Department of the Treasury

Office of Inspector General

Congressional Justification 

for Appropriations and 

Annual Performance 

Report and Plan

FY 2018 
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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...........................................................................................................4

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

1.3 – Operating Levels Table................................................................................................................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 – Budget and Performance by Budget Activity .................................................................... 12

2.1.1 Audit Resources and Measures........................................................................................ 12

Audit Budget and Performance................................................................................................. 12

Section III – Additional Information ........................................................................................ 14

A – Summary of Capital Investments....................................................................................... 14
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Section I – Budget Request

A – Mission Statement

To promote the integrity, efficiency, and effectiveness of Treasury programs and operations. 

B – Summary of the Request 

The FY 2018 request for $34,112,000 for the OIG will be used to fund critical audit, 

investigative, and mission support activities to meet the requirements of the Inspector General 

Act of 1978, and other statutes including, but not limited to: the Cybersecurity Act of 2015;

Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank); Federal 

Information Security Modernization Act (FISMA); Government Management Reform Act;

Improper Payments Elimination and Recovery Act; Digital Accountability and Transparency Act 

of 2014 (DATA Act); Federal Deposit Insurance Act; Small Business Jobs Act of 2010; and 

Resources and Ecosystems Sustainability, Tourist Opportunities, and Revived Economies of the 

Gulf Coast States Act of 2012 (RESTORE Act). Specific mandates include audits of the 

Department’s financial statements, the Department’s compliance with FISMA, the Department’s 

actions in implementing cyber security information sharing, failed insured depositary institutions 

regulated by Treasury, and spending data submitted by the Department to USASpending.gov. 

With the resources available after mandated requirements are met, the OIG will conduct audits of 

the Department’s highest risk programs and operations, and respond to stakeholder requests for 

specific work as appropriate. Some of the Department’s highest risk programs and operations 

include: (1) Cyber Threats, (2) Efforts to Promote Spending Transparency and to Prevent and 

Detect Improper Payments, (3) Anti-Money Laundering and Terrorist Financing/Bank Secrecy 

Act Enforcement, and (4) Management of Treasury’s Authorities Intended to Support and 

Improve the Economy including administration of the Gulf Coast Restoration Trust Fund.

In support of Treasury’s mission, the OIG established the following strategic goals:

• Promote the integrity, efficiency, and effectiveness of programs and operations across 

Treasury OIG’s jurisdictional boundaries through audits and investigations

• Proactively support and strengthen the ability of programs across Treasury OIG’s 

jurisdictional boundaries to identify challenges and manage risks 

• Fully and currently inform stakeholders of Treasury OIG findings, recommendations, 

investigative results, and priorities

• Enhance, support, and sustain a workforce and strengthen internal operations to achieve the 

Treasury OIG mission, vision, and strategic goals
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Office of Inspector General’s FY 2018 Budget Request

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

Treasury Inspector General submits the following information relating to the OIG’s requested 

budget for FY 2018:

• The aggregate budget request for the operations of the OIG is $44,112,000 comprised of 

$34,112,000 from direct appropriations, and $10,000,000 from reimbursable collections;

• The portion of this amount needed for OIG training is $400,000; and

• The portion of this amount needed to support the Council of Inspectors General on Integrity 

and Efficiency (CIGIE) is $68,224.

The amount requested for training satisfies all OIG training needs for FY 2018.

It must be noted that meeting the FY 2018 funding level will mean a reduction in audits 

conducted (down from 86 to 74), and an impact on OIG’s ability to meet investigative needs. 

OIG will look at all possible operational and personnel options to meet the OIG mission in 

FY 2018. 

1.1 – Appropriations Detail Table

Dollars in Thousands

Note: FY 2016 FTE and Other Resources are Actual

1.2 – Budget Adjustments Table

Dollars in Thousands

Office of Inspector General FTE Amount

FY 2017 Annualized CR 194 $35,349

Changes to Base:

Maintaining Current Levels (MCLs): $729

Pay-Raise - $401

Pay Annualization - $147

Non-Pay - $180

Subtotal Changes to Base - -

Total FY 2018 Base 194 $36,078

Program Changes:

Program Decreases: (19) ($1,966)

Reduce Audit Staffing (19)

 

($1,966)

Subtotal Program Decreases (19) ($1,966)

Total FY 2018 Request 175 $34,112

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Appropriated Resources

 FTE AMOUNT FTE AMOUNT FTE AMOUNT FTE AMOUNT FTE AMOUNT

New Appropriated Resources 16FTE 16Amt 17FTE 17Amt 18FTE 18Amt ChgFTE ChgAmt pctFTE pctAmt

Audit 131 $28,304 151 $27,219 132 $26,266 (19) ($953) -12.58% -3.50%

Investigations 33 $7,112 43 $8,130 43 $7,846 0 ($284) 0.00% -3.49%

Subtotal New Appropriated Resources 164 $35,416 194 $35,349 175 $34,112 (19) ($1,237) -9.79% -3.50%

Other Resources: 16FTE 16Amt 17FTE 17Amt 18FTE 18Amt ChgFTE ChgAmt pctFTE pctAmt

 Reimbursables 6 $6,726 19 $10,500 5 $10,000 (14) ($500) -73.68% -4.76%

Subtotal Other Resources 6 $6,726 19 $10,500 5 $10,000 (14) ($500) -73.68% -4.76%

Total Budgetary Resources 170 $42,142 213 $45,849 180 $44,112 (33) ($1,737) -15.49% -3.79%

FY 2016 FY 2017 FY 2017 to FY 2018

Enacted Annualized CR Request Change % Change

FY 2018
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C – Budget Increases and Decreases Description

Maintaining Current Levels (MCLs) .........................................................+$729,000 / +0 FTE

Pay Raise +$401,000 / +0 FTE 

Funds are requested for the proposed January 2018 pay-raise.

Pay Annualization +$147,000 / +0 FTE 

Funds are requested for annualization of the January 2017 pay-raise.

Non-Pay +$180,000 / +0 FTE 

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

equipment.

Program Decreases ................................................................................. ($1,966,000) / (19) FTE

Reduce Audit Staffing ($1,966,000 / (19) FTE

Reduce Audit Staffing.
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1.3 – Operating Levels Table

Dollars in Thousands

Office of Inspector General FY 2016 FY 2017 FY 2018

Object Classification Actual Annualized CR Request

11.1 - Full-time permanent 17025 20,500 17,955 

11.3 - Other than full-time permanent 13 10 10 

11.5 - Other personnel compensation 940 675 750 

11.9 - Personnel Compensation (Total) 17,978 21,185 18,715 

12.0 - Personnel benefits 6,584 6,834 6,000 

13.0 - Benefits for former personnel 12 15 15 

Total Personnel and Compensation Benefits $24,562 $28,034 $24,730 

21.0 - Travel and transportation of persons 602 1,025 700 

23.1 - Rental payments to GSA 1,375 500 3,002 

23.3 - Communication, utilities, and misc charges 189 200 200 

24.0 - Printing and reproduction 2 7 5 

25.0 - Other contractual Services 1,960 2,500 2,500 

25.3 - Other purchases of goods & serv frm Govt accounts 3,108 2,200 2,500 

25.6 - Medical care 55 58 60 

25.7 - Operation and maintenance of equip 35 35 35 

26.0 - Supplies and materials 166 170 160 

31.0 - Equipment 453 600 200 

91.2 - Unvouchered Expenditures 11 20 20 

Total Non-Personnel $7,956 $7,315 $9,382 

Subtotal New Budgetary Resources $32,518 $35,349 $34,112 

FTE 170 194 175

Note: This table includes total annually appropriated funding (actuals for FY 2016, FY 2017 Annualized CR and FY 2018).
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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, 

$34,112,000, 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, 2019, 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 2017 appropriation for this account was not 

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

assumes this account is operating under the Further Continuing

Appropriations Act, 2017 (P.L. 114–254). The amounts included 

for 2017 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

The FY 2018 - 2022 strategic plan is currently under development. The annual performance plan 

will be updated in the FY 2019 budget to reflect the new priorities. The FY 2018 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) and the 

Troubled Asset Relief Program (TARP), and keeps 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 agency. Major Treasury programs and related risks and challenges include: 

Cyber Threats

Cybersecurity represents one of the most serious challenges facing the Nation today. A reliable 

critical infrastructure, including information systems and networks, is vital to our national 

security and economic stability. 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. 

As cyber threats continue to evolve and become more sophisticated and subtle, they pose an 

ongoing challenge for Treasury to fortify and safeguard its internal systems and operations and 

the financial sector it oversees, and investigate exploitations of those systems and operations.

Attackers frequently exploit vulnerable networks in a string of trusted connections to gain access 

to government systems. Cyber-attacks against Federal agencies are increasing in frequency and 

severity. Effective public-private coordination continues to be required to address the cyber 

threat against the Nation’s critical infrastructure. In this regard, Treasury is looked upon to

provide effective leadership to financial institutions in particular, and the financial sector in 

general, to strengthen awareness and preparedness against cyber threats. 

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

The Digital Accountability and Transparency Act of 2014 (DATA Act) requires the Federal 

Government to provide consistent, reliable, and useful online data about how it spends taxpayer 

dollars. 

To fulfill its purpose, the DATA Act imposed certain requirements on the Treasury Secretary, 

the Director of the Office of Management and Budget (OMB), the Inspectors General of each 

Federal agency, and the Comptroller General of the United States. In brief, the DATA Act 

required Treasury and OMB to (1) establish Government-wide financial data standards for 

reporting spending by Federal agencies and entities receiving Federal funds by May 2015; (2) by 

May 2017, ensure this financial data is accurately posted and displayed on USASpending.gov, or 

a successor system; and (3) by May 2018, ensure the data standards established are applied to the 

data made available on the website. Implementing the DATA Act is a complex undertaking 

requiring a significant level of interagency coordination and cooperation to develop, establish,

and apply new financial data standards and to develop new data handling methodologies within a 

short timeframe.

In light of the continuing problem with improper payments (estimated at $136.77 billion, or 4.8 

percent of all program outlays, for fiscal year 2015), the Federal Government has intensified 
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efforts to reduce improper payments in major Federal programs. The Do Not Pay Initiative, and 

the Treasury Bureau of the Fiscal Service’s (Fiscal Service) Do Not Pay Business Center, are 

chief components of efforts designed to prevent and detect improper payments to individuals and 

entities. With its potential to reduce improper payments, the Do Not Pay Program is a major and 

important undertaking by Fiscal Service and Treasury.

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

Preventing criminals and terrorists from using financial networks to sustain their operations 

and/or launch attacks against the U.S. continues to be a challenge. Treasury’s Office of 

Terrorism and Financial Intelligence (TFI) is dedicated to disrupting the ability of terrorist 

organizations to fund their operations. TFI brings together intelligence gathering and analysis, 

economic sanctions, international cooperation, and private-sector cooperation to identify donors, 

financiers, and facilitators supporting terrorist organizations, and disrupt their ability to fund 

such organizations. Enhancing the transparency of the financial system is one of the cornerstones 

of this effort. Treasury carries out its responsibilities to enhance financial transparency through 

the laws collectively known as the Bank Secrecy Act (BSA). The Financial Crimes Enforcement 

Network is the Treasury bureau responsible for administering BSA, while the Office of the 

Comptroller of the Currency has oversight responsibility for the BSA/AML programs for 

Nationally Chartered Banks, and Treasury’s Office of Foreign Assets Control administers U.S. 

foreign sanction programs. Given the criticality of this challenge to the Department’s mission, 

and notwithstanding the efforts described above, we continue to consider anti-money laundering 

and combating terrorist financing programs and operations as inherently high-risk.

Management of Treasury’s Authorities Intended to Support and Improve the Economy 

Congress provided Treasury with broad authorities to address the financial crisis under the 

Housing and Economic Recovery Act (HERA) and the Emergency Economic Stabilization Act 

enacted in 2008, the American Recovery and Reinvestment Act of 2009 (Recovery Act), and the 

Small Business Jobs Act of 2010. In response to the call for further financial reform, Congress 

passed Dodd-Frank in July 2010. To address the more specific economic and environmental 

damage caused by the Deepwater Horizon oil spill in the Gulf Coast, Treasury was given 

authority to administer the Gulf Coast Restoration Trust Fund established by the Resources and 

Ecosystems Sustainability, Tourist Opportunities, and Revived Economies of the Gulf Coast 

States Act. While Treasury’s program administration under these acts has, for the most part 

matured, challenges remain in managing these programs and their investments. 

This challenge focuses on the administration of the following broad authorities given to 

Treasury:

• Dodd-Frank established the Financial Stability Oversight Council (FSOC), which is chaired 

by the Treasury Secretary. FSOC’s mission is to identify risks to financial stability that 

could arise from the activities of large, interconnected financial companies; promote market 

discipline; and respond to any emerging threats to the financial system. 

• The Small Business Jobs Act of 2010 created the Small Business Lending Fund (SBLF) 

within Treasury through which $4 billion was invested in financial institutions intended to

increase the availability of credit to small businesses. 

• The Small Business Jobs Act also provided Treasury with authority to guarantee bonds

issued for eligible community and economic development activities. As the program 

administrator, Treasury’s Community Development Financial Institutions (CDFI) Fund 
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experienced challenges in standing up the program, which was eventually established in June 

2013. CDFI Fund oversees the issuance of the bonds and the use of the bond proceeds by 

eligible CDFIs to make financing more accessible in underserved communities.

• Under the HERA, Treasury supports the financial solvency of the Federal National Mortgage 

Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac) 

which are under the conservatorship of the Federal Housing Finance Agency. To maintain 

the positive net worth of these two government sponsored enterprises (GSE), Treasury has 

invested approximately $187 billion in senior preferred stock in the two enterprises. While 

the GSEs have not required additional support since fiscal year 2012, their futures remain 

uncertain and further assistance may be required. If such support is needed, the current 

funding capacity available to Fannie Mae is $117.6 billion and available to Freddie Mac is 

$140.5 billion

• The American Recovery and Reinvestment Act of 2009 (Recovery Act) provided Treasury 

with approximately $30 billion in non-Internal Revenue Service funding for low-income 

housing and specified energy properties for which OIG provides oversight. The level of risk 

involved in this program is evidenced by the fact that the Office of Investigations has 

successfully investigated several matters leading to prosecution and has several additional 

open matters involving program participants.

• In response to the 2010 Deepwater Horizon oil spill, Congress enacted the RESTORE Act. 

This law established within Treasury the Gulf Coast Restoration Trust Fund (Trust Fund) and 

requires Treasury to deposit into the Trust Fund 80 percent of administrative and civil 

penalties paid by responsible parties pursuant to the Federal Water Pollution Control Act 

(Clean Water Act). The funds are to be distributed for environmental and economic 

restoration activities affecting the Gulf Coast States (Alabama, Florida, Louisiana, 

Mississippi, and Texas). As of December 2016, the Trust Fund received approximately 

$947 million from the Federal Government’s settlement with the Transocean and Anadarko

defendants as well as interest payments. In July 2015, BP Exploration & Production Inc. ,

agreed to settle with the Federal Government and the Gulf Coast States resulting in 

approximately $4.4 billion plus interest expected to be deposited into the Trust Fund over a 

15-year period. Going forward it is expected that demands for technical assistance from the 

Office of Gulf Coast Restoration will increase now that several Direct Component Multiyear 

Implementation Plans have been accepted by Treasury and a number of Direct Component 

planning assistance and construction greants have been awarded. 

In the Investigations operational area, OIG has established four priorities for FY 2017:

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.
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Fraud Involving Contracts, Grants, Guarantees, and 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 Tresaury 

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 generate inappropriate Federal payments, 

including federal income tax refunds, Social Security benefits, and Veterans’ Administration 

payments. These problems, particularly the production of counterfeit and altered Treasury 

checks, have significantly increased in the last few years. These matters require prompt attention 

to protect the public and the integrity of the department.

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 in order to protect those involved.

Treasury Employee and Bureau Impersonation Scams

Investigations relating to scammers who represent themselves as Treasury employees in order 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.
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B – Budget and Performance by Budget Activity

2.1.1 Audit Resources and Measures

Dollars in Thousands

 Resource Level FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018

Actual Actual Actual Actual Actual Annualized 

CR Request

Column1 Column32 Column4 Column5 Column6 Column7 Column8 Column9

Appropriated Resources $22,327 $21,801 $24,947 $27,653 $26,014 $27,219 $26,266 

Other Resources 

(Reimbursables) $10,870 $8,671 $8,525 $7,299 $6,726 $10,500 $10,000 

Budget Activity Total $33,197 $30,472 $33,472 $34,952 $32,740 $37,719 $36,266 

FTE 136 139 135 133 137 151 132

Note: FY 2016 Appropriated Resources are Actual

Measure FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2016 FY 2017 FY 2018 FY 2012 -

Actual Actual Actual Actual Actual Target Target Target

FY 2016

Trend

Number of Completed 

Audit Products

91 72 75 86 98 77 86 74

Percent of Statutory Audits 

Completed by the 

Required Date

100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

Key: DISC - Discontinued, B - Baseline

Audit Budget and Performance

($26,266,000 from direct appropriations, and $10,000,000 from reimbursable resources):

The Office of Audit conducts audits intended to ensure the accountability of resources, protect 

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

effectiveness, and integrity of programs and operations under its jurisdiction, which include 

those of Treasury and the Gulf Coast Ecosystem Restoration Council. The requested funding for 

FY 2018 is necessary to perform mandated work and maintain an appropriate level of oversight 

of these programs and operations consistent with the OIG’s responsibilities under the Inspector 

General Act of 1978. In FY 2018, OIG will also continue to provide oversight of Treasury’s 

government-wide role and responsibilities under the DATA Act. Reimbursable funding 

agreements support financial audits of Treasury and oversight of SBLF. The SBLF program 

oversight and expected performance is detailed in the SBLF Program Office budget submission.

Description of Performance:

The Office plans to complete 86 audit products in FY 2017, and 74 in FY 2018. The reduced 

number of audit products in FY 2018 is the result of a significant rent increase in FY 2018 that 

will consume resources that would otherwise be used to fully staff the Office of Audit. In FY

2016, the Office of Audit completed 98 audit products, exceeding the target by 21, and met all 

statutory audit timelines. Audit products include audit reports, evaluation reports, the Inspector 

General’s Semi-Annual Reports to the Congress, and the Inspector General’s annual memoranda 

to the Secretary of the Treasury and the Secretary of Agriculture, as 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 under 
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its jurisdiction, the Office supports the OIG’s mission of promoting efficiency, effectiveness, and 

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

and operations noted through OIG’s assessments directly support the Treasury Department in 

achieving its strategic goals and the Gulf Coast Ecosystem Restoration Council in meeting its 

mission. 

The OIG has a mature audit operation that uses historical performance to estimate future 

performance. It has, over time, demonstrated agility at redirecting resources as necessary to 

address new challenges and mandates of its stakeholders.

In keeping with the OIG’s strategy to maintain a highly skilled and motivated workforce, the 

OIG plans and executes a meaningful body of work designed to help ensure the integrity and 

effectiveness of programs and operations across its jurisdiction while looking for opportunities to 

improve them.

2.1.2 Investigations Resources and Measures

Dollars in Thousands

 Resource Level FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018

Actual Actual Actual Actual Actual Annualized 

CR Request

Column1 Column2 Column3 Column4 Column5 Column6 Column7 Column8 Column9

Appropriated 

Resources $5,582 $5,451 $6,237 $6,913 $6,504 $8,130 $7,846 

Other Resources 0 0 0 0 0 0 0

Budget Activity 

Total $5,582 $5,451 $6,237 $6,913 $6,504 $8,130 $7,846 

FTE 34 35 34 33 33 43 43

Note: FY 2016 Appropriated Resources are Actual

Measure FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2016 FY 2017 FY 2018 FY 2012 -

Actual Actual Actual Actual Actual Target Target Target

FY 2016

Trend

Percentage (%) of All 

Cases Closed During 

Fiscal Year that were 

Referred for Criminal/Civil 

Prosecution or Treasury 

Administrative Action

91.0 84.0 84.0 87.0 84.0 80.0 80.0 80.0

Key: DISC - Discontinued, B - Baseline

Investigations Budget and Performance 

($7,846,000 from direct appropriations, and none from reimbursable resources): 

The Office of Investigations 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. The Office of Investigations refers its cases to the Department of Justice, state 

or local prosecutors for criminal prosecution or civil litigation, or to agency officials for 

corrective administrative action. 

With the increased risk of the Recovery Act grant programs for low-income housing and specific 

energy properties, the Office of Investigations faces greater challenges and anticipated increases 

in grant fraud. In addition, with the establishment of Gulf Coast Restoration Trust Fund outreach 
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efforts are being made in an effort to prepare for future investigative referrals and complaints 

aimed at suspected fraud involving the funds with this program.

In addition to the grant programs listed above, the Office of Investigations has seen a noted 

increase in fraud impacting other significant Treasury programs and operations including fraud 

impacting the myRA program, Treasury Direct program and the Treasury payment processing 

service operated by the Bureau of Fiscal Service. The Office of Investigations has seen 

substantial increases in improper payment fraud including redirected benefit fraud and stolen, 

altered and counterfeit Treasury checks and payments.

Additionally, the Office of Investigations remains committed to investigating benefit, improper 

payment and other monetary fraud associated with the programs and operations of the Treasury 

Department. 

Description of Performance:

In FY 2016 the Office of Investigations exceeded the Investigative Performance Measure target

(Target – 80 percent; Actual – 84 percent), and opened 144 new investigations and closed 72

investigations. The OIG also referred 43 investigations that substantiated administrative 

violations against a Treasury employee to the appropriate regulated bureau for action. In 

addition, the OIG referred 159 investigations for criminal prosecution and 46 investigations for 

civil prosecution. The Investigative Performance Measure is a percentage of all cases closed by 

Office of Investigations 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 Office of 

Investigations is that at least 80 percent of closed cases meet the aforementioned criteria of 

closed cases in this fiscal year. Meeting or exceeding this goal demonstrates that Office of 

Investigations is responsive to allegations and complaints referred to Office of Investigations and 

that 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 2017 and FY 2018.

Section III – Additional Information

A – Summary of Capital Investments

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

Departmental Offices plan

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

http://www.treasury.gov/about/budget-performance/Pages/summary-of-capital-investments.aspx

This website also contains a digital copy of this document.