Department of the Treasury 

Office of Inspector General 

Congressional Budget 

Justification and Annual 

Performance Plan and Report 

FY 2023 
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Table of Contents

Section I – Budget Request........................................................................................................... 3

A – Mission Statement ................................................................................................................ 3

B – Summary of the Request ...................................................................................................... 3

1.1 – Appropriations Detail Table .......................................................................................... 4

1.2 – Budget Adjustments Table ................................................................................................. 5

C – Budget Increases and Decreases Description ....................................................................... 5

1.3 – Object Classification (Schedule O) Obligations ................................................................ 6

D – Appropriations Language and Explanation of Changes ...................................................... 7

E – Legislative Proposals ............................................................................................................ 7

Section II – Annual Performance Plan and Report ................................................................... 8

A – Strategic Alignment ............................................................................................................. 8

B – Major challenges and risks for Treasury .............................................................................. 8

C – Budget and Performance by Budget Activity .................................................................... 13

2.1.1 – Audit Resources and Measures ..................................................................................... 13

Audit Budget and Performance ................................................................................................. 13

2.1.2 – Investigations Resources and Measures ........................................................................ 14

Investigations Budget and Performance ................................................................................... 14

C – Changes in Performance Measures .................................................................................... 16

Section III – Additional Information ........................................................................................ 16

A – Summary of Capital Investments ....................................................................................... 16

 
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Section I – Budget Request 

A – Mission Statement 

To promote the integrity, efficiency, and effectiveness in programs and operations within the 

Department of the Treasury and OIG’s jurisdictional boundaries. 

B – Summary of the Request 

The FY 2023 request for $43,878,000 for the OIG will be used to fund audit, investigative, and 

mission support activities to meet the requirements of the Inspector General Act of 1978, as 

amended, and other statutes including, but not limited to: the Cybersecurity Act of 2015; DoddFrank Wall Street Reform and Consumer Protection Act (Dodd-Frank); Federal Information 

Security Modernization Act of 2014 (FISMA); Federal Information Technology Acquisition 

Reform Act; Government Management Reform Act; Payment Integrity Information Act of 2019 

(PIIA); Government Charge Card Abuse Prevention Act of 2012; Federal Deposit Insurance Act; 

Small Business Jobs Act of 2010; Resources and Ecosystems Sustainability, Tourist 

Opportunities, and Revived Economies of the Gulf Coast States Act of 2012 (RESTORE); the 

Coronavirus Aid, Relief, and Economic Security Act (CARES Act); the Consolidated 

Appropriations Act, 2021; and the American Rescue Plan Act (ARP). Specific mandates include: 

(1) audits of the Department’s financial statements (2) audits or evaluations of the Department’s 

information systems security program and practices as required by FISMA, (3) assessments of 

the Department’s cyber security information sharing, (4) audits of improper payments and 

recoveries under PIIA, (5) risk assessments and audits of charge card programs, and (6) material 

loss reviews of failed insured depositary institutions regulated by the Office of the Comptroller 

of the Currency (OCC). 

 

The OIG will also conduct audits of the Department’s highest risk programs and operations, and 

respond to stakeholder requests for specific work, including: (1) operating in an uncertain 

environment, (2) cyber threats, (3) Bank Secrecy Act, anti-money laundering, and anti-terrorist 

financing enforcement, (4) efforts to promote spending transparency and to prevent and detect 

improper payments, (5) information technology acquisition and project management; and (6) 

certain Treasury Pandemic Relief programs. 

Within its jurisdictional boundaries, the OIG also conducts audit of the highest risk programs and 

operations of Gulf Coast Ecosystem Restoration Council (Council) established under RESTORE. 

The highest risk programs and operations identified as the Council’s management and performance 

challenge include: (1) Federal statutory and regulatory compliance, (2) grant and interagency 

agreement compliance monitoring, and (3) Loss of Key Leadership Over Administration of Gulf 

Coast Restoration Activities. 

The OIG will continue its investigative work to prevent, detect, and investigate complaints of 

fraud, waste, and abuse impacting Treasury programs and operations. This includes the detection 

and prevention or deterrence of employee misconduct and fraud. 

 
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Office of Inspector General’s FY 2023 Budget Request 

In accordance with the requirements of Section 6(f)(1) of the Inspector General Act of 1978, as 

amended, the Treasury Inspector General submits the following information relating to the 

OIG’s requested budget for FY 2023: 

 The aggregate budget request for the operations of the OIG is $55,878,000 comprised of 

$43,878,000 from direct appropriations, and $12,000,000 from reimbursable collections; 

 The portion of this amount needed for OIG training is $650,000; and 

 The portion of this amount estimated in support the Council of Inspectors General on 

Integrity and Efficiency (CIGIE) is $92,500. 

The amount requested for training satisfies all OIG training needs for FY 2023. 

1.1 – Appropriations Detail Table 

Dollars in Thousands 

 FY 2021 FY 2022 FY 2023 FY 2022 to FY 2023 

Appropriated Resources Operating Plan1 Annualized CR Request % Change 

New Appropriated Resources FTE AMOUNT FTE AMOUNT FTE AMOUNT FTE AMOUNT 

Audit 145 

 

29,324 144 

 

30,521 144 

 

32,198 0.0% 5.5% 

Investigations 44 

 

10,120 46 

 

10,520 46 

 

11,680 0.0% 11.0% 

Subtotal New Appropriated Resources 189 $39,444 190 $41,041 190 $43,878 0.0% 6.9% 

Other Resources 

Reimbursables - Annual 0 

 

8,061 0 

 

12,000 0 

 

12,000 NA 0.0% 

Reimbursable – SSBCI 0 400 0 1,000 0 1,000 NA 0.0% 

Resources from Other Accounts 0 

 

8,000 0 

 

10,959 0 

 

10,122 NA -7.6% 

Subtotal Other Resources 0 $16,461 0 $23,959 0 $23,122 0.0% -7.6% 

Total Budgetary Resources 189 55,905 190 $65,000 190 $67,000 0.0% 3.1% 

FY 2021 Other Resources and Full-time Equivalents reflect actuals. In FY 2021, additional appropriated resources were provided by the Consolidated Appropriations Act of 2021 and the American Rescue Plan 

Act of 2021 that are not included above: 

1. $3 million for oversight of the Emergency Rental Assistance program 

2. $6.5 million for oversight of the Emergency Rental Assistance program 

3. $2.6 million for oversight of the Homeowner Assistance Fund 

4. $35 million for oversight of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) (Funding received in FY 2020) 

5. $10 million for SSBCI (Small Business Jobs Act of 2010) starting in 2021 with $400k and thereafter, $1M each year. 
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1.2 – Budget Adjustments Table 

Dollars in Thousands 

 FTE Amount 

FY 2022 Annualized CR 190 $41,041 

Changes to Base: 

Maintaining Current Levels (MCLs): 0 $1,516 

Pay Annualization (2.7% average pay raise) 0 $211 

Pay Raise (4.6% average pay raise) 0 $1,083 

Non-Pay 0 $222 

Other Adjustments: 

Adjustments to Meet Current Operating Levels 0 $1,321 

 Subtotal Changes to Base 0 $2,837 

FY 2023 Current Services 190 $43,878 

FY 2023 President's Budget Request 190 $43,878 

C – Budget Increases and Decreases Description 

Maintaining Current Levels (MCLs) ........................................................+$1,516,000 / +0 FTE 

Pay Annualization (2.7%) +$211,000 / +0 FTE 

Funds are requested for annualization of the January 2022 2.7% average pay raise. 

Pay Raise (4.6% in 2023) +$1,083,000 / +0 FTE 

Funds are requested for a 4.6% average pay raise in January 2023. 

Non-Pay +$222,000 / +0 FTE 

Funds are requested for non-labor expenses such as travel, contracts, rent, supplies, 

and equipment. 

Other Adjustments .....................................................................................+$1,321,000 / +0 FTE 

Adjustments to Meet Current Operating Levels +$1,321,000 / +0 FTE 

Treasury requests adjustments to realize current services operating levels. Current Operating 

Levels include the annualization of the January 2021 1.0% average pay raise, 2.7% average pay 

raise in January 2022, FY 2022 FERS contribution increases and FY 2022 non-labor expenses 

self-funded from FY 2021 enacted levels. 
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1.3 – Object Classification (Schedule O) Obligations 

Dollars in Thousands 

 FY 2021 FY 2022 FY 2023 

Object Classification1

Actual 

Obligations 

Estimated 

Obligations 

Estimated 

Obligations 

11.1 - Full-time permanent 22,000 27,000 28,000 

11.5 - Other personnel compensation 1,312 1,000 1,000 

11.9 - Personnel Compensation (Total) 23,312 28,000 29,000 

12.0 - Personnel benefits 9,000 10,000 11,000 

Total Personnel and Compensation Benefits $32,312 $38,000 $40,000 

21.0 - Travel and transportation of persons 0 1,000 1,000 

23.1 - Rental payments to GSA 0 4,000 4,000 

23.3 - Communications, utilities, and miscellaneous charges 0 1,000 1,000 

25.1 - Advisory and assistance services 1,100 0 0 

25.2 - Other services from non-Federal sources 9,417 10,000 9,000 

25.3 - Other goods and services from Federal sources 10,475 12,000 12,000 

31.0 - Equipment 667 0 0 

Total Non-Personnel $21,659 $28,000 $27,000 

Total Obligations $53,971 $66,000 $67,000 

 

Full-time Equivalents (FTE) 189 190 190 

FY 2021 Other Resources and Full-time Equivalents reflect actuals. In FY 2021, additional appropriated resources were provided by the Consolidated Appropriations Act of 2021 and the American Rescue Plan 

Act of 2021 that are not included above: 

1. $3 million for oversight of the Emergency Rental Assistance program 

2. $6.5 million for oversight of the Emergency Rental Assistance program 

3. $2.6 million for oversight of the Homeowner Assistance Fund 

4. $35 million for oversight of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) (Funding received in FY 2020) 

5. $10 million for SSBCI (Small Business Jobs Act of 2010) starting in 2021 with $400k and thereafter, $1M each year. 
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D – Appropriations Language and Explanation of Changes 

Appropriations Language Explanation of Changes 

DEPARTMENT OF THE TREASURY 

OFFICE OF INSPECTOR GENERAL 

Federal Funds 

SALARIES AND EXPENSES 

For necessary expenses of the Office of Inspector General in 

carrying out the provisions of the Inspector General Act of 1978, 

$43,878,000, including hire of passenger motor vehicles; of 

which not to exceed $100,000 shall be available for unforeseen 

emergencies of a confidential nature, to be allocated and 

expended under the direction of the Inspector General of the 

Treasury; of which up to $2,800,000 to remain available until 

September 30, 2024, shall be for audits and investigations 

conducted pursuant to section 1608 of the Resources and 

Ecosystems Sustainability, Tourist Opportunities, and Revived 

Economies of the Gulf Coast States Act of 2012 (33 U.S.C. 1321 

note); and of which not to exceed $1,000 shall be available for 

official reception and representation expenses.

Note.—A full-year 2022 appropriation for this account was not 

enacted at the time the budget was prepared; therefore, the budget 

assumes this account is operating under the Continuing 

Appropriations Act, 2022 (Division A of P.L. 117-43, as 

amended). The amounts included for 2022 reflect the annualized 

level provided by the continuing resolution. 

E – Legislative Proposals 

The OIG has no legislative proposals. 

 
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Section II – Annual Performance Plan and Report 

A – Strategic Alignment 

This year, through the audit and investigative functions the OIG is working to align budget activities 

and performance measures to the new objectives in the Treasury FY 2022 – 2026 Strategic Plan. This 

work will include benchmarking performance and may result in changes to performance measures in 

the FY 2024 budget. The OIG will publish a component plan that aligns bureau activities and 

priorities to the Department’s by early spring 2022.

The FY 2023 requested resources will enable the OIG to perform audits and investigations of 

Treasury programs and operations under its jurisdiction, except for those of the Internal Revenue 

Service (IRS), the Troubled Asset Relief Program (TARP), the Special Inspector General for 

Pandemic Recovery (SIGPR), and to keep the Secretary of the Treasury and Congress fully 

informed of problems, deficiencies, and the need for corrective action. By statute, the OIG also 

performs oversight of the Gulf Coast Ecosystem Restoration Council, an independent Federal 

entity. 

B – Major challenges and risks for Treasury 

New Mandates 

While Treasury continues transitioning key senior leadership positions and implementing new 

initiatives and programs, other critical matters such as the budget and debt ceiling stopgaps 

during the COVID-19 pandemic continues to be more challenging than usual. The impact of 

these challenges and the uncertainties require the Department to continue to focus its resources 

on programs that are in the highest need to citizens and/or where there is a unique federal role. It 

is essential that new initiatives, programs, and reforms be managed and communicated 

effectively for achieving performance and accountability The OIG will assess the Department’s 

ability to meet new mandates and manage challenges and risks to its programs and operations. 

Cyber Threats 

Treasury has maintained steady progress in addressing the continual and on-going challenges 

that the Federal Government and private sector face, including the threat of ransomware and 

challenging in recruiting and retaining cybersecurity personnel. Cyber threats are a persistent 

concern as Treasury’s information systems are critical to the core functions of Government and 

the Nation’s financial infrastructure. Attempted cyber-attacks against Federal agencies, 

including Treasury, and financial institutions continue to increase in frequency and severity, in 

addition to continuously evolving. There are risks that Treasury’s systems and resources already 

in use, including critical infrastructure, contain components from sources that have yet to be 

designated as threats. 

The Department will need to monitor developments in this area closely and plan for the 

possibility that its current supply chain may no longer be available in the near future. 

In addition to its own networks and systems, the Department must be cognizant of, and mitigate, 

the risks posed by attacks made against other agencies and Treasury contractors and 

subcontractors. Furthermore, effective public-private coordination is needed to address the cyber 

threat against the Nation’s critical infrastructure. In this regard, Treasury is looked upon to 
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provide effective leadership to financial institutions in particular, and the financial sector in 

general, to strengthen awareness and preparedness against cyber threats. 

As an ongoing challenge, Treasury will need to balance cybersecurity demands while 

modernizing and maintaining information technology (IT) systems. This is becoming more and 

more critical, especially since the COVID-19 pandemic shifted the Federal workforce to 

primarily telework status, which increases the opportunities for cyber-attacks. Long-standing 

cyber threats pose increased risks to networks and information systems during the ongoing 

COVID-19 global health pandemic as more opportunities are available for bad actors to stage 

cyber-attacks. As the tools used to perpetrate cyber-attacks become easier to use and more 

widespread, less technological knowledge and fewer resources are needed to launch successful 

attacks of increasing sophistication. To this end, Treasury must ensure that cyber security is 

fully integrated in its IT investment decisions. OIG conducts audits of Treasury’s information 

systems and operations. As part of these audits, OIG conducts penetration tests of selected 

Treasury bureaus and offices to determine whether sufficient protections exist to prevent and 

detect unauthorized access to Treasury networks and systems. 

Anti-Money Laundering/Terrorist Financing and Bank Secrecy Act Enforcement 

Identifying, disrupting, and dismantling the financial networks that support rogue regimes, 

terrorist organizations, transnational criminal organizations, and other threats to the national 

security of the United States and our allies continues to be challenging as the Office of Terrorism 

and Financial Intelligence’s (TFI) role to counter these financial networks and threats has grown 

because its economic authorities are key tools to carry out U.S. policy. TFI’s counter-terrorism 

designations disrupt the financial networks that support terrorist organizations. Disrupting 

terrorist financing depends on a whole-of-government approach and requires collaboration and 

coordination within Treasury and with other federal agencies. Effective collaboration and 

coordination are key to successfully identifying and disrupting terrorists’ financial networks and 

meeting TFI’s mission. 

Data security and information sharing are challenges for the Financial Crimes Enforcement 

Network (FinCEN), which has experienced unauthorized disclosures of Bank Secrecy Act 

information. The challenge for FinCEN is to ensure the Bank Secrecy Act data remain secure to 

maintain the confidence of the financial sector while meeting the access needs of law 

enforcement, regulatory, and intelligence partners. 

Given the criticality of Treasury’s mission and its role to carry out U.S. policy, the OIG 

continues to consider anti-money laundering and combating terrorist financing programs and 

operations as inherently high-risk. Through OIG’s ongoing audits and reviews, the OIG monitors 

this high-risk area closely. 

Efforts to Promote Spending Transparency and to Prevent and Detect Improper Payments 

Given the broad implications and critical roles assigned to Treasury by the Digital Accountability 

and Transparency Act of 2014 (DATA Act), there are renewed challenges facing Treasury given 

the need to ensure transparency to the taxpayer and other stakeholders on the use of funds 

distributed under the economic relief packages enacted to address individuals and industry 

sectors impacted by the COVID-19 pandemic. DATA Act reporting is now seen as one of the 

means to ensure transparency into the use of Federal funds related to COVID-19 expenditures. 
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In its April 2020 memorandum, Implementation Guidance for Supplemental Funding Provided 

in Response to the Coronavirus Disease 2019 (COVID-19), OMB requires that agencies leverage 

existing financial accountability and transparency mechanisms. In part, OMB requires (1) 

tracking of COVID-19 expenditures with usage of a Disaster Emergency Fund Code; (2) 

reporting financial assistance recipient information within two weeks of issuance, with the 

exception of loans; and (3) reporting outlay information at the financial award transaction level. 

To further enhance transparency, Treasury devoted significant resources and leveraged existing 

financial reporting systems to promote spending transparency and use of Federal financial data to 

strengthen government-wide decision-making. Treasury has also shifted from quarterly to 

monthly reporting and certification beginning with the period ending June 2020 and plans to add 

a program activity attribute beginning with the first quarter of fiscal year 2022. The speed in 

which supplemental funding was distributed created new data management needs for Treasury 

along with labor intensive ingestion of data associated with the application for, and issuance of, 

economic relief. The rapid delivery of funds within short timeframes may create opportunities 

for illicit activity by anyone attempting to misuse or abuse funds that were intended for COVID19 relief. Considering the challenges and risks associated with ensuring economic relief is 

deployed and used for intended purposes, Treasury must continue to address reporting and data 

quality issues noted in DATA Act audits and intensify efforts to reduce improper payments. 

Reliable and transparent data is critical to the Department’s ongoing implementation of 

Government-wide reforms for making data accessible and useful for decision-making as 

authorized by the Foundations for Evidence-Based Policymaking Act of 2018 (Evidence Act).

The OIG will monitor the Department’s progress in this area. 

The OIG also continues to identify and analyze the risks of improper payments and reviews the 

controls and safeguards put in place by Treasury to prevent and recover such payments as set 

forth in the Payment Integrity Information Act of 2019 (PIIA).

Information Technology Acquisition and Project Management 

Government-wide implementation of the Federal Information Technology Acquisition Reform 

Act (FITARA) continues to be an ongoing challenge. FITARA expanded the involvement of 

Chief Information Officers of Federal agencies in IT decision making, including annual and 

multi-year planning, programming, budgeting, execution, reporting, management, governance, 

and oversight functions. Among FITARA specific requirements, the areas that Treasury needs 

most improvement were enhanced transparency and risk management and improved 

cybersecurity. Since February 2015, the Government Accountability Office has included the 

management of IT acquisitions and operations on its high-risk list as cost overruns and schedule 

delays impact mission related outcomes government-wide. The OIG monitors the Department’s 

progress to fully implement FITARA requirements and management of IT projects. 

Non-IT related acquisitions also require attention to ensure timely delivery and minimize cost 

overruns for achieving cost savings. In this regard, the OIG plans audit oversight of the Bureau 

of Engraving and Printing’s large construction project of a new facility to ensure continuity of 

operations of the bureau. 

 
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COVID-19 Pandemic Relief 

The COVID-19 pandemic affected the health and economic stability of communities 

nationwide. Congress passed a series of legislation to address the COVID-19 health crisis and 

the economic fallout affecting individuals, businesses, and other industry sectors. Treasury has 

been instrumental in implementing and supporting other Federal agencies in implementation of 

economic relief provisions of the CARES Act, the Consolidated Appropriations Act, 2021, and 

the American Rescue Plan. Along with administering and delivering economic relief, Treasury 

must manage the unprecedented oversight required by the aforementioned legislations. In the 

context of this overarching challenge, OIG recognizes the breadth and scope of Treasury’s 

responsibilities as it impacts programs, operations, and activities regardless of jurisdictional 

oversight boundaries. That said, there was reported strain associated with working remotely 

while managing normal responsibilities and additional work due to the COVID-19 pandemic. 

Going forward, Treasury may experience difficulties in balancing its new responsibilities and 

workloads while managing several ongoing challenges as described throughout this document. 

Major challenges and risks for the Gulf Coast Ecosystem Restoration Council (Council) 

Federal Statutory and Regulatory Compliance 

The Council must ensure that activities and projects funded by the Resources and Ecosystems 

Sustainability, Tourist Opportunities, and Revived Economies of the Gulf Coast States Act of 

2012 (RESTORE Act) meet all environmental laws and regulations at the Federal and State level 

and must also ensure its compliance with applicable laws and regulations as a Federal entity. 

The Council is required to follow Federal statutory and regulatory compliance requirements 

related to the DATA Act, PIIA, and the Evidence Act. The Council still faces challenges in 

meeting these Federal statutory and regulatory compliance stemming from the need for a reliable 

grants management system among other things. With the uncertainty of a successful transition to 

a new grants management system, the Council’s ability to comply with new as well as existing 

Federal requirements may be in question. In addition, there has been a loss of key leaders at the 

Council which will make a successful transition even more challenging. The OIG will continue 

to focus audits on the Council’s continued implementation and compliance with key Federal 

mandates. 

Grant and Interagency Agreement Compliance Monitoring Given the increase in grants and 

interagency agreements, the OIG continues to emphasize the necessity to monitor projects and 

award recipients of RESTORE Act funds. This challenge is further impacted by the Council’s 

transition to a new grants management system during FY 2020. The OIG audits will focus on the 

Council’s monitoring controls in place to ensure projects and recipients comply with grant and 

agency agreements and funds are used as intended. 

In the Investigations operational area, OIG has established eight priorities for FY 2022: 

Threats Against Treasury Employees and Facilities 

Investigative efforts into threats against Treasury employees and facilities are critical in ensuring 

safety for the Department. These matters require prompt attention and coordination with federal, 

state, and local authorities to protect those involved.

 
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Criminal and Serious Employee Misconduct 

The OIG Office of Investigation’s highest priority is investigating complaints involving alleged 

criminal and other serious misconduct by Treasury employees. OIG investigates allegations of 

the general crimes enumerated in Title 18 of the U.S. Code, other federal crimes, alleged 

violations of the Ethics in Government Act, and allegations of serious misconduct prohibited by 

the Standards of Ethical Conduct for Employees of the Executive Branch. Several Treasury 

bureaus and offices have additional rules and regulations relating to ethical standards for their 

own employees, and OIG also investigates complaints of alleged violations of these rules and 

regulations. 

Fraud Involving Contracts, Grants, Guarantees, and Federal Funds 

The OIG Office of Investigations conducts investigations into allegations of fraud and other 

crimes involving Treasury contracts, grants, loan guarantees, and federal funds, including 

investigations made in accordance with Sections 1602 and 1603 of the Recovery Act. Such 

allegations often involve contractors, entities, and individuals who are providing or seeking to 

provide goods or services to the Department. The Office of Investigations receives complaints 

alleging criminal or other misconduct from employees, contractors, members of the public, and 

the Congress. 

Financial Programs and Operations Crime 

Investigations relating to Treasury financial programs and operations that involve Treasury 

bureaus issuing licenses, providing benefits, and exercising oversight of U.S. financial 

institutions; frauds involving improper Federal payments such as those involving stolen, 

counterfeit, altered or fraudulently obtained Treasury checks and ACH payments; frauds 

involving improper Federal payments such as those involving Treasury checks and the Check 

Forgery Insurance Fund; crimes involving the improperly-redirected benefits of federal 

government payees; and false claims of any kind that seek Federal payments, including federal 

income tax refunds, Social Security benefits, and Department of Veterans’ Affairs. These matters 

require prompt attention to protect the public and the integrity of the department. 

Cyber Threats against Treasury Systems and Cyber Enabled Financial Crimes Fraud 

The OIG conducts investigations into Cyber intrusions of Treasury systems, the illicit removal of 

Treasury protected information from Treasury systems and Cyber enabled criminal activity 

impacting Treasury programs and operations, such as Business Email Compromise, Personal 

Email Compromise and other schemes.

Treasury Employee and Bureau Impersonation Scams 

Investigations relating to scammers who represent themselves as Treasury employees to defraud 

the citizens of the U.S. and other countries by the impersonation of Treasury employees and/or 

the fraudulent use of the Treasury and Bureau seals. This is a problem that has significantly 

increased in the last few years. These matters require prompt attention to protect the public and 

the integrity of the Department. 

Investigating Fraud Related to Persons Representing Themselves as “Sovereign Citizens” 

Submitting Fictitious Financial Instruments to Treasury, Financial Institutions, and Private 

Companies 
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The OIG conducts investigations into criminal activity associated with individuals who attempt 

to scam the Treasury, financial institutions, private companies, and citizens by submitting 

fictitious financial instruments purporting to be issued by or drawn on the Treasury or other 

counterfeit documents to perpetrate a variety of fraud schemes. These matters have become 

more prevalent and require prompt coordination with Federal, State, and local authorities to 

protect the targets of the scams. 

Identifying and Investigating Fraud Related to Pandemic Related Acts

The OIG conducts inquiries and investigations of waste, fraud, and abuse related to Title V of 

the CARES Act, which established the Coronavirus Relief Fund for State, Local, U.S territories, 

the District of Columbia and Tribal governments, the Consolidated Appropriations Act, 2021, 

the American Rescue Plan Act of 2021, as well as the Emergency Rental Assistance program 

(ERA/ERA2), the Homeowner Assistance Fund (HAF), Coronavirus State and Local Recovery 

Funds (SLFRF), State Small Business Credit Initiative (SSBCI), Air Carrier and Certain 

Contractors – Payroll Support Programs, Coronavirus Economic Relief for Transportation 

Services, Emergency Capital Investment Fund, and the CDFI Fund Emergency Support (Rapid 

Relief Program). 

C – Budget and Performance by Budget Activity 

2.1.1 – Audit Resources and Measures

Dollars in Thousands

 FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 

 Resource Level Actual Actual Actual Actual Actual Annualized 

CR Request 

Appropriated Resources $26,014 $24,413 $25,699 $30,524 $30,524 $30,521 $32,198 

Reimbursable $6,726 $6,116 $6,236 $9,000 $8,261 $12,000 $12,000 

Budget Activity Total $32,740 $30,529 $31,935 $39,524 $38,785 $42,521 $44,198 

Full-time Equivalents (FTE) 137 115 119 128 136 144 144 

 Performance Measure FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2021 FY 2022 FY 2023 

 Actual Actual Actual Actual Actual Target Target Target 

Number of Completed Audit 

Products 90 91 79 85 80 80 74 82 

Percent of Statutory Audits 

Completed by the Required Date 100 100 100 100 100 100 100 100 

Audit Budget and Performance 

($32,198,000 from direct appropriations, and $11,000,000 from reimbursable resources): 

The Office of Audit (OA) conducts audits intended to ensure the accountability of resources, 

protect information, and provide recommendations for improving the integrity, economy, 

efficiency, effectiveness, of programs and operations within the Department and within OIG’s 

jurisdictional boundaries, which include those of the Council. The requested funding for 

FY 2023 is necessary to perform mandated work (including audits/assessments of financial 

statements, information systems security program and practices, cyber security information 

sharing, improper payments and recoveries, charge card programs, material loss reviews of failed 

insured depository institutions regulated by the OCC, and data quality audits of spending data), 

and to maintain an appropriate level of oversight of programs and operations consistent with the 
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OIG’s responsibilities under the Inspector General Act of 1978, amended. In FY 2023, OIG will 

also continue to provide oversight of Treasury’s Government-wide role and responsibilities 

under the CARES Act, FY 2021 Consolidated Appropriations Act, and ARP. Reimbursable 

funding agreements support financial statement audits of Treasury and oversight of the State 

Small Business Credit Initiative and the Small Business Lending Fund. Reimbursable funding 

agreements also support Treasury financial audits for which Treasury OIG is the lead office in 

selecting and overseeing contractor selection. 

Description of Performance

OA plans to complete 74 audit products in FY 2022, and 82 in FY 2023. Audit products include 

audit reports, evaluation reports, desk reviews, the Inspector General’s Semi-Annual Reports to 

Congress, and the Inspector General’s annual memoranda to the Secretary of the Treasury and 

the designated Chairperson of the Gulf Coast Ecosystem Restoration Council, on the most 

significant management and performance challenges facing the Department and Gulf Coast 

Ecosystem Restoration Council, respectively. 

Audit products can also include responses to specific information requests by the Congress. By 

completing independent and timely assessments of programs and operations across its 

jurisdiction, the Office of Audit supports the OIG’s mission of promoting integrity, efficiency, 

effectiveness of those programs and operations. The recommendations for improvement in 

programs and operations noted through OIG’s assessments directly support both the Treasury 

Department and the Gulf Coast Ecosystem Restoration Council in achieving their strategic goals 

and meeting their respective missions. 

2.1.2 – Investigations Resources and Measures 

Dollars in Thousands 

 FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 

 Resource Level Actual Actual Actual Actual Actual Annualized 

CR Request 

Appropriated Resources $7,164 $11,512 $11,344 $10,520 $10,520 $10,520 $11,680 

Budget Activity Total $7,164 $11,512 $11,344 $10,520 $10,520 $10,520 $11,680 

Full-time Equivalents (FTE) 43 42 39 39 44 46 46 

 

Performance Measure 

FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2021 FY 2022 FY 2023 

Actual Actual Actual Actual Actual Target Target Target 

Percentage of All Cases 

Closed During Fiscal Year 

That Were Referred for 

Criminal/Civil/Administrative 

Action.

84 98 80 91 100 100 80 80 

Investigations Budget and Performance 

($11,680,000 from direct appropriations): 

The Office of Investigations (OI) prevents, detects, and investigates complaints of fraud, waste, 

and abuse impacting Treasury programs and operations. This includes the detection and 

prevention or deterrence of employee misconduct and fraud, or related financial crimes within or 

directed against Treasury. OI refers its cases to the Department of Justice, state or local 
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prosecutors for criminal prosecution or civil litigation, or to agency officials for corrective 

administrative action. 

With almost $3 billion in Treasury-related contracts, there is an increased risk of contract fraud 

across all Treasury bureaus and programs. OI initiated a program of providing integrity briefs to 

contract personnel notifying them of the responsibilities to report fraud, waste, and abuse within 

U.S. Treasury contracts and programs. OI works with the U.S. Department of Justice to 

prosecute False Claims Acts in federal court to recover funds through civil penalties. 

Additionally, OI conducts criminal investigations to prosecute contracts engaging in fraudulent 

activity, such as kickbacks, product substitution, bid manipulation, and many other types of 

contract fraud. OI continues to work allegations directly impacting the American Reinvestment 

and Recovery Act and the Gulf Coast Restoration Trust Fund. 

OI directs investigative efforts toward those that subvert bank examination processes, and/or 

perpetrate fraud impacting the Bank Secrecy Act oversight responsibilities of Treasury bureaus, 

subsequently defrauding the nation’s financial infrastructure, and eroding the public’s trust. 

In addition to the grant programs listed above, the OI has seen a noted increase in fraud 

impacting other significant Treasury programs and operations, including leaks of Treasury 

information, as well as fraud impacting the Treasury payment processing service operated by the 

Bureau of Fiscal Service. OI remains committed to investigating benefit, improper payment and 

other monetary fraud associated with the programs and operations of the Treasury Department. 

The Pandemic Response Accountability Committee (PRAC) established a Fraud Task Force to 

serve as a resource for the Inspectors General (IG) community by merging investigative 

resources into those areas where the need is the greatest, currently pandemic loan fraud. Agents 

from Offices of Inspectors General (OIG) across the Government are detailed to work on Task 

Force cases. These agents have partnered with prosecutors at the Department of Justice’s Fraud 

Section and at United States Attorneys’ Offices across the country. 

 

Treasury OIG has seven agents who are assigned to the PRAC Fraud Task Force on a part-time 

basis. The agents are assigned Paycheck Protection Program cases while continuing to work their 

existing Treasury OIG caseload. This initiative allows Treasury OIG to make a broader 

contribution to the IG community by assisting with investigations that might otherwise remain 

unstaffed. 

Description of Performance

The Investigative Performance Measure is a percentage of all cases closed by OI during the 

fiscal year referred to Department Bureaus for administrative action or for criminal or civil 

prosecution by Federal or local prosecutors. The goal for OI is that at least 80 percent of closed 

cases meet the aforementioned criteria. Meeting or exceeding this goal demonstrates that OI is 

responsive to allegations and complaints referred to the office and when these referrals require 

investigation, the cases are timely, thoroughly and accurately reported to assist the Department in 

maintaining the integrity of its programs and operations, subsequently ferreting out fraud, waste, 

and abuse. The office is working to meet or exceed this measure in both FY 2022 and FY 2023. 
OIG-16 

In FY 2021 OI met the Investigative Performance Measure target (Target – 80 percent; Actual – 

100 percent), opened 88 new investigations and closed 72 investigations. The OIG also referred 

13 investigations that substantiated administrative violations against a Treasury employee to the 

appropriate regulated bureau for action. In addition, the OIG referred 65 investigations for 

criminal prosecution and 5 investigations for civil prosecution. In FY 2020 OI charged and/or 

indicted 23 subjects. Ongoing investigations resulted in 24 subjects sentenced which resulted in 

fines, seizures, restitution, penalties, and settlements of more than $10.9 million. 

Since the inception of the CARES Act in March 2020, the OI has increased its caseload by 25 

percent for investigations that involve potential misappropriated funds of state, local, tribal 

governments, and governments of U.S. Territories. 

OI continues to support frequent congressional inquiries, sensitive investigative requests from 

the Council of the Inspectors General on Integrity and Efficiency, and annual peer reviews of 

other Offices of Inspector General, thus ensuring a high level of professionalism within the 

Inspector General community. 

C – Changes in Performance Measures 

OIG has no changes in performance measures. 

Section III – Additional Information 

A – Summary of Capital Investments 

The OIG has no capital investments. Capital investments that support the OIG are included in 

the Departmental Offices plan. 

A summary of capital investment resources, including major information technology and nontechnology investments can be viewed and downloaded at: 

https://www.treasury.gov/about/budget-performance/Pages/summary-of-capitalinvestments.aspx