable methodologies 

established by the CIGIE IT Committee P-Card team. 

The FEC OIG is in the process of compiling, certifying, and submitting its results to the U.S. Department 

of Agriculture OIG, which has agreed to compile 

the results and publish a consolidated report for the 

CIGIE IT Committee. The FEC OIG is also planning 

to issue a Management Letter to formally communicate the results of this review to FEC Management. 

We expect the consolidated report and Management 

Letter to be issued during the next reporting cycle.

OIG Special Review activity
7

April 1, 2013 - September 30, 2013

7

April 1, 2017 – September 30, 2017

The OIG Hotline exists to enable FEC employees, 

FEC contractors, and the public to have direct and 

confidential contact with the OIG. All allegations and 

referrals of fraud, waste, abuse, mismanagement, 

and misconduct involving FEC employees, contractors, programs, operations, property, or funds received through any means are termed “hotline complaints” per OIG policy. Once a hotline complaint has 

been received, a preliminary inquiry is conducted to 

determine whether the hotline complaint will have an 

investigation initiated, referred to management or another agency, or closed with no further action taken.

The OIG considers many factors when evaluating 

whether to open an investigation based on a hotline 

complaint, and acknowledges that every hotline complaint received by the OIG will not be investigated, 

and in many cases a complaint does not merit an 

investigation. OIG policy requires that hotline complaints be evaluated on certain criteria, including the 

merits of an allegation, the availability of evidence, 

and the existing priorities, commitments, and resources of the OIG. Under this policy, hotline complaints are classified as either high or low priority 

complaints. High priority complaints are investigated 

and low priority complaints are either closed with no 

action or referred to the appropriate FEC official for 

possible further review. Often, a hotline complaint will 

be closed because a preliminary inquiry found the 

allegations to be unsubstantiated, there is a lack of 

information to proceed, or the issue giving rise to the 

allegation has been otherwise resolved. Hotline evaluation decisions are made by the Chief Investigator, 

with concurrence from the IG.

The OIG frequently receives reports and allegations 

which are misdirected complaints that should have 

been routed to the Office of Complaints and Legal 

Administration within the Office of General Counsel, 

are outside the jurisdiction of the OIG or the FEC, or 

are facially unsubstantiated, meritless or invalid. In 

cases of misdirected complaints, a response is sent to 

the individual referring him or her to the proper office 

or other agency. In some limited instances where a 

misdirected communication does not concern a campaign finance violation but falls under the purview of 

another FEC component or government agency the 

inquiry may be redirected and sent to the appropriate office or agency directly from the OIG. Reviewing 

and, where appropriate, responding to these reports 

and allegations when aggregated can entail a significant amount of staff time and effort, despite the fact 

that they are not valid hotline complaints. In order to 

capture and document these hotline contacts, the 

OIG created a category for “hotline inquiries” that do 

not meet the criteria for hotline complaints.

During this reporting period, 5 new hotline complaints 

were opened and 5 hotline complaints were closed; 

11 hotline complaints remain open.

OIG Hotline Information
8

Office of Inspector General Semiannual Report to Congress

8

OIG investigations seek out facts related to allegations of wrongdoing. OIG investigations may address 

administrative, civil, and criminal violations of laws, 

regulations, and policies. The subject of an OIG investigation can be any agency employee, an FEC 

contractor, consultant, or a person or entity involved 

in alleged wrongdoing affecting FEC programs and 

operations.

As discussed in OIG Hotline Information, all hotline 

complaints are evaluated to determine if they warrant an investigation. If an investigation is opened, 

the hotline complaint is closed and merged into the 

investigative file. OIG investigations involve a detailed 

examination or inquiry into issues brought to our attention by various sources, and may include interviews of relevant witnesses and subjects, document 

reviews, and computer forensic examinations. At the 

conclusion of an OIG investigation, the OIG prepares 

a report that sets forth the allegations and an objective description of the facts developed during the 

investigation.

During this reporting period one new investigation 

was opened, one investigation was closed, and eight 

investigations remain open. The closed investigation 

is listed below:

• Hatch Act Violation

The OIG initiated an investigation of a

Commissioner’s Executive Assistant’s involvement with the Montgomery County, Maryland

ballot initiative, No on B and Common Cause

Maryland. The OIG found no evidence that the

executive Assistant’s involvement with No on B

and Common Cause Maryland violated any restrictions of the Hatch Act.

OIG Investigative Information
9

April 1, 2013 - September 30, 2013

9

April 1, 2017 – September 30, 2017

Besides conducting audits, inspections, and investigations, the OIG performs, and is involved in an array 

of additional projects and activities. As required by 

the IG Act, as amended, all legislation compiled by 

the Commission’s Congressional Affairs office is reviewed by the IG. The IG Act states that the Inspector 

General is responsible for: 1) conducting and supervising audits and investigations relating to the FEC’s 

programs and operations; 2) detecting and preventing fraud, waste, and abuse of agency programs and 

operations while providing leadership and coordination; 3) recommending policies designed to promote economy, efficiency, and effectiveness of the 

establishment; and 4) keeping the Commission and 

Congress fully and currently informed about problems and deficiencies in FEC agency programs and 

operations, and the need for corrective action.

The Deputy IG also reviews and provides comments, when appropriate, on legislation provided by 

the Council of Inspectors General on Integrity and 

Efficiency (CIGIE) Legislative Committee. In addition, 

the Deputy IG routinely reads all Commission agenda items.

Listed below are examples of the OIG’s additional activities during this reporting period:

• The OIG participated in an IG communitywide endeavor to place public reports on the

oversight.gov website. The FEC OIG's public

documents posted on oversight.gov date back

to 2013, and include Semiannual Reports to

Congress, audit and inspection reports, outstanding recommendation reports, reviews,

and management challenges reports. The FEC

OIG will continue to post public documents on

oversight.gov as those reports are issued.

• The OIG received an inquiry from CIGIE soliciting information relating to experiences

Additional OIG Activity

with the FY 2018 budgetary process, with 

additional questions relating to the recent 

Executive Order on a “Comprehensive Plan 

for Reorganizing the Executive Branch.” The 

Deputy IG provided a response to the data call. 

The OIG also reviewed the FEC’s plan in response to the Executive Order.

• The OIG provided a response pertaining to

Government Accountability Office (GAO)

Vacancy Information Confirmation – the OIG is

without an acting or permanent IG at this time;

the Deputy IG serves as head of the office until

the Commission decides to appoint an acting

or permanent IG.

• The Deputy IG appeared as a panelist for

the DATA Coalition’s presentation on Auditing

Compliance and Investigating the Data for

the 4th Annual DATA Act Summit held in

Washington, DC.

• The OIG Counsel / Chief Investigator responded to an inquiry pertaining to OIG designated

positions. In accordance with section 11 (d)(4)

(C) of the IG Reform Act as revised by Public

Law 110-409 (October 14, 2008), the OIG reported the designated positions within the FEC

OIG that qualify as “staff members” for purposes of the Integrity Committee.
10

Office of Inspector General Semiannual Report to Congress

10

Deputy Inspector General J. Cameron Thurber attended CIGIE meetings, as well as meetings of the 

Professional Development Committee and Small/

Unique OIGs. He also attended the 2017 CIGIE 

Annual Conference in Shepherdstown, West Virginia, 

and served on panels for the CIGIE-American 

University New and Experienced Leaders Courses.

Council of the Inspectors General on 

Integrity and Efficiency (CIGIE)
11

April 1, 2013 - September 30, 2013

11

April 1, 2017 – September 30, 2017

OIG contacts run the gamut, from citizens expressing their views or trying to reach the right FEC component to 

graduate students doing research. Contacts requesting information concerning where to submit a complaint or 

concern are directed to the appropriate FEC component or other agency. Other citizen contacts are handled and 

responded to as appropriate for the circumstances.

The table below is a reflection of the total contacts received by the OIG for the reporting period. These contacts 

were made through various sources such as telephone calls, emails, faxes, U.S. mail, and personal visits to the 

OIG. Those forwarded for action were referred to another FEC component and/or appropriate outside source.

Total

Contacts

OIG

Action

No Action

Necessary

Forwarded 

for Action

2,600 15 2,573 12

OIG Contacts
12

Office of Inspector General Semiannual Report to Congress

12

The chart listed below depicts training, meetings, programs, seminars, and/or conferences attended by the 

Inspector General and/or the OIG staff for the period April 1, 2017 – September 30, 2017:

MEETINGS:

List of Training, Meetings

and Conferences

Host / Sponsor Topic / Subject

Council of Inspectors General on 

Integrity and Efficiency (CIGIE) 

Monthly Meetings

Professional Development

 Committee Meetings

Quarterly Small / Unique IG Quarterly

 Meetings

2017 CIGIE Annual Conference

Council of Counsels to the Inspectors General Monthly Meetings

Small OIG Working Group Meeting

Government Accountability Office DATA Act Working Group Joint Meetings

Federal Election Commission

Bi-weekly Directors’ Meetings with Deputy

 IG, Acting GC, SD & Acting CFO

Finance Committee Meetings

Lease Renewal Team Meetings

New Employee Orientations

Administrative Liaison Group Meetings
13

April 1, 2013 - September 30, 2013

13

April 1, 2017 – September 30, 2017

TRAINING/CONFERENCES:

Host / Sponsor Topic / Subject

Council of the Inspectors General on 

Integrity and Efficiency

2017 Data Analytics Forum

SAC Leadership Workshop – Prepare to Lead

Council of the Inspectors General on 

Integrity and Efficiency / GAO Financial Statement Audit Conference

Workiva (Virtual) Fitting the Fraud Triangle into your Culture, Risk

 Management, and Internal Controls

Society of Corporate Compliance and Ethics 

Regional Compliance & Ethics SCCE Conference

Association of Certified Fraud Examiners

Effective Report Writing for Fraud Examiners

Professional Interviewing Skills

Fraud Examiners Review Course

Fraud Examiners 28th Annual Conference

Federal Audit Executive Council FAEC Annual Conference

African American Federal Executive 

Association 

AAFEA 13th Annual Professional Development

 Workshop – Business Acumen

Federal Employment Law Training Group MSPB Law Week

Employee Relations Week

Department of Labor Federal Employees Compensation Act

 Anti-Fraud Conference

Federal Election Commission

Comprizon – Required Fields

Working with Excel 2013

Access 2013 – An Overview

Privacy Training – 2017-2018

EEO No Fear Act

Information Security Awareness

Smartpay Travel Card Training (GSA)
14

Office of Inspector General Semiannual Report to Congress

14

Reporting Requirements

Reporting requirements required by the Inspector General Act of 1978, as amended by the Inspector 

General Act Amendments of 1988 are listed below:

IG ACT DESCRIPTION PAGE

Section 4(a)(2) Review of Legislation

Section 5(a)(1) Significant Problems, Abuses, and Deficiencies None

Section 5(a)(2) Recommendations with Respect to Significant Problems, Abuses,

and Deficiencies None

Section 5(a)(3) Recommendations Included in Previous Reports on Which 

Corrective Action Has Not Been Completed (Table III)

Section 5(a)(4) Matters Referred to Prosecuting Authorities None

Section 5(a)(5) Summary of Instances Where Information was Refused None

Section 5(a)(7) Summary of Significant Reports

Section 5(a)(8) Questioned and Unsupported Costs (Table I)

Section 5(a)(9) Recommendations that Funds be put to Better Use (Table II)

Section 5(a)(10)(A) Summary of Audit Reports issued before the start of the Reporting 

Period for which no Management Decision has been made N/A

Section 5(a)(10)(B)

Summary of Audit Reports Issued Before the start of the Reporting 

Period for which No Management Comment was Returned within 60 Days

Section 5(a)(10)(C)

Summary of Audit Reports Issued Before the Start of the Reporting 

Period for which There Are Outstanding Unimplemented 

Recommendations

Section 5(a)(11) Significant revised Management Decisions N/A

Section 5(a)(12) Management Decisions with which the Inspector General is 

in Disagreement None

Section 5(a)(11) Peer Review Recommendations

9

18

3

16

17

N/A

20

21
15

April 1, 2013 - September 30, 2013

15

April 1, 2017 – September 30, 2017

Reporting requirements required by the Inspector General Act of 1978, as amended by the Inspector 

General Act Amendments of 1988 are listed below:

Section 5(a)(17),(18) Investigative Reports Table and Metrics (Table IV)

Section 5(a)(19) Investigations Involving a Senior Government Employee with None

Substantiated Misconduct 

Section 5(a)(20) Instances of Whistleblower Retaliation None

Section 5(a)(21) Attempts by the Agency to Interfere with OIG Independence None 

Section 5(a)(22) Undisclosed Inspections, Evaluations, Audits, and Investigations None

19
16

Office of Inspector General Semiannual Report to Congress

16

NUMBER

QUESTIONED 

COSTS

UNSUPPORTED 

COSTS

A. For which no management decision has been made

by commencement of the reporting period 0 0 0

B. Which were issued during the reporting period 0 0 0

Sub-Totals (A&B) 0 0 0

C. For which a management decision was made during

the reporting period 0 0 0

(i) Dollar value of disallowed costs 0 0 0

(ii) Dollar value of costs not disallowed 0 0 0

D. For which no management decision has been made

by the end of the reporting period 0 0 0

E. Reports for which no management decision was

made within six months of issuance 0 0 0

Table I

Inspector General issued reports with questioned costs (dollar value in thousands)
17

April 1, 2013 - September 30, 2013

17

April 1, 2017 – September 30, 2017

Number Dollar Value

(In Thousands)

A. For which no management decision has been made by the 

commencement of the reporting period

0 0

B. Which were issued during the reporting period 0 0

C. For which a management decision was made during the 

reporting period

0 0

(i) dollar value of recommendations were agreed to by 

management

0 0

based on proposed management action 0 0

based on proposed legislative action 0 0

(ii) dollar value of recommendations that were not agreed to 

by management

0 0

D. For which no management decision has been made by the 

end of the reporting period

0 0

E. Reports for which no management decision was made within 

six months of issuance

0 0

Table II

Inspector general issued reports with recommendations that funds be put to better use
18

Office of Inspector General Semiannual Report to Congress

18

Recommendations

Report Title Report 

Number

Issue 

Date

Number Closed Open Cost

Savings

Audit of the Commission’s Property 

Management Controls 

OIG-09-02 03/10 36 35 1 0

2010 Follow-up Audit of Procurement and 

Contract Management

OIG-10-02 06/11 29 28 1 0

2010 Follow-up Audit of Privacy and 

Data Protection

OIG-10-03 03/11 45 20 25 0

Inspection of the Federal Election 

Commission’s Disaster Recovery Plan and 

Continuity of Operations Plans

OIG-12-06 01/13 30 212 9 0

Audit of the Federal Election Commission’s 

Office of Human Resources

OIG-12-05 07/13 26 21 5 0

Inspection of FEC’s Compliance with FMFIA/ 

OMB Circular A-123

OIG-14-01 06/14 8 3 5 0

Audit of the FEC's Telework Programs OIG-15-03 06/16 11 2 9 0

Table III

Summary of audit and inspection reports with corrective actions outstanding for more than six 

months

Cumulative Total Of Outstanding Recommendations 55

2 Includes a number adjustment to correct an inadvertent miscalculation from prior report.
19

April 1, 2013 - September 30, 2013

19

April 1, 2017 – September 30, 2017

Table IV

Summary of Investigative Reports

Title Number

Total Number of Investigative Reports Issued 1

Total Number of Persons Referred to DOJ for Criminal Prosecution 0

Total Number of Persons Referred to State and Local Prosecuting Authorities for Criminal 

Prosecution

0

Total Number of Indictments and Criminal Information Resulting from Any Prior Referral to 

Prosecuting Authorities

0

Metrics Used for Developing Data for Table IV:

The Total Number of Investigative Reports Issued reflects the number of all Reports of Investigation (ROI) issued 

to FEC management, the Department of Justice, or State and local prosecuting authorities during the reporting 

period;

The Total Number of Persons Referred to DOJ for Criminal Prosecution and Total Number of Persons Referred to 

State and Local Prosecuting Authorities for Criminal Prosecution reflects the total number of referrals for criminal 

prosecution made by the FEC OIG to the respective criminal prosecuting authorities during the reporting period;

The Total Number of Indictments and Criminal Informations Resulting from Any Prior Referral to Prosecuting 

Authorities includes all indictments and informations issued during the reporting period by Federal, State, or local 

criminal prosecuting authorities based upon any referral by the FEC OIG, whether the referral was made during 

this reporting period or a prior reporting period. OIG, whether the referral was made during this reporting period 

or a prior reporting period.
20

Office of Inspector General Semiannual Report to Congress

20

PEER REVIEW RESULTS

In accordance with the Dodd-Frank Wall Street 

Reform and Consumer Protection Act of 2010 (Section 

989C of Pub. L. No. 111-203), which amended Section 

5 of the Inspector General Act of 1978, OIGs are required to include in their semiannual reports (SAR) to 

Congress the results of peer reviews of their offices, 

as well as outstanding and not fully implemented recommendations from peer reviews the OIG received 

from another OIG, and outstanding and not fully implemented recommendations the OIG made in any 

peer review it performed for another OIG.

Peer Review of the National Endowment for the 

Arts (NEA) OIG

Assignment Number: OIG –17-02

Status: Completed January, 2017

The FEC OIG completed an audit peer review of 

the National Endowment for the Arts (NEA) Office of 

Inspector General during the prior reporting period 

and issued the final system review report (peer review report) on January 27, 2017. The results of our 

peer review of the NEA OIG resulted in one recommendation for improvement. Consistent with the requirements of Section 5 of the IG Act, the FEC OIG 

contacted the NEA IG to obtain the status of the 

recommendation contained in the system review 

report. According to the NEA IG, corrective action 

was taken on March 30, 2017, to fully implement our 

recommendation. 

Appendix A
April 1, 2017 - September 30, 2017

21

Appendix B

REVIEW OF OUTSTANDING 

RECOMMENDATIONS AS OF

AUGUST 2017 (ATTACHED) Federal Election Commission

Office of Inspector General

Review of Outstanding Recommendations 

as of August 2017

September 2017

Assignment No. OIG-17-07

APPENDIX B
Office of Inspector General Semiannual Report to Congress

22

Office of Inspector General’s

Review of

Outstanding Recommendations as of

August2017

 Summary of Review

The Office of Inspector General (OIG) semiannually provides to the Commission a report on the 

status of outstanding recommendations. The OIG provides these status reports as of February and 

August of each year. For this reporting period, we continued our review of the previous seven

audits and inspections with outstanding recommendations as of February 2017. Collectively, 

these 7 audits and inspections had 59 outstanding recommendations that required follow-up for 

this review period. Based on the results of the follow-up review, the OIG was able to collectively 

close only 4 of the 59 outstanding recommendations from 2 separate OIG reports.

OIG Concerns

The overarching concern of the OIG is the lack of governance accountability for ensuring that

management enforces the required internal control to assure outstanding recommendations that 

are intended to improve agency programs and prevent fraud, waste, and abuse are timely and 

sufficiently implemented. This management control is mandated by the Office of Management 

and Budget’s (OMB) Circulars A-123 and A-50, and also is required by the Federal Election 

Commission’s (FEC) own policy, Commission Directive 50: Audit Follow-up. Governance must 

hold management accountable for promptly addressing outstanding recommendations to 

decrease the agency’s risk exposure, effectively manage resources, and ensure cost control. Per 

OMB’s Circular A-123, deficiencies reported “...through internal review or by an external audit, 

should be evaluated and corrected. A systematic process should be in place for addressing 

deficiencies.”

Although corrective action plans (CAP) are created to address audit issues, and are submitted to 

the Commission biannually,

1 the standard for addressing deficiencies timely and appropriately 

must be established and enforced by the head of the agency. The OIG has highlighted a few 

deficiencies below that have gone unaddressed for several years, having an impact on agency 

operations. 

 1 Per Commission Directive 50: Audit Follow-up, management must submit their CAPs to the Commission in May 

and November of each year.
April 1, 2017 - September 30, 2017

23

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 2 | Page

Risks to Agency Mission

The FEC has operated for almost 13 years without an approved and tested contingency plan to 

ensure that in the event of a local or agency specific disaster, the Commission would have the 

ability to continue normal business operations within a reasonable timeframe. This issue was first 

reported in the agency’s 2004 financial statement audit report in relation to Information 

Technology (IT) control weaknesses, and risks to government IT infrastructure have increased 

since then. In 2008, management hired a contractor for over $200,000 to assist with developing 

the agency’s contingency plan. The plans were finalized in 2010, but never tested by 

management to determine if the plans could be effectively executed. Due to the lack of progress 

in this critical area over time, the OIG conducted the Inspection of the FEC’s Disaster Recovery 

Plan and Continuity of Operations Plans (COOP Inspection) and released a report in 2013 to

support the need for improvement in this critical area. The absence of an approved and tested 

contingency plan poses a material threat to the agency’s mission, particularly during timeframes 

related to election cycles when agency staff is at the height of its daily business operations.

Risks to Agency Assets 

The OIG has reported on inventory control weaknesses regarding the Office of the Chief 

Information Officer’s (OCIO) inventory process for laptops since the release of the 2010 Followup Audit of Privacy and Data Protection report. In January 2017, management made the 

decision to officially accept the risks of this reported internal control weakness to close out the 

OIG’s audit recommendation. However, in accordance with its responsibilities outlined in the 

Inspector General Act of 1978 (IG Act) to recommend policies to promote efficiency and 

effectiveness, and to prevent fraud, the OIG continues to encourage management to reconsider 

its inventory and control process. Specifically, management does not maintain complete 

inventory records and has inadequate control processes for agency laptops. These weaknesses 

result in OCIO not having an account for all assets on hand in their inventory database, and the 

potential for waste of agency funds as assets can sit in storage for long periods of time unused, 

becoming obsolete due to an inherent short life cycle for IT equipment. In addition, the agency is 

also susceptible to theft and abuse that can go undetected not having adequate records for 

inventory.

The OIG has also reported for seven years that the OCIO has not maintained adequate inventory 

records for agency issued cellular devices as detailed in the Audit of the FEC’s Property 

Management Controls report. The continuous issues reported to the Commission through our 

follow-up reviews illustrates the high risk exposure the agency is subject to in this area, as 

management’s inventory process for laptops is the same for the agency cellular devices. Since 

the release of the initial OIG reports, the agency has been through at least two or more separate 

distribution cycles of new agency devices (cell phones and laptops) in which management could 

have implemented additional controls to fix the reported audit issues.
Office of Inspector General Semiannual Report to Congress

24

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 3 | Page

Risks to Procurement Functions

The six year outstanding 2010 Follow-up Audit of Procurement and Contract Management

recommendation has yet to be closed by the OIG because the updates by management to 

Commission Directive 66, which is the agency-wide policy for procurement and acquisitions, 

have yet to be approved by Governance. The Procurement Office is currently understaffed and 

the Contracting Officer’s position has experienced major turnover over the past few years. It is 

necessary that this essential part of the agency not only has consistent leadership, but also that 

policies and procedures are established for efficient operations, and for ensuring proper 

compliance with managing and distributing funds in accordance with Federal regulations.
April 1, 2017 - September 30, 2017

25

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 4 | Page

Table Summary of Results

The table below summarizes the progress made by FEC management since the OIG’s last 

reporting period and the total outstanding recommendations as of August 2017.

Title & Report Date of OIG 

Audits/Inspection

Total Outstanding 

Recommendations 

as of February 

2017

Total Closed Total Open as of 

August 20172

Audit of the Commission’s 

Property Management Controls 

(3/2010)

1 0 1

2010 Follow-up Audit of Privacy 

and Data Protection (3/2011) 25 0 25

2010 Follow-up Audit of 

Procurement and Contract 

Management (6/2011) 1 0 1

Inspection of the FEC’s

Disaster Recovery Plan and

Continuity of Operations Plans

(1/2013)

10 1 9

Audit of the FEC’s Office of 

Human Resources (7/2013) 8 3 5

Inspection of FEC’s Compliance 

with FMFIA/OMB A-123 (6/2014) 5 0 5

Audit of the FEC Telework 

Programs (6/2016) 9 0 9

Total Outstanding Recommendations 55

 2 Column numbers may include recommendations that management has disagreed with or has not adequately 

implemented, and the OIG concludes that these recommendations are still open.
Office of Inspector General Semiannual Report to Congress

26

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 5 | Page

Audit Follow-up Meetings/Communications

Closed Audits/Inspections3

The OIG did not close any audits or inspections this review period.

Open Audits/Inspections

A. Audit of the Commission’s Property Management Controls

The remaining outstanding recommendation for the Audit of the Commission’s Property 

Management Controls (Property Audit) is related to the Office of the Chief Information 

Officer’s (OCIO) inventory records for cellular devices. The OIG has followed up on 

this recommendation since the release of the report in March of 2010, and this reported 

weakness within management’s business process for appropriately recording agency 

assets remains an outstanding issue. For the most recent iPhone devices distributed to 

FEC staff, the OCIO enrolled in Apple’s Device Enrollment Program (DEP) to manage 

the agency devices. For review purposes, the OIG requested documentation of all devices 

enrolled and who was assigned administrative rights to this system. In addition, we 

requested the latest vendor billing information and the OCIO’s official inventory listing. 

The OIG found no issues with the current administrative rights assigned to the DEP; 

however, the following issues with the inventory records for the devices were noted:

• Eight active iPhone devices are missing from OCIO’s official inventory record 

• One device (same barcode, serial number, and phone number) is assigned to two 

different FEC employees on OCIO’s inventory list

Two devices are incorrectly assigned 

 One device is assigned to a user but listed as in storage

 One device is assigned to the wrong user

• One device is listed as in storage on the OCIO’s inventory, although vendor 

billing shows current usage activity and the device as being assigned to a 

separated employee 

• Inventory records are unclear on how many devices OCIO has on hand

o 133 iPhones are listed on OCIO’s official inventory list4

 3 An audit or inspection is closed when the OIG determines that all applicable recommendations have been 

adequately addressed by management. 

4 This does not include the one duplicate and the eight devices OIG identified from the AT&T bill that were not 

listed on OCIO’s official inventory list
April 1, 2017 - September 30, 2017

27

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 6 | Page

o 138 iPhones are listed on AT&T’s latest monthly bill

o 163 iPhones are listed as enrolled devices for FEC per Apple records

 36 of the 163 agency iPhones registered with Apple were not 

recorded as inventory by OCIO 

Although OCIO management officially accepted the risks of their inventory process in 

January 2017, the OIG continues to have concerns that the failure to record all acquired 

assets upon receipt not only causes the agency to have incomplete inventory records, but 

also greatly exposes the agency to potential theft of assets without detection from 

management. During our follow-up review, OCIO management confirmed that new 

devices are only recorded at the time they are distributed to FEC employees.

Management stated as a reason for doing so, “The plastic around the box includes 

information that we use and removing the wrapping to barcode the device and possibly 

losing the wrapping becomes a problem that we would rather avoid.” However, if the 

OCIO scanned the information for each purchased device at the time of receipt to ensure 

they matched the purchase order, the potential loss of pertinent information would be 

avoided and records would more accurately reflect current inventory. With this process, 

when a devices is issued to staff, the only task necessary would be to assign the already 

tracked device to the proper user on the inventory listing. See the OIG Concerns section 

regarding this matter.

B. 2010 Follow-up Audit of Privacy and Data Protection

For the 2010 Follow-up Audit of Privacy and Data Protection (Privacy Audit), the OIG’s 

Review of Outstanding Recommendations as of February 2017 report identified 25 open 

recommendations. As we reported in our February 2017 report, the OIG suggested that a 

meeting with the Privacy Team be scheduled between follow-up review periods to 

discuss the outstanding recommendations so that management could appropriately 

provide a status update for this current review period. The OIG provided the Privacy 

Team with a copy of all the outstanding Privacy Audit recommendations on February 17, 

2017, more than a month prior to the meeting scheduled for March 29, 2017. However,

management was not prepared to discuss updates or corrective actions during this 

meeting. The OIG agreed to re-send the previous email and requested that management 

notify the OIG once it was ready to discuss the status of the open recommendations. The 

OIG followed up with the Privacy Team again on June 28 and July 18, 2017, but did not 

receive a response from management. Thus, the 25 outstanding recommendations remain 

open for the Privacy Audit. The OIG remains agreeable to meeting with the Privacy 

Team to discuss the outstanding recommendations.
Office of Inspector General Semiannual Report to Congress

28

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 7 | Page

C. 2010 Follow-up Audit of Procurement and Contract Management

The 2010 Follow-up Audit of Procurement and Contract Management was issued in June 

2011. The OIG’s Review of Outstanding Recommendations as of February 2017 report 

identified only one open recommendation related to the updated Directive 66, which is 

the overarching agency-wide policy for procurement and acquisitions. This one 

recommendation is still open for this follow-up review period. See the OIG Concerns 

section regarding this matter.

D. Inspection of the FEC’s Disaster Recovery Plan and Continuity of Operations Plans

The Inspection of the FEC’s Disaster Recovery Plan and Continuity of Operations Plans

(COOP Inspection) report was released in January 2013. The OIG’s Review of 

Outstanding Recommendations as of February 2017 report identified 10 outstanding 

recommendations. Based on management’s revised completion dates in their latest 

corrective action plan, five recommendations were scheduled to be completed during this 

follow-up review period. The OIG requested a status update from management regarding 

the five open recommendations, and was able to close one recommendation assigned to 

the Chief Information Security Officer upon review of the finalized FEC System Security 

Plan. The due date for three of the five recommendations was revised to September 

2017. The one remaining recommendation was partially completed, as an updated list of 

COOP essential staff was provided, but a Disaster Recovery Plan has yet to be finalized. 

Therefore, the COOP Inspection has nine open recommendations remaining. 

E. Audit of the FEC’s Office of Human Resources 

The Audit of the Federal Election Commission’s Office of Human Resources (OHR

Audit) report was issued in July 2013. The OIG’s Review of Outstanding 

Recommendations as of February 2017 report identified eight open recommendations for 

the OHR audit report. 

In August 2017, the OIG met with the Director of OHR to discuss the status of the eight 

outstanding audit recommendations as well as review corrective actions since the last 

follow-up review was conducted in February 2017. Based on follow-up work performed,

the OIG closed three recommendations as follows:

• Two open recommendations related to the fingerprinting scheduling process have

been closed. The OIG confirmed that the on-line electronic scheduling system 

(Timetrade) has been fully implemented for automating the scheduling for both 

fingerprinting and badging appointments. 

• One recommendation related to the hiring process has also been closed. The OIG has 

confirmed that the OHR has converted to the USA Staffing automated system which 
April 1, 2017 - September 30, 2017

29

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 8 | Page

follows the standard OPM 80 day hiring model. The new system utilizes workflow 

and automatically tracks each vacancy according to the OPM 80 day hiring model 

and stores all applicable forms and documentation. 

The OIG would also like to acknowledge the progress made with updating and creating 

personnel related policies and procedures. For example, OHR has finalized and released 

the standard operating procedures for both the FERS and CSRS retirement systems, and 

is in the process of rolling out a service level agreement for hiring. The OHR Director is 

still waiting on a decision concerning an on-line correspondence tracking system called 

Service Now which is being considered for agency-wide use. The Director of OHR 

would like to replace HR On Demand, which is currently used to track and monitor HR 

inquiries, with the Service Now system, as he believes it would be a more effective and 

efficient tracking tool. Based on follow-up work performed, the OHR Audit has five 

open audit recommendations for this follow-up review period.

F. Inspection of FEC’s Compliance with FMFIA/OMB Circular A-123

The Inspection of FEC’s Compliance with FMFIA/OMB Circular A-123 (A-123

Inspection) was released in June 2014. The OIG’s Review of Outstanding 

Recommendations as of February 2017 report identified five open recommendations for 

the A-123 Inspection report. Since the February 2017 follow-up review period, the 

Office of the Chief Financial Officer (OCFO), in cooperation with the FEC A-123 Task 

Force, has formally adopted the Senior Management Council (SMC) charter which will 

be the designated oversight body responsible for the FEC’s internal control and 

Enterprise Risk Management (ERM) programs. The SMC members have begun meeting 

on a regular basis to begin developing the FEC’s ERM plan. The OIG notes that the 

initial OMB requirements related to submitting ERM and Fraud Reduction plans by June 

4, 2017, have been postponed. 

Although progress was made during this review period, the OIG will be unable to close 

the remaining five recommendations until the FEC fully implements ERM and fraud risk 

assessments into the Internal Control Report process, and the OIG can verify that the new 

processes are operating effectively. Therefore, five recommendations remain open for 

this follow-up review period.
Office of Inspector General Semiannual Report to Congress

30

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 9 | Page

G. Audit of the FEC’s Telework Programs

The Audit of the FEC’s Telework Programs (Telework Audit) was released in June 2016.

The Telework Audit report identified 11 recommendations. The OIG’s Review of 

Outstanding Recommendations as of February 2017 report identified nine open 

recommendations for the Telework Audit report. In August 2017, the OIG contacted the 

Telework Management Official and was informed there is no additional updates to report

at this time. Therefore, nine recommendations remain open for this follow-up review 

period.
April 1, 2017 - September 30, 2017

31

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 10 | Page

Background

As required by the Inspector General Act of 1978, as amended, the OIG is responsible

for conducting audits of the FEC’s programs and operations. In addition to conducting 

and supervising audits, the OIG also has the responsibility to conduct audit follow-ups

to ensure that management has effectively implemented OIG recommendations. Audit

follow-up, including the timely implementation of audit recommendations by FEC

management, is required by Office of Management and Budget Circular A-50, Audit 

Follow-up, as revised, and FEC Directive 50: Audit Follow-up.

At the conclusion of each OIG audit and inspection, it is management’s responsibility to 

develop a corrective action plan (CAP). The CAP identifies the plan management has

developed to address the OIG’s findings and recommendations. The CAP should detail the

following:

1. assignment of Audit Follow-up Official, who is responsible for overseeing the

corrective action;

2. OIG finding(s);

3. OIG recommendation(s);

4. detailed corrective action to implement the OIG’s recommendation(s);

5. FEC staff person with responsibility to implement each task; and

6. expected completion dates.

Once management drafts the CAP, the OIG then reviews the CAP and provides comments to 

management regarding the sufficiency of their planned corrective actions to address the OIG’s

findings. Management reviews the OIG’s comments, finalizes the CAP, and then provides the

final CAP to the Commission with a courtesy copy to the OIG.

FEC Directive 50 requires management to:

(3) Conduct regular meetings with the Inspector General throughout the year to followup on outstanding findings and recommendations, and include reports of these meetings 

in the written corrective action plan and semi-annual reports required to be presented to 

the Commission...;

In order to work effectively with FEC management in adhering to FEC Directive 50,

and to ensure continuous monitoring and adequate and timely audit resolution, the

OIG communicates with management at least semiannually to discuss the status of

outstanding OIG recommendations. If management has implemented any corrective

action(s), the OIG schedules a meeting with management to discuss the

implementation of the corrective action(s), and the OIG then reviews evidence of the 

corrective action (e.g., new/updated policies, procedures, and processes to improve

internal controls).
Office of Inspector General Semiannual Report to Congress

32

Office of Inspector General’s Review of Outstanding Recommendations as of August 2017 11 | Page

To provide management with timely feedback and the results of our review prior to 

management’s reporting deadlines to the Commission in May and November, the OIG 

reports on our review of outstanding recommendations as of February and August of each 

year. The semiannual meetings are also intended to assist the audit follow-up official in 

following provisions 4 through 6 of Directive 50, which are listed as follows:

(4) Respond in a timely manner to all audit reports;

(5) Engage in a good faith effort to resolve all disagreements; and

(6) Produce semi-annual reports that are submitted to the agency head.

The official status (open/closed) of OIG recommendations is determined by the OIG

once the OIG has verified that management has adequately implemented the corrective 

actions. The Inspector General can also make a decision to close recommendations or 

seek resolution from the Commission for recommendations where the OIG and 

management disagree. Lastly, the number of outstanding recommendations is also 

reported to the Commission and Congress in the OIG’s Semiannual Reports to Congress.
33

April 1, 2013 - September 30, 2013

33

April 1, 2017 – September 30, 2017

Appendix C

The Federal Election 

Commission

In 1975, Congress created the Federal Election 

Commission to administer and enforce the Federal 

Election Campaign Act of 1971, as amended. The duties of the FEC, an independent regulatory agency, 

are to disclose campaign finance information, enforce 

the provisions of the law, and oversee the public funding of Presidential elections.

The Commission consists of six members who are appointed by the President and confirmed by the Senate. 

Each member serves a six-year term, and two seats 

are subject to appointment every two years. By law, 

no more than three Commissioners can be members 

of the same political party, and at least four votes 

are required for any official Commission action. The 

Chairmanship of the Commission rotates among 

the members each year, with no member serving as 

Chairman more than once during his or her term.

Currently the FEC Commissioners consist of – 

Steven T. Walther, Chair; Carolyn C. Hunter, Vice 

Chair; Commissioners Lee E. Goodman; Matthew S. 

Petersen; and Ellen L. Weintraub.

Office of Inspector General

The Inspector General Act of 1978, as amended, states that the Inspector General is responsible for: 1) conducting and supervising audits 

and investigations relating to the FEC’s programs 

and operations; 2) detecting and preventing fraud, 

waste, and abuse of agency programs and operations while providing leadership and coordination; 

3) recommending policies designed to promote 

economy, efficiency, and effectiveness of the establishment; and 4) keeping the Commission and 

Congress fully and currently informed about problems and deficiencies in FEC agency programs 

and operations, and the need for corrective action. 
or toll free at 1-800-424-9530 (press 0; then dial 1015) 

Fax us at 202-501-8134 or e-mail us at oig@fec.gov 

Visit or write to us at 999 E Street, N.W., Suite 940, Washington DC 20463 

Federal Election Commission 

Office of Inspector General 

Individuals including FEC and FEC contractor employees are encouraged to alert the OIG to 

fraud, waste, abuse, and mismanagement of agency programs and operations. Individuals 

who contact the OIG can remain anonymous. However, persons who report allegations are encouraged 

to provide their contact information in the event additional questions arise as the OIG evaluates the 

allegations. Allegations with limited details or merit may be held in abeyance until further specific details 

are reported or obtained. Pursuant to the Inspector General Act of 1978, as amended, the Inspector 

General will not disclose the identity of an individual who provides information without the consent of that 

individual, unless the Inspector General determines that such disclosure is unavoidable during the course 

of an investigation. To learn more about the OIG, visit our Website at: http://www.fec.gov/fecig/fecig.shtml 

Together we can make a difference. 

Fraud Hotline 

202-694-1015