OFFICE OF 

INSPECTOR GENERAL 

The Farm Credit AdministraƟon's 

Awards Program 

A‐17‐01 

Audit Report 

Auditor‐in‐Charge 

Tori Kaufman 

Issued February 23, 2017 

FARM CREDIT ADMINISTRATION 
Farm Credit Administration Office of Inspector General

 1501 Farm Credit Drive 

 McLean, Virginia 22102-5090

 

 

 

February 23, 2017

The Honorable Dallas P. Tonsager, Board Chairman 

The Honorable Kenneth A. Spearman, Board Member

The Honorable Jeffery S. Hall, Board Member 

Farm Credit Administration

1501 Farm Credit Drive

McLean, Virginia 22102-5090

 

Dear Board Chairman Tonsager and FCA Board Members Spearman and Hall:

The Office of Inspector General (OIG) completed an audit of the Farm Credit Administration’s (FCA or 

Agency) Awards Program. The objective of this audit was to determine if FCA is following policies and 

procedures and has adequate controls over awards and incentives. 

We found an adequate control structure was in place, and an internal control review process was 

developed for awards and recognition. We identified opportunities to improve FCA’s awards program. In 

response to our report, the Office of Agency Services agreed to: 

1. Provide education to supervisors and managers on:

• Criteria for awards and approval, including requirements that awards are not based on 

performance of overall job responsibilities over a sustained period of time and

• Expectations for justifications in the awards database.

2. Modify the awards database to address the following:

• Multiple approvals are not completed by the same employee and approvals are not 

completed by the recipient or recommender;

• Controls over time-off award amounts and limits in Agency policy; and

• Approval routings are appropriate and reflect documented procedures.

3. Revise policies and procedures to reflect FCA’s current awards program, including:

• Guidance for award amounts that are not based on tangible, monetary benefits or are 

awarded as time-off;

• Appropriate uses for the OAS-entered function in the awards database;

• Grossing up awards;

• Award nomination, recommendation, and approval procedures;

• Required reporting; 

• Time-off for new parents; and

• Types of awards.
4. Complete reimbursement of the award made to a Schedule C employee during the restricted 

presidential election period.

We appreciate the courtesies and professionalism extended by FCA personnel to the OIG staff. If you 

have any questions about this audit, I would be pleased to meet with you at your convenience.

Respectfully,

Elizabeth M. Dean

Inspector General

Enclosure
The core mission of the Farm Credit Administration (FCA or Agency) is to 

ensure a safe, sound, and dependable source of credit and related 

services for agriculture and rural America. Employee awards and 

recognition can motivate and acknowledge employees to effectively 

achieve this mission. FCA’s awards program incorporates various types of 

awards, which are generally in the form of cash or time-off. Award 

decisions and spending are discretionary. 

The objective of this audit was to determine if FCA is following its policies 

and procedures and has adequately implemented controls over awards 

and incentives. We noted opportunities to improve FCA’s awards 

program. Specifically:

• We identified award justifications lacking sufficient detail. We 

identified several large cash and time-off awards where the 

reason for the award appeared to be based on the employee 

performing their overall job duties in an outstanding or superior 

manner over a sustained period of time, which is contrary to 

Agency policy.

• A few awards in our sample included multiple approvals by the 

same employee, an approval by the award recipient, or an 

approval by the award recommender, thereby overlooking an 

intended control. We also identified monetary and time-off 

awards for which approvals were not documented in 

accordance with Agency policy.

• One Schedule C employee received an award during the 

restricted presidential election period, and OAS took action to 

process re-payment of the award during our review.

• Policies and procedures manual 818, Incentive Awards and 

Recognition, is outdated. The need to update it was previously

identified as part of the Agency’s 2012 internal control review, 

and we identified additional areas needing improvement.

Agency officials agreed with our report and provided tasks to be 

completed, including: educating officials, revising the awards database, 

updating policies and procedures, and finalizing award reimbursement 

from a Schedule C employee.

RESULTS:

To improve controls over FCA’s awards program, 

the Office of Agency Services (OAS) agreed to: 

1. Provide education to supervisors and 

managers on:

• Criteria for awards and approval, 

including requirements that 

awards are not based on 

performance of overall job 

responsibilities over a sustained 

period of time and

• Expectations for justifications in 

the awards database.

2. Modify the awards database to address 

the following:

• Multiple approvals are not 

completed by the same employee 

and approvals are not completed 

by the recipient or recommender;

• Controls over time-off award 

amounts and limits in Agency 

policy; and

• Approval routings are appropriate 

and reflect documented 

procedures.

3. Revise policies and procedures to reflect 

FCA’s current awards program, including:

• Guidance for award amounts that 

are not based on tangible, 

monetary benefits or are awarded 

as time-off;

• Appropriate uses for the OASentered function in the awards 

database;

• Grossing up awards;

• Award nomination, 

recommendation, and approval 

procedures;

• Required reporting; 

• Time-off for new parents; and

• Types of awards.

4. Complete reimbursement of the award 

made to a Schedule C employee during 

the restricted presidential election period.
TABLE OF CONTENTS

BACKGROUND_______________________________________________________ 1

AUDIT RESULTS______________________________________________________ 4

Award Justifications ________________________________________________________________ 4 

Award Approvals___________________________________________________________________ 5 

Policies and Procedures _____________________________________________________________ 7 

Agreed-Upon Actions 1-4 ____________________________________________________________ 8 

OBJECTIVE, SCOPE, AND METHODOLOGY _______________________________ 9

ACRONYMS ________________________________________________________ 10
1 

BACKGROUND 

The Farm Credit Administration (FCA or Agency) is an independent federal agency responsible for 

regulating, examining, and supervising the Farm Credit System and the Federal Agricultural Mortgage 

Corporation. The core mission of the Agency is to ensure a safe, sound, and dependable source of credit 

and related services for agriculture and rural America. Employee awards and recognition can motivate 

and acknowledge employees to effectively achieve this mission. Chapter 45 of Title 5 United States Code

authorizes agencies to pay cash awards, grant time-off, and incur expenses for honorary recognition of 

an employee. The Office of Personnel Management prescribes regulations that establish requirements 

for agency awards programs. 

FCA’s Office of Agency Services (OAS) has responsibility over the awards program. FCA encourages 

supervisors and managers to recognize employee accomplishments and contributions. Different types of 

awards are granted based on the nature of the accomplishment and its impact to the Agency, including: 

 

•An employee's supervisor writes a memorandum to acknowledge exemplary 

accomplishment of a task or service.

Letters of Commendation/Appreciation

•A cash or time-off award for a unique or special act or service which is 

nonrecurring, an act of heroism, or performance of a specific job responsibility or 

significant project/assignment in a superior manner.

Achievement or Special Act Award

•Small but meaningful accomplishments by employees that perform specific 

assignments in an exceptional manner or who have made contributions outside 

of normal performance plan expectations. These awards may range from $25 to 

$500.

On-The-Spot Cash Award

•Awards designed to encourage employees to recognize and reward fellow 

employees for exceptional work. Each non-supervisory employee may give one 

$50 peer to peer award per quarter.

Peer to Peer On-The-Spot Award

•Employees may be recognized for specific accomplishment through the use of 

nonmonetary items of nominal value purchased with Agency funds.

Nonmonetary Award
2 

Awards for significant contributions and accomplishments are also recognized at FCA’s yearend awards 

ceremony. Nominations for the Chairman’s Award, Distinguished Service Award, and Impact Award are 

submitted by senior officials. All Agency employees may nominate employees for the Diversity 

Leadership or Plain Writing Award. Most awards may be given to one or several employees, and the 

amount of the award may vary from year to year and recipient to recipient. 

• Chairman's Award- The highest recognition awarded by the Agency for distinctively sustained 

superior career service or exceptionally outstanding achievement with Agency-wide or unique 

significance related to the accomplishment of the Agency's mission.

• Distinguished Service Award- The second highest recognition awarded by the Agency for 

significant service or achievement of major importance to the Agency, its programs, or 

functions.

• Impact Award- The award is for new employees (1-5 years at the Agency) that have made a 

significant contribution to the Agency in terms of policy development, operational 

improvements, examination enhancements, or other meaningful change.

• Diversity Leadership Award- This award is made by the Office of Equal Employment 

Opportunity and Inclusion to recognize individuals who have demonstrated significant 

commitment to enhancing diversity and inclusion at FCA. All Agency employees may submit 

nominations for this award.

• Plain Writing Award- This award is made by the Office of Congressional and Public Affairs based 

on Agency nominations. The selection is based on the document that best exemplifies clear, 

effective writing. All Agency employees may submit nominations for this award.

Supervisors may exercise their discretion to provide monetary and nonmonetary awards to employees 

where appropriate and merited. Non-supervisory employees generally only provide peer to peer awards 

as allotted (one per quarter). FCA awards are predominantly in the form of cash or time-off. Time-off is 

leave that is not charged to an employee’s leave account, which must be used within 1 year from the 

date of award. 

FCA tracks and processes awards through an internal database. The awards database included the 

following made from each office: 
3 

Approved Awards by Office from September 2014 to December 2016

Office

Count of 

Total Awards

Sum of Time-off 

Hours Awarded

Sum of Total 

Amounts ($)

Award 

1

Office of Examination 1,160 297 259,575

Office of Management Services/Office of 

Agency Services2 269 26573 206,8504

Office of Regulatory Policy 106 130 41,000

Office of Secondary Market Oversight 83 42 30,350

Office of General Counsel 62 0 20,050

Office of Information Technology 47 18 25,350

FCA Board 36 0 21,967

Office of Equal Employment Opportunity 

and Inclusion 29 0 11,750

Office of Congressional and Public Affairs 20 0 7,750

Office of Inspector General 4 0 2,750

Office of the Chief Financial Officer5 3 0 4,000

Office of the Chief Operating Officer 2 40 50

Grand Total 1,821 3,184 $631,442

When an employee is recommended for an award, the recommender enters the reason and type of 

award in the database. Each special act award and on-the-spot award must be approved by an 

appropriate supervisor and management official who has budget control authority. If the recommender 

meets these criteria, the only remaining required approval is from an OAS review official. If an award 

amount is over $2,500, the award must also be approved by FCA’s Chief Operating Officer.

Policies and Procedures Manual (PPM) 818, Incentive Awards and Recognition, describes FCA’s awards 

program and related policies and procedures. PPM 818 was updated in March 2016 to reflect the 

Agency’s new policy to award each new parent 80 hours of time-off. Additional guidance in FCA’s policy 

addresses appropriate uses of achievement awards and ways to determine appropriate award amounts. 

FCA’s compensation program incorporates a pay-for-performance system to reward employees. 

Employees may receive merit pay increases and executives may be eligible for performance-based 

bonuses. Section 5.11 of the Farm Credit Act of 1971, as amended, states, “The Chairman may provide 

such additional compensation and benefits to employees of the Administration as is necessary to 

 

1 The sum of award amounts is not equal to the amounts paid by FCA. Specifically, FCA grosses certain awards so 

that they are paid net of tax and the employee receives the dollar amount awarded. This method is used for onthe-spot and peer to peer awards. 2 In April 2016, FCA divided functions of the Office of Management Services (OMS) into two separate offices. This 

impacts hours and amounts distributed. The name of OMS was changed to the Office of Agency Services (OAS). 

OAS consists of two divisions: the Operations Division and the Human Resources Division. 3 Time-off awards for new parents throughout the Agency were generally awarded through OAS. Nineteen new 

parent awards for 80 hours each (1520 hours) are included in this total. 4 Yearend awards are generally budgeted and awarded through OAS. This includes Chairman’s, Distinguished 

Service, and Impact Awards. 

5 The Finance Team from OMS was moved to the newly established Office of the Chief Financial Officer.
4 

maintain comparability with the total amount of compensation and benefits provided by other Federal 

bank regulatory agencies.” We did not include performance-based salary adjustments and bonuses in 

our review.

AUDIT RESULTS

The objective of this audit was to determine if FCA is following policies and procedures and has 

adequate controls over awards and incentives. 

FCA has an adequate control structure in place for awards. An internal control review process was 

developed for awards and recognition. The last review was completed in 2012 and identified outdated 

policies and procedures. The next planned review is scheduled for Fiscal Year 2017. In addition, an 

internal control review of salaries and compensation completed in 2016 addressed awards. The 

Agency’s review encompassed award authorization and payment in the awards database, the National 

Finance Center, and electronic official personnel folders. 

We identified opportunities to improve controls over FCA awards. We noted issues with award 

justifications and approvals. In addition, PPM 818, Incentive Awards and Recognition, did not fully reflect 

the Agency’s awards processes.

Award Justifications 

For yearend awards, nominations are solicited from senior staff or other employees, and recipients are 

selected at the discretion of FCA’s Chief Operating Officer and Board. Other FCA award

recommendations are submitted through the awards database; submissions must include the type of 

award and reason for the award. Our review revealed some awards lacking substantiation. We identified 

several large cash and time-off special act or service awards where the reason for the award appeared 

to be based on the employee performing their overall job duties in an outstanding or superior manner

over a sustained period of time. PPM 818 includes the following guidance specifying where a special act 

or service award would not be appropriate: 

“An achievement award would not be appropriate in either of the following cases:

1. Where an employee has performed his/her overall job duties in an outstanding or superior 

manner over a sustained period of time. (The annual performance evaluation should be 

the vehicle for recognizing such achievement.)

2. Where an employee, or group of employees, has contributed substantial overtime effort 

and/or used his/her/their own resources to successfully perform the regular duties of the 

job under normal circumstances. This would be typical where cyclical or recurring 

processes produce annual or semiannual workload peaks and resources are insufficient to 

accomplish the task within the normal time and resource constraints. (Overtime or 

compensatory time should be provided, as appropriate.)”
5 

For 41 of the 202 awards we sampled, the reason for the special act or service award in the database 

appeared to be based on the employee performing their overall job duties in an outstanding or superior 

manner over a sustained period of time. These 41 awards totaled about $41,000 and 760 hours of timeoff. In addition, many of these awards were made to the same individuals at yearend in consecutive 

years. Although time-off awards are not a cash disbursement, there is a cost involved for salary dollars 

paid for time not worked. Each of these 760 hours of time-off was awarded to an office director or 

executive. 

Examples of justifications in awards that addressed overall job responsibilities over time included:

• A $4,478 award included a reason for award “For exceptional service throughout the past fiscal 

year.”

• A $3,500 award included in the reason for award “...consistent efforts and attention to detail... is

also recognized and appreciated for willingness to pitch in whenever that work needs to be 

done...” 

• 40 hours of time-off for 7 individuals included in the reason for award “...recognized for superior 

performance in leadership over the past several years which warrants collective 

acknowledgement. Most recently this motivated, competent and professional team has worked 

collaboratively to produce exceptional results for the Agency. They have accomplished much 

during the last year...”

• A $1,500 award included a reason for award “For special efforts made during my transition to 

the FCA.” 

• Two $1,000 awards included a reason for award “Outstanding support during 2016.”

It is important that awards are not used for the same achievements that are recognized and rewarded 

through salary adjustments and bonuses. FCA’s compensation program includes performance-based 

salary adjustments. Any amount of pay adjustment that exceeds the employee’s pay range is paid as a 

performance bonus, which is not creditable for calculating retirement or other benefits. 

In addition, when an award justification does not contain sufficient detail, it is difficult to ensure award 

amounts are commensurate with the accomplishment being rewarded. PPM 818 includes guidance for 

determining award amounts based on estimated first-year monetary benefits to the government. This 

guidance does not address time-off awards nor does it explain how justifications should support award 

amounts that are not based on tangible, monetary benefits to the Agency. 

The awards database contains a field for the recommender to describe the reason for the award and 

amount. To ensure applicable requirements are addressed, the recommender needs to reference 

criteria in PPM 818. Additional instructions, criteria and/or guidance in the database could help to 

ensure award justifications cover Agency requirements and support the amount selected. This type of 

additional detail will also be useful for approvers to ensure the type of award and award amount is 

appropriate. Because awards spending is discretionary, it is important to ensure decisions are supported 

and documented and address criteria in Agency policy. 

Award Approvals 

FCA established different approval requirements for each type of award. PPM 818 states, each special 

act or service award and on-the-spot award must be approved by a supervisor, an employee with 
6 

budget authority, and an OAS official. Smaller $50 peer to peer awards are only approved by the 

recommender’s supervisor. Because awards are paid from the budget of the office recommending the 

award, it is important to maintain budgetary control. In addition, PPM 818 states, “Awards above $2,500 

require Chief Operating Officer approval.” Once an award has received all necessary approvals, it is 

processed for payment by OAS. 

We identified various weaknesses and inconsistencies related to award approvals: 

• 6 awards had both levels of approval by the same individual. 9 awards had the same

recommender and OAS review official. We also noted 2 awards where the award recipient was 

one of the approvers; 1 award was for $1,000 and the other was for 40 hours of time-off. 

• PPM 818 states “Time-off may be granted in lieu of or in addition to cash... It may be granted 

up to a total of 160 hours during a leave year, in amounts of up to 40 hours (80 hours for new 

parent awards) at a time for each contribution.” Two awards were made that exceeded 40 

hours and were not for a new parent. Each award was for 48 hours of time-off. In addition, 

another employee received two 40-hour awards on the same day. 

• FCA’s awards database was designed with a separate function so that an OAS official can enter 

an award on behalf of other employees. This function was mostly used for yearend awards. 

For example, the OAS Director may enter the award amount and the award nomination writeup for Chairman’s and Distinguished Service awards on behalf of the FCA Chairman and COO. 

When awards are entered using this function, approvals are not automated and documented 

in the awards database. During our review, we noted examples of awards entered using this 

function that were not part of FCA’s yearend awards ceremony. Two of these awards were for 

$3,500 each and approval by the COO was not documented.

• Section 4508 of title 5 United States Code prohibits Senior Executive Service employees who 

are not career appointees and employees in confidential or policy-determining Schedule C 

positions from receiving awards during a Presidential election period. This period is defined as 

beginning on June 1 in a calendar year in which the popular election of the President occurs

and ends on January 20 following the election date. A $200 award was made to a Schedule C 

employee in August 2016. The Agency took action and was in the process of invoicing the 

employee to repay the award as of January 2017. The Agency cancelled another award 

submitted for the same employee during November 2016 for 40 hours of time-off before it 

was processed.

• The awards database required additional approvals for certain on-the-spot awards that were 

not required for special act or service awards, which are generally for larger amounts. For 

example, two awards in our sample were recommended by the same employee for the same 

recipient. One award was an on-the-spot award for $250 approved by the recommender’s 

supervisor, recommender’s budget authority, and an OAS review official. Conversely, the 

$1,000 special act or service award was only approved by the recommender’s budget 

authority and an OAS review official. 

Two officials are designated authority to approve awards as the OAS review official. Only one of these 

employees has budget authority. When an OAS review official recommends an award or is the award 
7 

recipient, it can create conflicts in the awards database because awards must be approved by an OAS 

review official and an employee with budget authority. 

PPM 818 requires awards above $2,500 to be approved by the Chief Operating Officer. A 

complementary control to review and approve time-off awards exceeding a set amount was not 

established. The awards database was modified so that an employee cannot enter a time-off award 

exceeding 80 hours, which corresponds to FCA’s new parent policy. However, this change allowed 

employees to enter time-off awards that exceeded the 40-hour maximum contribution stipulated in 

PPM 818 for time-off awards (other than new parent time-off). 

The Agency’s 2016 internal control review encompassing salary and compensation noted internal 

procedures should be documented for awards processing. Procedures for recommending and granting 

different types of awards are included in PPM 818. However, procedures related to processing awards 

and use of the special function for OAS to enter awards is not addressed. Because FCA’s awards 

database may not have capabilities to automate all necessary controls, additional internal procedures 

may be necessary to ensure requirements are addressed. 

Policies and Procedures 

PPM 818 was modified in March 2016. However, the policy did not reflect FCA’s current awards process. 

FCA’s 2012 internal control review of Awards and Recognition found that PPM 818 was outdated for 

organizational and procedure changes. Specifically, the PPM references an “awards committee” that no 

longer exists and refers to hardcopy processing rather than use of the awards database. The PPM had 

not been revised to address the changes identified in the 2012 internal control review. 

 

We noted additional items that should be addressed in PPM 818:

• The policy does not address grossing up awards. Grossing up refers to raising the total amount 

of funds to be authorized for a cash award so that the net amount after required tax 

withholding will be the amount entered for the award by the recommender. FCA uses this 

grossing up method for peer to peer awards and on-the-spot awards, which could range from 

$25 to $500 dollars. We also noted special act or service awards in our scope for which the 

award justification said the award amount was based on the employee receiving a specific 

dollar amount net of tax. If an award is grossed up, the supervisor with budget authority is not 

presented with the true cost of the award as it will impact their budget.

• Procedures for award recommendations and approvals were not consistent with FCA’s current 

process. For both special act or service and on-the-spot awards, PPM 818 states, 

“Recommendations may be initiated by any FCA employee...If the initiator is an employee, 

concurrence must be obtained from the supervisor of the employee being recommended.” We 

found only supervisory or managerial employees may submit these types of awards, and they 

were generally not approved by the recipient’s supervisor. 

• The policy states “Annually, the Director, OMS, will provide a report evaluating the 

effectiveness of the program and any procedural changes needed to carry out the policy.” The

report format, recipient, and timeframe for issuance were not addressed.

 
8 

• FCA developed a new maternity and paternity program that includes an 80-hour time-off 

award for new parents. In a news release, FCA described this new benefit as “an incentive to 

attract and retain highly-qualified staff...” Unlike the defined purpose of an award, this is a 

benefit processed as an award rather than for recognition for accomplishment or other efforts 

that contribute to the quality, efficiency, or economy of Government operations. 

 

• FCA granted Impact Awards and Plain Writing Awards as part of the annual awards ceremony.

These awards were not included in PPM 818. 

 

Agreed-Upon Actions 1-4 

To improve controls over FCA’s awards program, OAS agreed to: 

1. Provide education to supervisors and managers on:

• Criteria for awards and approval, including requirements that awards are not based on 

performance of overall job responsibilities over a sustained period of time and

• Expectations for justifications in the awards database.

2. Modify the awards database to address the following: 

• Multiple approvals are not completed by the same employee and approvals are not 

completed by the recipient or recommender;

• Controls over time-off award amounts and limits in Agency policy; and

• Approval routings are appropriate and reflect documented procedures. 

3. Revise policies and procedures to reflect FCA’s current awards program, including:

• Guidance for award amounts that are not based on tangible, monetary benefits or are 

awarded as time-off; 

• Appropriate uses for the OAS-entered function in the awards database;

• Grossing up awards;

• Award nomination, recommendation, and approval procedures;

• Required reporting; 

• Time-off for new parents; and

• Types of awards. 

4. Complete reimbursement of the award made to a Schedule C employee during the restricted 

presidential election period.

The Agency agreed with our report. OAS stated it would provide education on award criteria and 

expectations for award justifications; review and update the awards database; revise policies and 

procedures; and complete reimbursement of the award made to a Schedule C employee. 
9 

OBJECTIVE, SCOPE, AND METHODOLOGY

The objective of this audit was to determine if FCA is following policies and procedures and has 

adequately implemented controls over awards and incentives. We conducted fieldwork at FCA’s 

Headquarters in McLean, VA from November 2016 through February 2017. We limited our scope to 

FCA’s awards from September 2014 through December 2016. We did not include performance-based 

salary adjustments and bonuses in our review6

. 

We took the following steps to accomplish the objective:

• Identified and reviewed applicable laws, regulations, and other guidance related to the 

objective.

• Reviewed prior audits and other reviews related to the audit objective. 

• Analyzed policies, procedures, and internal control plans and reviews related to awards. 

• Conducted interviews with Office of Agency Services and Office of Information Technology 

officials, the Chief Operating Officer, and employees with responsibility for the award process. 

• Determined the type, amount, and number of awards made by each office in the audit scope. 

• Reviewed the Agency’s awards program and compared it to processes documented in policies 

and procedures. 

• Sampled 202 awards in the awards database from September 2014 through December 2016. 

We reviewed approvals for each award documented in the awards database and analyzed 

justifications for each award. We selected our sample based on various factors including: award 

amount (monetary and time-off); type of award; timing of award; recommender and recipient; 

and approval status. The sample was judgmental and cannot be projected over the entire 

population. 

• Reviewed list provided by OAS of political appointees and Schedule C employees at the Agency 

and determined whether awards were made during the restricted presidential election period.

This audit was performed in accordance with the Generally Accepted Government Auditing Standards. 

Those standards require that we plan and perform the audit to obtain sufficient, appropriate evidence 

to provide a reasonable basis for our findings and conclusions based on our audit objectives. We 

assessed internal controls and compliance with laws and regulations to the extent necessary to satisfy 

the objective. Because our review was limited, it would not necessarily have disclosed all internal 

control deficiencies that may have existed at the time of our audit. We assessed the computerprocessed data relevant to our audit objective and determined the data was sufficiently reliable. We 

assessed the risk of fraud related to our audit objectives in the course of evaluating audit evidence. 

Overall, we believe the evidence obtained provides a reasonable basis for our conclusions based on our 

audit objective.

 

6 In addition to awards and incentives included as other premium and differential pay, FCA categorizes other costs 

as incentives. These may include reimbursement for professional liability insurance, retention allowances, 

recruitment bonuses, public transportation initiatives, and student loan repayment. These categories were not 

included in our review.
10

ACRONYMS

FCA Farm Credit Administration

OAS Office of Agency Services

OIG Office of Inspector General

OMS Office of Management Services

PPM Policies and Procedures Manual 
REPORT

Fraud | Waste | Abuse | Mismanagement 

FARM CREDIT ADMINISTRATION

OFFICE OF INSPECTOR GENERAL

Phone: Toll Free (800) 437-7322; (703) 883-4316

Fax: (703) 883-4059

E-mail: fca-ig-hotline@rcn.com

Mail: Farm Credit Administration

Office of Inspector General

1501 Farm Credit Drive

McLean, VA 22102-5090