Semiannual Report to Congress 

April 1, 2009 – September 30, 2009 

November 2009 

Federal Election Commission - Office of Inspector General 

999 E Street, N.W. Suite 940, Washington, D.C. 20463 
April 1, 2009 - September 30, 2009 

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Office of Inspector General Semiannual Report to Congress 

MANAGEMENT REPORT ON 

INSPECTOR GENERAL ISSUED REPORTS 

WITH QUESTIONED COSTS 

FOR THE SIX-MONTH PERIOD ENDING SEPTEMBER 30, 2009 

 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] 

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April 1, 2009 - September 30, 2009 

MANAGEMENT REPORT ON 

INSPECTOR GENERAL ISSUED REPORTS WITH 

RECOMMENDATIONS TO PUT FUNDS TO BETTER USE 

FOR THE SIX-MONTH PERIOD ENDING SEPTEMBER 30, 2009 

 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 

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April 1, 2009 - September 30, 2009 

FEDERAL ELECTION COMMISSION 

WASHINGTON, D.C. 20463 

OFFICE OF THE INSPECTOR GENERAL 

A Message from the Inspector General 

One of the focuses of the Office of Inspector General (OIG) this past six months 

has been to increase our presence at the Federal Election Commission (FEC). The 

main way we did this was to launch an Intranet website, with the assistance of the 

FEC’s Information Technology Division. The FEC’s Intranet (FECNet) serves as 

the interactive information resource for FEC employees and is only accessible by 

connecting to the internal FEC network. 

The development of the OIG FECNet page allows the OIG a vehicle to make the 

tools and information that we provide for the use and knowledge of FEC staff 

readily available. Some of the documents/information provided on the webpage 

include an electronic staff complaint form that FEC staff can use to report alleged 

fraud, waste or abuse within the agency; guidance for FEC staff regarding all the 

possible methods that can be used by FEC staff to report suspected fraud, waste or 

abuse; the OIG brochure; and the latest reports issued by the OIG. We also plan to 

use this site to post our completed work and provide communication to the FEC 

staff. I would like to especially thank Mia Forgy, OIG auditor, for the work she did 

on this project. 

The OIG also conducted our annual brainstorming session during this reporting 

period. Prior to our meeting date, the Deputy Inspector General sends out an email 

to all FEC staff soliciting their input. We then take all received suggestions and have 

an all day staff session where we discuss areas that we want to focus our resources. 

After that meeting the Deputy IG and I meet to complete the work plan for the 

upcoming and future years. The OIG annual work plan for Fiscal Year 2010 can be 

found on page 21 of this report. 

Lynne A. McFarland 

Inspector General 

Federal Election Commission 

September 30, 2009 

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April 1, 2009 - September 30, 2009 

Table of Contents
 

Executive Summary 1
 

The Federal Election Commission 3
 

Office of Inspector General 4
 

OIG Audit Activity 5 


2008 Audit of Procurement and Contract Management 5
 

Audit of the Federal Election Commission’s Fiscal Year 2009 Financial Statements 6
 

Audit of the Commission’s Property Management Controls 7
 

OIG Audit Follow-up Activity 8
 

Audit Follow-up of the FEC’s Employee Transit Benefit Program 8
 

OIG Hotline Information 9
 

OIG Investigations 10
 

Additional OIG Activity 11
 

OIG Special Project 12
 

Council of the Inspectors General on Integrity and Efficiency (CIGIE) Activity 13
 

OIG Contacts 14
 

List of Training, Meetings and Conferences 15
 

Reporting Requirements 
 17
 

Table I – Inspector General Issued Reports With 
 18 

Questioned Cost
 

Table II – Inspector General Issued Reports With
 19 

Recommendations That Funds Be Put To Better Use 

(cont.) 

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April 1, 2009 - September 30, 2009 

Table III – Summary Of Audit Reports With 20
 

Corrective Actions Outstanding For More Than Six Months
 

Contacting the Office of Inspector General (inside back cover)
 

OIG Fiscal Year 2010 Work Plan 21
 

Message from the Inspector General 23
 

The Federal Election Commission 24
 

Office of Inspector General 24
 

OIG Strategic Planning 25
 

Annual Planning and Methodology Strategies 26
 

OIG 2010 Work Plan 27
 

Audits/Inspections/Reviews 27
 

Investigative Program 30
 

Special Projects 31
 

OIG Strategic Plan - Fiscal Year 2005 – 2010 33
 
Office of Inspector General Semiannual Report to Congress 

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April 1, 2009 - September 30, 2009 

The Inspector General Act of 1978, as amended, states that the Inspector General is responsible for conducting audits, inspections, investigations, and recommending policies and procedures 

that promote economic, efficient, and effective use 

of agency resources and programs that prevent 

fraud, waste, abuse and mismanagement. The IG 

Act also requires the Inspector General to keep 

the Commission and Congress fully and currently 

informed about problems and deficiencies in the 

Commission’s operations and the need for corrective 

action. 

This semiannual report includes the major accomplishments of the Office of Inspector General, as well 

as relevant information regarding additional OIG activities. The executive summary highlights the most 

significant activities of the OIG. Additional details 

pertaining to each activity can be found in subsequent sections of this report. 

The 2008 Audit of Procurement and Contract 

Management – OIG-08-02 was completed and released September 2009. The OIG determined that 

an audit of the FEC’s contract and procurement 

management process was necessary due to our 

failed attempts to validate the deliverables of two former FEC contractors. The OIG hired the auditing firm 

of Regis & Associates PC to conduct the audit. 

There were eight (8) objectives associated with the 

audit. The audit identified nine (9) significant issues 

that prevent the Procurement Office from achieving compliant and effective functions. The results of 

audit testing showed that, overall, the agency may 

not have received goods and services within the 

contract terms, and that the Procurement Office did 

not adequately document and assess its acquisition 

processes, procedures, and management controls. 

Management generally concurred with the results 

Executive Summary
 

of the audit and has already begun addressing the 

findings and recommendations by finalizing policies 

and procedures and providing training for agency 

employees responsible for contract management 

oversight. 

The Audit of the FEC’s Fiscal Year 2009 Financial 

Statements – OIG-09-01 commenced during this 

reporting period. Under a contract monitored by the 

OIG, certified public accountants, Leon Snead & 

Company (LS&C) was selected to perform the audit 

of the FEC’s FY 2009 financial statements. The OIG 

is responsible for 1) reviewing the auditor’s approach 

and planning of the audit; 2) evaluating the qualifications and independence of the auditors; 3) monitoring the work of the auditors; 4) examining audit 

documents and reports to ensure compliance with 

Government Auditing Standards, and OMB Bulletin 

No. 07-04, Audit Requirements for Federal Financial 

Statements, as amended; and 5) other procedures 

the OIG deems necessary to oversee the contract 

and audit. 

The entrance conference has been conducted, the 

audit scope and ways to ensure an efficient and effective audit process for fiscal year 2009 was discussed. A timeline was established, along with requests to management for necessary documentation 

and information concerning the financial statements. 

The planning and interim audit testing phases were 

completed by LSC during the semiannual period. 

The OIG reviewed LSC’s audit planning methodology and interim audit testing results, and provided 

comments to LSC. In addition, LSC prepared several notice of findings and recommendations which 

were reviewed by the OIG and then issued to FEC 

management for response. The OIG has coordinated 

and attended regular biweekly audit status meetings 

with LSC and FEC management during the audit; 

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Office of Inspector General Semiannual Report to Congress 

more frequent meetings will be held in the month of 

October as the audit nears completion. 

The Audit of the Commission’s Property 

Management Controls – OIG-09-02 also commenced during this reporting period. The audit is 

being conducted based upon an OIG developed 

strategic audit plan for the agency, and previously 

reported misuse of FEC property. The scope of the 

audit includes a review of Commission internal controls over FEC property from FY 2007 to present. 

This includes blackberry/cellular telephones; FEC 

vehicles; and fleet/fuel charge card transactions. 

The OIG held an entrance conference on 

September 11, 2009 to provide management with 

an understanding of the purpose, scope, and audit plan for the audit of the Commission’s Property 

Management Controls. 

An Audit Follow-up Review of the FEC’s 

Employee Transit Benefit Program – OIG-08-03 

was completed and released July 2009. The purpose of the audit follow-up was to verify whether 

management had adequately implemented the 

OIG’s recommendations, as agreed, prior to closing 

the outstanding 22 recommendations from the 2007 

audit. As a result of the audit follow-up review, the 

OIG closed only one of the 22 outstanding recommendations and indentified 16 findings and made 51 

additional recommendations for improvement to the 

management of the program. The OIG’s audit followup report also included five suggestions for additional program improvement. 

The OIG believes that the lack of progress is based 

on two key points: the absence of a single individual 

responsible and accountable for the overall program 

administration of the transit benefit program; and the 

failure to fully apply FEC Directive 50, Audit Followup, in monitoring and reporting progress of recommendation implementation to the Commission and 

the OIG. 

For detailed information regarding the above audits 

and audit follow up activity, see the section entitled 

OIG Audit Activity (starting on page 5); and OIG 

Audit Follow-up Activity (starting on page 8). 

As we come to the conclusion of this reporting period, there are 10 hotline complaints open and in various stages (pending, in progress); 11 hotline complaints were closed this quarter; and 5 investigations 

are currently in progress. For more information pertaining to the hotline issues, see the section entitled 

OIG Hotline Information (located on page 9); for 

more information on investigations, see the section 

entitled OIG Investigations (located on page 10). 

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April 1, 2009 - September 30, 2009 

the federal election commission
 

In 1975, Congress created the Federal Election 

Commission (FEC) to administer and enforce the 

Federal Election Campaign Act (FECA). 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 

has a full complement of Commissioners – Steven 

T. Walther, Chairman; Matthew S. Petersen, Vice 

Chairman; and Commissioners Cynthia L. Bauerly; 

Caroline C. Hunter; Donald F. McGahn II; and Ellen 

L. Weintraub. 

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Office of Inspector General Semiannual Report to Congress 

Office of Inspector General
 

The Inspector General Act of 1978 (P.L. 100-504), 

as amended, states that the Inspector General 

is responsible for: 1) conducting and supervising audits and investigations relating to the Federal 

Election Commission’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. 

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April 1, 2009 - September 30, 2009 

2008 Audit of Procurement and Contract 

Management 

Assignment Number: OIG – 08-02 

Status: Released September, 2009 

http://www.fec.gov/fecig/procurement.pdf 

Based on discussions with management and efforts 

by the OIG to validate the deliverables of two former 

contractors; the OIG decided to conduct an audit of 

the procurement and contract management functions of the agency. The OIG contracted with Regis 

& Associates, PC (Regis) to conduct a performance 

audit of the procurement and contract management 

policies and procedures used by the FEC and to determine whether the FEC is complying with the policies and procedures, and applicable federal acquisition laws and regulations. 

The objectives of the audit were to determine whether the Procurement Office had met the following: 1) 

procured supplies and services in an efficient and 

effective manner, and in compliance with applicable 

laws, regulations, policies, and procedures; 2) developed internal bulletins, directives, policies and 

procedures that comply with applicable laws and 

regulations and whether they and are used to direct 

procurement activities throughout the Commission; 

3) reported accurately its procurement statistics to 

the General Services Administration; 4) received 

the goods and services in accordance with contract 

terms; 5) used procurement information to manage 

procurement operations effectively and efficiently; 6) 

closed contracts in a timely manner; 7) established 

effective internal controls with regard to procurement and contract monitoring; and 8) documented 

and assessed its acquisition processes, procedures, 

and management controls in accordance with the 

Federal Manager’s Financial Integrity Act. 

OIG Audit Activity
 

The audit included a review of 90 different procurements totaling approximately $27.6 million. The 

sample included various types of procurement instruments (e.g. contracts, purchase orders, blanket 

purchase agreements, and one specifi ed interagency 

agreement) awarded/executed by the Procurement 

Office in fiscal years 2006 through 2008. The audit 

testing was designed to assess procurement operations both before and after the current Director 

of Procurement was hired by the agency in March 

2008. 

The results of audit testing showed that, overall, the 

agency may not have received goods and services 

within the contract terms, and that the Procurement 

Office did not adequately document and assess its 

acquisition processes, procedures, and management 

controls. The audit identified nine significant issues 

that prevent the Procurement Office from achieving 

compliant and effective functions. Specifically, improvement is needed in the following areas: 

•	 acquisition planning and pre-award
 

administration;
 

•	 process for approving procurement awards; 

•	 oversight and monitoring of procurement 


activities;
 

•	 contracting data reported in the Federal 


Procurement Data System;
 

•	 payments on time-and-materials, and labor-


hour contracts;
 

•	 contract close-out compliance with the Federal 

Acquisition Regulation (FAR); 

•	 compliance with the Clinger-Cohen Act on information technology investments; and 

•	 blanket purchase agreement usage; and contract fi le recordkeeping. 

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Office of Inspector General Semiannual Report to Congress 

Management generally concurred with the results 

of the audit and has already begun addressing the 

findings and recommendations by finalizing policies 

and procedures and providing training for agency 

employees responsible for contract management 

oversight. 

Audit of the Federal Election Commission’s 

Fiscal Year 2009 Financial Statements 

Assignment Number: OIG – 09-01 

Status: In Progress 

The Chief Financial Officers Act of 1990 (Public Law 

101-576, commonly referred to as the “CFO Act”), 

as amended, requires the FEC Office of Inspector 

General or an independent external auditor, as 

determined by the Inspector General, to audit the 

agency financial statements. Under a contract monitored by the OIG, Leon Snead & Company (LSC), 

an independent certified public accounting and management consulting firm was awarded a five year 

contract to audit the FEC’s financial statements and 

is performing the 2009 audit.

 LSC has been contracted to conduct the financial statement audit following Generally Accepted 

Government Auditing Standards (GAGAS) and OMB 

Bulletin No. 07-04, Audit Requirements for Federal 

Financial Statements, as revised. The firm will issue 

an opinion regarding whether the FEC’s financial reports and supplemental information (if any) are fairly 

presented in all material respects in accordance with 

Generally Accepted Accounting Principles. In addition, the firm will provide reports on internal controls 

and compliance with laws and regulations for matters relevant to the financial statement audit. LSC 

may also prepare a management letter documenting any deficiencies in internal controls that are not 

required to be included in the public audit report, but 

that the audit firm considers necessary to communicate to the Commission and management. 

The OIG is responsible for oversight of the financial statement audit. This includes: 1) reviewing 

the auditors’ approach and planning of the audit; 2) 

evaluating the qualifications and independence of 

the auditors; 3) monitoring the work of the auditors; 

4) examining audit documents and reports to ensure 

compliance with GAGAS, and OMB Bulletin No. 07­

04; and 5) other procedures the OIG deems necessary to oversee the contract and audit. 

The OIG coordinated and attended the audit entrance conference with LSC and management to 

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April 1, 2009 - September 30, 2009 

discuss the audit objectives and schedule. In addition, the OIG developed a tracking Excel spreadsheet to account for the numerous logistical, administrative and contract requirements for the audit 

contractors. The OIG also coordinated and attended 

meetings in late August with LSC and the FEC’s 

Chairman and Vice Chairman to discuss the audit 

objectives and progress of the audit. 

The planning and interim audit testing phases were 

completed by LSC during the semiannual period. 

The OIG reviewed LSC’s audit planning methodology and interim audit testing results, and provided 

comments to LSC. In addition, LSC prepared several notice of findings and recommendations which 

were reviewed by the OIG and then issued to FEC 

management for response. The OIG has coordinated and attended regular biweekly audit status meetings with LSC and FEC management during the audit; more frequent meetings will be held in the month 

of October as the audit nears completion. The audit 

is scheduled to be completed by November 16, 

2009. 

Audit of the Commission’s Property 

Management Controls 

Assignment Number: OIG – 09-02 

Status: In Progress 

The audit of the Commission’s Property 

Management Controls commenced during this reporting period. The audit is being conducted based 

upon an OIG developed strategic audit plan for the 

agency; and previously reported misuse of FEC 

property. 

The scope of the audit includes a review of 

Commission internal controls over FEC property 

from FY 2007 to present. This includes blackberry/ 

cellular telephones; FEC vehicles; and fl eet/fuel 

charge card transactions. Audit steps will include 

documentation and review of the adequacy of policies and procedures for managing assets; business 

processes used to manage the assets; and management control activities used to detect and correct 

potential fraud, waste, and abuse of the assets. We 

will also conduct detailed testing of asset use to determine whether employees complied with FEC policies and procedures. 

The OIG held an entrance conference on 

September 11, 2009 to provide management with 

an understanding of the purpose, scope, and audit plan for the audit of the Commission’s Property 

Management Controls. The OIG has began to 

gather electronic data regarding the blackberry/cellular telephones; retrieve detailed transaction data 

pertaining to FEC leased vehicles; obtain policies 

and procedures from management; and develop detailed test steps. 

We are confident this audit will prove to be valuable 

to the Commission as the OIG ensures that the controls over FEC property are in place, those controls 

are effective, and that the property is not misused. 

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Office of Inspector General Semiannual Report to Congress 

OIG Audit Follow-up Activity
 

Audit Follow-up of the FEC’s Employee 

Transit Benefit Program 

Assignment Number: OIG – 08-03 

Status: Released July, 2009 

http://www.fec.gov/fecig/transit09.pdf 

The Federal Election Commission (FEC) Office of 

Inspector General (OIG) initiated a follow-up review of the OIG’s 2007 audit of the FEC’s Employee 

Transit Benefit Program. The purpose of the audit 

follow-up was to verify whether management had 

adequately implemented the OIG’s recommendations, as agreed, prior to closing the outstanding 22 

recommendations from the 2007 audit. 

The OIG issued the final audit report on July 9, 

2009. Based on the results of the audit follow-up 

review, the OIG continues to note the program’s internal control system needs strengthening to ensure 

that unused subsidies are returned by separating 

employees, former employees are promptly removed 

from the list of eligible transit subsidy recipients, 

employees do not have access to duplicate benefits, and that ineligible persons do not have access to FEC transit benefits. As a result of the audit 

follow-up review, the OIG closed only one of the 22 

outstanding recommendations and indentifi ed 16 

findings and made 51 additional recommendations 

for improvement to the management of the program. 

The OIG’s audit follow-up report also included five 

(5) suggestions for additional program improvement, 

which are described in the Other Matters of Interest 

section of the report. 

The OIG included two findings in this report which 

highlight the primary reasons for the lack of progress in implementing the agreed corrective actions 

to address transit benefit program weaknesses 

identified in the prior audit report. The OIG believes 

that the lack of progress is based on two key points: 

the absence of a single individual responsible and 

accountable for the overall program administration 

of the transit benefit program; and the failure to fully 

apply FEC Directive 50, Audit Follow-up, in monitoring and reporting progress of recommendation 

implementation to the Commission and the OIG. 

Management generally concurred with the audit 

recommendations and prepared a Corrective Action 

Plan (CAP) documenting the activities needed to fully implement the audit recommendations. The OIG 

provided comments on the CAP and looks forward 

to working with management to ensure the Transit 

Benefit program weaknesses are corrected. 

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April 1, 2009 - September 30, 2009 

OIG hotline Information:
 

The Office of Inspector General established a hotline to enable employees and others to have direct 

and confidential contact with the OIG. The OIG receives complaints through various means such as 

U.S. mail, telephone, e-mail, and personal visits to 

the OIG. Once a hotline (HL) complaint has been received, a preliminary inquiry is conducted. When the 

inquiry has been completed, the hotline complaint 

can be closed with no further action taken, referred 

to management for action, or closed and an investigation opened on the issue. 

On July 8, 2009, the Office of Inspector General 

(OIG) established a revised policy for reviewing and 

evaluating hotline complaints. This policy was developed to guide the OIG’s effort to ensure consistency and fairness in its case initiation decisions. 

The policy will also serve as a guide for the OIG to 

manage the increased case load in the OIG’s hotline 

complaints, which has occurred over the past couple 

of years. The guidelines in this policy compiled some 

of the best practices of other OIG offices. The policy 

defines “hotline complaints” as allegations or referrals of fraud, waste, abuse, mismanagement, and 

misconduct, involving FEC employees/contractors, 

programs, operations, property, or funds. 

The OIG considers many factors when evaluating 

whether to open an investigation based on a hotline complaint, and acknowledges that every allegation or complaint received by the OIG cannot be 

investigated. The policy includes evaluation considerations, such as the merits of an allegation, the 

availability of evidence; and the existing priorities, 

commitments, and resources of the OIG. Under this 

new policy, hotline complaints shall be classifi ed 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 an appropriate official for possible further review. 

Under this new policy, hotline evaluation decisions 

are made by the Chief Investigator, with concurrence from the Deputy IG. 

As this reporting period concludes, the OIG has 

ten (10) open hotline complaints in various stages 

(pending or in progress); eleven (11) hotline complaints were closed this quarter. 

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Office of Inspector General Semiannual Report to Congress 

OIG investigations: 


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

administrative, civil, and criminal violations of laws 

and regulations. 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. 

The OIG conducts a detailed examination or inquiry into issues brought to our attention by various 

sources. The examination of the information provided 

could potentially lead to an official investigation. 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. 

Currently there are five open investigations - four 

are administrative investigations; one is a criminal 

investigation. 

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April 1, 2009 - September 30, 2009 

Additional OIG Activity:
 

Besides conducting audits, inspections, and investigations, the OIG performs, and is involved in an array of additional projects and activities. As required 

by the Inspector General Act of 1978, as amended, all legislation compiled by the Commission’s 

Congressional Affairs office is reviewed by the 

Inspector General. The Inspector General 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 Inspector 

General routinely reads all Commission agenda 

items. Listed below are examples of the OIG’s additional activities: 

•	 The OIG received a Congressional inquiry requesting that our office conduct an investigation into whether the Association of Community 

Organizations for Reform Now (ACORN), and 

its affiliates, failed to comply with FEC regulations and the Federal Election Campaign Act 

(FECA). Under the IG Act, our office is prohibited from performing any FEC program functions, enforcing the laws and regulations under 

the FECA is the agency’s responsibility and 

therefore the OIG has no oversight authority 

over ACORN or any groups regulated by the 

FEC and the OIG informed the requestor that 

we could not conduct an investigation 

•	 The OIG conducted research on various legal issues such as the Clinger-Cohen Act; IG 

Authority; and OPM Policies; responded to or 

provided comments to various requests for assistance/information within the IG community, 

as well as the Integrity Committee, and the 

Legislation Committee. 

•	 The OIG conducted research and updated the 

Inspector General Management Challenges 

for inclusion in the 2009 Performance and 

Accountability Report (PAR). Research included reviewing Executive Order requirements, interviews with OMB and FEC staff. 

The Management Challenges document was 

finalized and distributed to the Commission on 

September 29, 2009. 

•	 As established by a Memorandum of 

Understanding (MOU) between the National 

Labor Relations Board (NLRB), OIG and the 

Federal Election Commission, OIG – the FEC 

OIG independently referenced a NLRB draft 

inspection report. The purpose of the independent referencing was to ensure that statements 

of facts, figures, and dates are accurately reported; the findings are adequately supported 

by the evidence in the audit documentation; 

and the conclusions and recommendations fl ow 

logically from the evidence. 

•	 Conducted survey work on the FEC’s records 

management process, drafted a discussion 

document on the history and current state of 

FEC records management processes. The OIG 

briefed the FEC staff director and provided information pertaining to the issues surrounding 

the FEC records management process. 

•	 The OIG conducted several new employee orientations (NEO) during this reporting period. 

The NEO is designed to give new employees 

an overall look at the Commission’s core divisions. The OIG introduces the new employee 

to the office and details the responsibilities of 

the OIG and the employee’s responsibilities as 

a federal employee. 

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Office of Inspector General Semiannual Report to Congress 

OIG Special Project:
 

Pictured: Ms. Mia Forgy, OIG Staff Auditor and Mr. William 

Murphy, Senior IT specialist, Information Technology Division 

(ITD) FECNet Team 

The OIG launched an Intranet website in September 

2009, with the assistance of the FEC’s Information 

Technology Division. The FEC’s Intranet (FECNet) 

serves as the interactive information resource for 

FEC employees and is only accessible by connecting to the internal FEC network. 

The development of the OIG FECNet page allows 

the OIG a vehicle to make the tools and information 

that we provide for the use and knowledge of FEC 

staff readily available. Some of the documents/information provided on the webpage include an electronic staff complaint form that FEC staff can use to 

report alleged fraud, waste or abuse within the agency; guidance for FEC staff regarding all the possible 

methods that can be used by FEC staff to report suspected fraud, waste or abuse; the OIG brochure; and 

the latest reports issued by the OIG. 

The FECNet page will be an on-going project for the 

OIG; we will continually update the FECNet page to 

share with the agency updates and changes that occur within the IG office, and highlight current events 

that take place in the OIG. 

Mr. William Murphy, Senior IT specialist from the 

Information Technology Division (ITD) FECNet Team, 

was instrumental in assisting the OIG with designing the webpage. The OIG extends a special thank 

you to Mr. Murphy for the outstanding assistance he 

provided. 

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April 1, 2009 - September 30, 2009 

Council of the Inspectors General on 

Integrity and Efficiency (cigie) Activity: 

This has been a very active and productive time for 

the CIGIE. Following the election of the first chair 

of the CIGIE much needed to be accomplished to 

get the new Council organized and functioning. As 

a member of the Executive Council of CIGIE, the 

Inspector General has participated in numerous 

meetings where things such as the Council’s charter, budget, business and staffing plans have been 

discussed prior to presentation of these issues to the 

complete membership for approval. The Executive 

Council meets monthly to discuss issues that will 

have an impact on CIGIE and its members. The 

Executive Council is also responsible for reviewing 

the nominations for key awards that will be presented at the annual awards ceremony. 

As part of the Inspector General Reform Act, the 

CIGIE was charged with providing recommendations 

to the Administration and Agency Heads concerning 

qualified candidates for Inspector General positions. 

The Inspector General, along with the Department 

of Justice Inspector General, serves as co-chair of 

the Inspector General Candidate Recommendation 

Panel. In this capacity, they have met with representatives of the White House Office of Personnel and 

various representatives from agencies to discuss 

candidates for vacant IG positions. They have also 

devised a method for receiving resumes and applications from interested candidates and the panel created a questionnaire for all interested applicants to 

complete. During this quarter, the panel met several 

times and conducted numerous conference calls to 

discuss candidates in relation to open IG positions. 

The Inspector General also attends the monthly 

CIGIE meetings and is Vice Chair of the Professional 

Development Committee. The Inspector General attended the 2009 CIGIE Annual Leadership Training 

Conference and served as moderator for one of the 

panels. 

13 
 

 

Office of Inspector General Semiannual Report to Congress 

OIG Contacts
 

The table below indicates the total amount of contacts received by the Office of Inspector General for the past 

six months – April 1, 2009 through September 30, 2009. 

These contacts were made through various sources such as telephone calls, e-mails, faxes, U.S. mail, and personal visits to the OIG. 

Total 

Contacts 

OIG 

Action 

No Action 

Necessary 

Forwarded 

for Action 

856
 34
 805
 17
 

14 
April 1, 2009 - September 30, 2009 

List of Training, Meetings 

and Conferences 

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, 2009 – September 30, 2009. 

Host/Sponsor Topic/Subject 

CIGIE 

Monthly Meetings 

Executive Council Meetings 

Professional Development Committee Meetings 

Inspections and Evaluation Conference 

Annual Leadership Training Conference 

Financial Statement Audit Network (FSAN) Meetings 

Council of Counsels to the Inspectors General Monthly CCIG Meetings 

Assistant Inspector General for Investigations AIGI Annual Conference 

Quarterly Meetings 

Federal Audit Executive Council FAEC Conference 

Federal Dispute Resolution Conference FDR Conference 

Association of Certified Fraud Examiners ACFE Conference 

Association of Government Accountants 

Conference AGA Professional Development Conference 

Professional Women Network PWN International Conference 

Management Concepts Contracting Offi cers Technical Representative 

(COTR) Training 

Federal Law Enforcement Training Center IG Basic Non-Criminal Investigator Training 

DC Bar Federal Sector Employment Disputes Training 

(cont.)
 

15 
Office of Inspector General Semiannual Report to Congress 

Host/Sponsor Topic/Subject 

Capitol.Net Capitol Hill Workshop: Politics, Policy, and 

Process Training 

Human Resources Institute Upward Mobility For Federal Employees Training 

Introduction to Project Management Training 

Federal Election Commission 

Cyber Space Advanced Persistent Threat Briefi ng 

Weekly Directors’ Meetings 

Agency Town Hall Meeting 

OIG Bi-weekly Staff Meetings 

Administrative Liaison Group Meeting 

2009 Ethics Training 

2009 No Fear Act Training 

Computer Security Awareness Training 

SkillPort – Communication Skills For Successful 

Management Training 

16 
April 1, 2009 - September 30, 2009 

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 11 

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

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

and Defi ciencies 

None 

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

Action Has Not Been Completed (Table III) 

20 

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 Signifi cant Reports 5 

Section 5(a)(8) Questioned and Unsupported Costs (Table I) 18 

Section 5(a)(9) Recommendations that Funds be put to Better Use (Table II) 19 

Section 5(a)(10) 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)(11) Significant revised Management Decisions N/A 

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

in Disagreement 

None 

17 
Offi ce of Inspector General Semiannual Report to Congress

18

TABLE I

INSPECTOR GENERAL ISSUED REPORTS WITH QUESTIONED COSTS 

(DOLLAR VALUE IN THOUSANDS)

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
April 1, 2009 - September 30, 2009 

TABLE II 

INSPECTOR GENERAL ISSUED REPORTS WITH RECOMMENDATIONS THAT 

FUNDS BE PUT TO BETTER USE 

Number Dollar Value 

(In Thousands) 

A. For which no management decision has been made by the 0 0 

commencement of the reporting period 

B. Which were issued during the reporting period 0 0 

C. For which a management decision was made during the re­ 0 0 

porting period 

(i) dollar value of recommendations were agreed to by 0 0 

management 

based on proposed management action 0 0 

based on proposed legislative action 0 0 

(ii) dollar value of recommendations that were not agreed to 0 0 

by management 

D. For which no management decision has been made by the 0 0 

end of the reporting period 

E. Reports for which no management decision was made within 0 0 

six months of issuance 

19 
Office of Inspector General Semiannual Report to Congress 

TABLE III 

SUMMARY OF AUDIT REPORTS WITH CORRECTIVE ACTIONS OUTSTANDING FOR MORE 

THAN SIX MONTHS 

Recommendations 

Report Title Report 

Number 

Issue Date Number Closed Open 

Audit of the FEC’s Employee 

Transit Program 

OIG-06-01 02/07 21 0 21 

2007 Performance Audit of 

Privacy and Data 

OIG-07-02 12/07 7 0 7 

Audit of the FEC’s FY 2008 

Financial Statements 

OIG-08-01 11/08 19 0 19 

20 
April 1, 2009 - September 30, 2009

21

Federal Election Commission 

Office of Inspector General 

Fiscal Year 2010 

Work Plan

Lynne A. McFarland 

Inspector General 

_________________________________________________________________________________________________

Semiannual Report to Congress Page 27 April 1, 2009 – September 30, 2009 
Office of Inspector General Semiannual Report to Congress 

This Page Intentionally Left Blank 

22 
April 1, 2009 - September 30, 2009

23

FEDERAL ELECTION COMMISSION 

WASHINGTON, D.C. 20463 

Office of Inspector General

A Message from the Inspector General 

I am pleased to present to the Commission the Office of Inspector General’s 

(OIG) fiscal year (FY) 2010 Annual Work Plan. This work plan includes a 

description of audit, investigative and special projects planned for the fiscal year. 

This plan also sets forth the OIG’s formal strategy for identifying priority issues 

and managing its workload and resources for FY 2010. Successful execution of this 

plan will enable the OIG to provide the highest quality work products to our 

stakeholders and to assist the FEC in meeting its strategic mission, goals and 

objectives. 

The U.S. Federal Election Commission’s (FEC) mission is to prevent 

corruption in the Federal campaign process by administering, enforcing and 

formulating policy with respect to Federal campaign finance statutes. The OIG is 

committed to ensuring the integrity of FEC programs and operations. The 

development and continual updating of the OIG’s work plan is a critical aspect of 

accomplishing the OIG’s objectives to promote economy and efficiency in FEC 

programs and to detect and prevent fraud, waste and abuse. Effective work 

planning ensures that audit and investigative resources are used effectively and 

efficiently. I look forward to a successful year of providing the highest quality of 

audit and investigative support and service to our stakeholders. 

I am also committed to ensuring effective lines of communication with the 

Commission regarding OIG work activities and issues of concern and importance to 

the Commission. Information on OIG work activity will be reported to the 

Commission in quarterly reports and also in the OIG’s Semiannual Reports to 

Congress. 

Lynne A. McFarland 

Inspector General 

Federal Election Commission 

October 1, 2009
Offi ce of Inspector General Semiannual Report to Congress

24

The Federal Election Commission 

In 1975, Congress created the Federal Election Commission (FEC) to 

administer and enforce the Federal Election Campaign Act (FECA). 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 is made up 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 has a full 

complement of Commissioners – Steven T. Walther; Matthew S. Petersen; Cynthia 

L. Bauerly; Caroline C. Hunter; Donald F. McGahn, II; and Ellen L. Weintraub.

Office of Inspector General 

The Inspector General Act of 1978 (P.L. 100-504), as amended, states that the 

Inspector General is responsible for: 1) conducting and supervising audits and 

investigations relating to the Federal Election Commission’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 OIG budget request for fiscal year 2010 is 

$1,116,762 to cover salaries and related expenses for six staff members, to include 

audit contracts and training. Exhibit 1 on the following page contains the OIG’s 

organizational chart. 
April 1, 2009 - September 30, 2009

25

Exhibit 1: FEC - OIG Organizational Chart

Dorothy Maddox-Holland Lynne A. McFarland

Special Assistant to the Inspector General Inpsector General

Joe Duncan Jon Hatfield

Counsel to the IG Deputy Inspector General Chief Investigator

Irene Porter

Sr. Auditor

Mia Forgy

Staff Auditor

OIG Strategic Planning 

Strategic Plan 

To enhance the effectiveness of the OIG, and to ensure effective audit and 

investigative coverage of the Commission’s programs and operations, in 2005 the 

OIG updated our strategic plan covering the period 2005 through 2010. Three 

major categories of OIG-wide goals and objectives were identified, which are as 

follows: 

x OIG Products: To provide products and services that promote positive 

change in FEC policies, programs, and operations. 

x OIG Processes: To develop and implement processes, policies, and 

procedures to ensure the most effective and appropriate use of OIG resources 

in support of our people and products. 

x OIG Staff: To maintain a skilled and motivated work force in an 

environment that fosters accountability, communications, teamwork, and 

personal and professional growth. 
Offi ce of Inspector General Semiannual Report to Congress

26

In addition, strategies and performance measures for each objective are 

included in the strategic plan. For example, an OIG performance measure for 

audits includes using feedback from stakeholder surveys to continually improve the 

OIG’s audit process. At the conclusion of each audit/inspection/review, the OIG 

distributes a stakeholder survey to the program officials to solicit their feedback on 

the usefulness of the completed audit and their overall satisfaction with the audit 

process. 

The OIG strategic plan will continue to evolve and will be reviewed and 

updated as necessary to ensure maximum effectiveness in meeting the changing 

needs of the FEC, consistent with the OIG’s statutory responsibilities. A detailed 

illustrative version of the OIG’s strategic plan can be found as an attachment of this 

Annual Work Plan. 

Annual Planning and Methodology Strategies

The planning methodology that we have adopted is built around the OIG staff 

brainstorming sessions held annually each summer, as well as soliciting and 

receiving feedback and ideas from stakeholders throughout the year. The annual 

work plans will, of course, require periodic updates to reflect changes, such as new 

priorities, as well as any changes in OIG resources. In the summer of 2009, the 

OIG conducted our second annual all-day brainstorming session. Similar to 2008, 

the ideas and suggestions generated from the brainstorming session were separated 

into categories to include audits, projects and inspections, and then ranked (i.e., 

high, medium and low) according to priority. 

In anticipation of the OIG annual brainstorming sessions, the OIG sends an 

e-mail to all FEC staff seeking input in formulating the OIG’s work plans. 

Historically, the OIG receives useful audit suggestions from FEC staff which are 

then considered during the annual planning process. 

The OIG planning process is designed to yield work assignments that will 

identify opportunities for economy, efficiency and effectiveness in FEC programs 

and operations; and detect and prevent fraud, waste, abuse and mismanagement. 

The priority for conducting work assignments is based on (1) mandatory legislative 

requirements; (2) emphasis by the President, Congress, and the Commission; (3) a 

program’s susceptibility to fraud, manipulation, or other irregularities; (4) dollar 

magnitude or resources involved in the proposed area; (5) management needs 

identified through consultation with primary organization heads; (6) newness, 

changed conditions, or sensitivity of an organization; (7) the extent of outstanding 

issues resulting from prior audit coverage or review by OIG; and (8) the adequacy of 

internal control systems in place for the program or other factors. 
April 1, 2009 - September 30, 2009

27

Based on the results of the OIG’s planning process, the OIG’s annual work 

plan is divided into three primary categories: 

(1) Audits/Inspections/Reviews; 

(2) Investigative Program; and 

(3) Special Projects. 

OIG 2010 Work Plan 

AUDITS/INSPECTIONS/REVIEWS 

 

The term “audit” is used to describe work performed by auditors in examining 

financial statements, as well as work performed in reviewing compliance with 

applicable laws and regulations, the economy and efficiency of operations, and the 

effectiveness in achieving program results. These audits are prepared in accordance 

with generally accepted government auditing standards and vary in scope and 

complexity. Inspections and reviews are conducted in accordance with quality 

standards issued by the federal Inspector General community. 

For Fiscal Year 2010, the following audit related assignments are planned:

1. Audit of the Federal Election Commission’s 2009 and 2010 Financial 

Statements. 

In accordance with the Accountability of Tax Dollars Act of 2002, the FEC is 

required to prepare annual financial statements in accordance with Office of 

Management and Budget (OMB) Circular No. A-136, Financial Reporting 

Requirements. The Chief Financial Officers Act of 1990, as amended, 

requires the FEC Inspector General, or an independent external auditor 

selected by the IG, to audit the agency financial statements.

We will oversee the audit conducted by the OIG’s independent public 

accounting firm Leon Snead & Company. The OIG is responsible for 1) 

reviewing the auditor’s approach and planning of the audit; 2) evaluating the 

qualifications and independence of the auditors; 3) monitoring the work of 

the auditors; 4) examining audit documents and reports to ensure compliance 

with Government Auditing Standards, and OMB Bulletin No. 07-04, Audit 

Requirements for Federal Financial Statements, as revised; and 5) other 

procedures the OIG deems necessary to oversee the contract and audit. 

Planned period of audit: May 2009 – November 2009; 

May 2010 – November 2010. 
Offi ce of Inspector General Semiannual Report to Congress

28

2. Audit of the Federal Election Commission’s Property Management 

Controls. 

We will conduct an audit of the controls over FEC property, to include 

Blackberry/cellular telephones, FEC vehicles and fleet/fuel charge cards. The 

scope of this audit will include a review of Commission internal controls over 

FEC property from fiscal year (FY) 2007 to present. The audit will assess the 

adequacy of: (1) policies and procedures for managing the assets; (2) business 

processes used to manage the assets; and (3) management control activities 

used to detect and correct potential fraud, waste and abuse of the assets. The 

OIG will also conduct detailed testing of asset use to determine whether 

employees complied with FEC policies and procedures. 

Planned period of audit: September – November 2009. 

3. Audit Follow-up of the OIG’s 2007 Performance Audit of Privacy and 

Data Protection. 

We will conduct an audit follow-up of the 2007 audit of privacy and data 

protection, an audit conducted by an independent public accounting firm on 

behalf of the OIG. 

In 2007, the OIG contracted with Cotton & Company, LLP to conduct a 

performance audit of privacy and data protection policies and procedures and, 

specifically, to determine whether the FEC is adequately protecting 

personally identifiable information (PII). The auditors reported seven 

separate findings and provided thirteen recommendations for improving 

privacy practices at the FEC. The purpose of the audit follow-up will be to 

determine whether FEC management has taken adequate steps to implement 

agreed upon actions on OIG recommendations contained in the 2007 audit 

report. 

Planned period of audit: Early 2010. 

4. Audit Peer Review. 

The OIG will conduct an audit peer review of the Commodity Futures 

Trading Commission OIG as part of the Council of Inspectors General on 

Integrity and Efficiency’s audit peer review program. Government Auditing 

Standards require audit organizations to have an external review of their 

quality control system at least every three years. The FEC OIG is scheduled 

to be peer reviewed in FY 2011. 

Planned period of review: May – June 2010. 
April 1, 2009 - September 30, 2009

29

5. Audit Policies and Procedures Manual. 

The OIG’s current audit policies and procedures manual will be updated and 

finalized during the fiscal year to reflect changes in auditing standards and 

changes in the OIG’s audit environment, to include the use of electronic 

working papers. 

6. Additional Work Assignments. The following additional assignments 

may be undertaken during fiscal year 2010 based on available OIG 

resources, timing of management’s implementation of audit 

recommendations, benefit to the agency and other relevant factors. 

Priorities may be adjusted to reflect emerging issues during the 

fiscal year. 

a. Inspection of the FEC’s Employee/Contractor Background Investigation 

Program. 

b. Audit Follow-up of the OIG’s Transit Benefit Program Audit. 

c. Audit Follow-up of the OIG’s 2009 Procurement and Contract 

Management Audit. 

d. Inspection of the FEC’s Occupant Emergency Program. 

e. Audit of the FEC’s Physical Security / Protection of FEC Records. 

f. Audit of the FEC’s Training Program. 

g. Audit of the FEC’s Debt Collection / Civil Penalties Program. 
Offi ce of Inspector General Semiannual Report to Congress

30

INVESTIGATIVE PROGRAM 

The OIG’s investigative program is intended to add value to the agency’s 

programs and operations by identifying and investigating allegations of fraud, 

waste, abuse and misconduct leading to criminal, civil, and administrative penalties 

and recoveries. Investigations typically originate as hotline complaints and may 

result in formal investigations if the OIG believes an investigation is warranted. 

The OIG’s investigative program also provides for initiatives designed to monitor 

specific high-risk areas within FEC programs and operations in order to proactively 

identify vulnerabilities in order to prevent fraud, waste and abuse. 

For Fiscal Year 2010, the following investigative assignments are planned:

1. Manage Hotline Complaints and Investigation Caseload. 

We will respond to hotline complaints during the fiscal year and report in a 

timely manner to the appropriate officials on the resolution of hotline 

complaints and investigations. 

2. Outsource OIG Hotline. 

During the fiscal year, the OIG is planning to contract with a vendor to provide 

a hotline service. Hotline complaints and investigations will continue to be 

handled by OIG staff, however, the outsourced OIG hotline will provide FEC 

employees, contractors and interested parties with an additional mechanism to 

submit complaints of fraud, waste, abuse and misconduct to the OIG. 

3. Investigations Manual. 

The OIG plans to update and finalize the OIG’s investigations manual during 

the fiscal year. 

4. Proactive Investigative Initiatives. 

The OIG will initiate proactive reviews involving high-dollar and high-risk 

programs and operations of the agency. In addition, the OIG has identified 

several agency data systems, such as financial related systems, and plans to 

pursue direct read-access for OIG personnel as part of the OIG’s proactive 

initiatives to prevent fraud, waste, abuse and misconduct. 
April 1, 2009 - September 30, 2009

31

5. Outreach. 

During the fiscal year, the OIG will conduct fraud awareness and OIG 

briefings with division management and staff. The fraud briefings are 

intended to educate FEC staff about the potential for fraud in FEC programs, 

such as travel, workers’ compensation, time and attendance, and government 

charge card activity. Discussion and education on fraud will help employees 

to identify and report suspected fraud and help reduce the number of fraud 

cases. In addition, the OIG will continue the new employee orientation 

program to meet with all new employees to discuss the purpose and mission 

of the OIG. Lastly, the OIG will review and revise, as necessary, the OIG’s 

FECNet (intranet) site, public Web site, OIG brochure, fraud poster, and 

other outreach initiatives. 

SPECIAL PROJECTS 

 In addition to the OIG’s audit and investigative responsibilities, the OIG will 

be responsible for numerous additional projects and activities during fiscal year 

2010. For example, as required by the Inspector General Act of 1978, as amended, 

all legislation compiled by the Commission’s Congressional Affairs Office is 

reviewed by the Inspector General. The Inspector General and staff also participate 

in several federal Inspectors General community working groups on topics related 

to law, audits, and investigations. All of these activities contribute to the success 

and mission of the OIG. Additional special projects will arise throughout the fiscal 

year and the OIG will prioritize our workload to respond to the additional 

requirements. 

For Fiscal Year 2010, the following special projects and activities are planned:

1. Participate and Attend Professional Working Group and Other 

Meetings. 

The Inspector General or OIG staff will regularly attend the following 

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

professional working group meetings: CIGIE; Executive Council of CIGIE; 

CIGIE Professional Development Committee; IG Candidate 

Recommendations Panel Committee; IG Council of Counsels; Assistant 

Inspector General for Investigations; Federal Audit Executive Council; and 

Financial Statement Audit Network Group. 
Offi ce of Inspector General Semiannual Report to Congress

32

In addition to CIGIE professional working group meetings, the Inspector 

General or staff will regularly attend FEC weekly senior level meetings, and 

quarterly management and FEC town-hall meetings during the fiscal year. 

2. Semiannual and Quarterly Reporting. 

In accordance with the Inspector General Act of 1978, as amended, the OIG 

will prepare and transmit to the Congress semiannual reports on the 

activities of the OIG. Semiannual reports summarize OIG activities during 

the immediately preceding six-month periods ending March 31st and 

September 30th of each year. OIG semiannual reports are also provided to 

the Commission. The OIG will also report on a quarterly basis to the 

Commission on the activities of the office. 

3. Professional Development and Training. 

The goal of the OIG’s training program is to provide cost effective training to 

increase professional knowledge and proficiency, and ensure staff meet 

continuing professional educational requirements. As a result, the OIG staff 

will attend professional training and conferences during the fiscal year to 

maintain and improve their knowledge, skills and abilities. 

4. Audit Follow-up Tracking Database. 

The OIG will complete and implement the OIG’s new audit follow-up tracking 

database during fiscal year 2010. In partnership with the FEC’s Information 

Technology Division, the OIG is developing the database to assist the FEC to 

adhere to the requirements of the Office of Management and Budget’s 

Circular A-50, Audit Followup, September 29, 1982. The audit follow-up 

database will be an important tool for the Commission, management, 

program officials and OIG to monitor and track the status and 

implementation of audit recommendations by the OIG, Government 

Accountability Office, Office of Personnel Management, and other oversight 

bodies. 
 

 

April 1, 2009 - September 30, 2009 

FEC/OIG Strategic Plan - Fiscal Years 2005 – 2010
 

OIG Products: To provide products 

and services that promote positive 

change in FEC policies, programs, and 

operations. 

OIG Process: To develop and implement 

processes, policies, and procedures to ensure 

the most effective and appropriate use of OIG 

resources in support of our people and 

products. 

OIG Staff: To maintain a skilled and motivated 

work force in an environment that fosters 

accountability, communications, teamwork, and 

personal and professional growth. 

Objective A: Deliver timely, high-quality 

products and services that promote 

positive change. 

Strategy: 

- establish common OIG standards for communicating 

results; 

- conduct quality assurance programs; 

- solicit appropriate internal and external review and 

comment; 

- comply with applicable statutory guidelines and 

standards; 

- set realistic and appropriate milestones. 

Objective B: Address priority issues 

and concerns of the Commission, 

Management, and Congress. 

Strategy: Perform work that supports; 

- Federal Election Commission and Congressional 

priorities; 

- Strategic Management Initiative efforts; 

Focus OIG attention in the following areas of 

emphasis: 

- managing change; 

- resource allocation in relation to policy objectives; 

- delivery of client service; 

- causes of fraud and inefficiency; and, 

- automation and communication. 

Objective C: Follow-up and evaluate 

results of OIG products and services to 

assess their effectiveness in promoting 

positive change. 

Strategy: 

- Identify, as appropriate, lessons learned to improve 

timeliness and quality; and, 

- conduct follow-up reviews to determine if intended 

results have been achieved. 

Objective D: Satisfy customers, 

consistent with the independent nature 

of the OIG. 

Strategy: 

- establish professional communication and 

interaction with customers to promote the open 

exchange of ideas; 

- incorporate customer feedback, as appropriate; and, 

- be open to customer-generated solutions and 

options. 

Performance Measures: Determine the 

timeliness and quality of products and 

services; their effectiveness in 

promoting positive change; and, reach 

agreement with management on at least 

90% of recommendations within six 

months of the report issue date. 

Objective A: Maintain a dynamic strategic 

planning process. 

Strategy: 

- periodically review and update the strategic plan to 

address changing OIG and FEC priorities; and, 

- identify factors that influence organizational change 

and develop short and long term plans to address them. 

Objective B: Plan and conduct costeffective work that address critical issues 

and results in positive change. 

Strategy: 

- solicit FEC and Congressional input in planning OIG 

activities; 

- develop internal planning mechanisms to support FEC 

goals and priorities; 

- ensure that priorities of IG are effectively 

communicated; and, 

- identify specific targets for OIG review that are the most 

cost-effective 

Objective C: Identify customer needs and 

provide products and services to meet 

them. 

Strategy: 

- establish new customer feed back mechanisms; 

- consider and evaluate customers feedback when 

planning and developing products and services; 

- respond to Congressional inquires and request for 

briefing and testimony; 

- promote open exchange of ideas and information 

through outreach and through use of e-mail; and, 

- receive, evaluate, and respond, as appropriate, to 

information received through the OIG hotline and other 

sources. 

Objective D: Implement efficient, effective, 

and consistent resolution and follow-up 

procedures. 

Strategy: 

- ensure that IG follow-up procedures are followed and 

that management is aware of their role in the process; 

- establish common OIG standards for terminology, date 

maintenance and communications. 

Objective E: Establish a positive and 

productive working environment. 

Strategy: 

- reengineer or streamline OIG procedures to achieve the 

most effective use of resources; and, 

- ensure that necessary technologies, evolving and 

otherwise, are made available to staff as needed. 

Performance Measures: An annual audit 

plan is issued; strategic plan is periodically 

reviewed; and, necessary technology is 

provided to staff to enable them to most 

efficiently perform their duties. 

Objective A: Attract and retain well-qualified, 

diverse and motivated employees. 

Strategy: 

- develop and implement a comprehensive recruiting program 

that attracts a broad population with the knowledge, skills, 

abilities, and expertise necessary to make meaningful 

contributions to the OIG; 

- assess employee satisfaction and develop strategies to 

address employee concerns; 

- identify reasons for staff departures and develop plans to 

foster greater staff retention; and, 

- adhere to EEO principles and strive to maintain a diverse work 

force. 

Objective B: Provide training and 

developmental opportunities to employees. 

Strategy: 

- assess training needs in relation not only to employee but also 

office needs as well; 

- ensure that Government Auditing Standards in relation to 

training are adhered to; and, 

- maintain a reporting system to ensure that educational 

requirements are met. 

Objective C: Assess, recognize, and reward, 

when possible, performance that contributes to 

achieving the OIG mission. 

Strategy: 

- develop and articulate expectations for each employee's 

performance, including contributions in meeting the mission & 

goals of the OIG; and, 

- ensure that rewards, when possible, are given in recognition of 

exceptional employee performance. 

Objective D: Create and maintain a working 

environment that promotes teamwork and 

effective communication. 

Strategy: 

- ensure that communication between employees is open; 

- provide employees with the tools and incentives they need to 

adequately perform their duties. 

Performance Measures: All employees meet 

the training requirements; all employees have 

performance standards; and all employees 

meet the basic requirements for the position in 

which they were hired to perform. 

33 
CONTACTING THE 

OFFICE OF INSPECTOR GENERAL 

The success of the OIG mission to prevent fraud, waste, and abuse depends on the cooperation of FEC employees (and the public). There are several ways to report questionable activity. 

Call us at 202-694-1015 (A confidential or anonymous message can be left 24 

hours a day) or toll-free 1-800-424-9530 (press 0; then dial 1015 

Mon–Fri 8:30 AM – 5:00 PM). 

Write or visit us - we are located at: Federal Election Commission 

Office of Inspector General 

999 E Street, N.W., Suite 940 

Washington, D.C. 20463 

Mail is opened by OIG staff members only. 

You can also fax us at 202-501-8134 or contact us by e-mail at: oig@fec.gov. 

Website address: http://www.fec.gov/fecig/fecig.shtml
 

Individuals may be subject to disciplinary or criminal action for knowingly making a false complaint or providing false information.