not developed a comprehensive fire protection plan for the House Complex or a comprehensive testing plan. During CY 2000, we also provided advice to the House Officers as they revised the House Employees Position Classification Guidelines. Calendar Year 2001 Planned Audits For CY 2001, as provided in our proposed annual audit plan, audits will stress health, safety, and security; Member services; House operations; information assurance; emerging technologies; and, System Development Life Cycle activities. We will continue to place emphasis on ensuring that the House and joint entities have sound internal controls to promote efficiency and effectiveness, reduce risks of asset loss, and help ensure the reliability and integrity of these operations, and compliance with laws and regulations. Our primary objective for all of our audits is to work with management to help ensure a system of sound internal controls. Specifically, our proposed 2001 AAP provides for the initiation of 24 audits--10 financial and performance audits, and 14 information systems audits. These audits are to be accomplished through the use of both in-house audit staff and contractor audit staff working as a team. We estimate the total level of effort to accomplish these 24 audits to be approximately 4,900 staff days--2,965 OIG staff days and 1,935 contractor staff days. As of June 1, 2001, most of these audits are in process and five are near completion. FY 2002 Budget Request The OIG's FY 2002 budget request calls for total funding of $3.754 million--an increase of $505,000 over our FY 2001 appropriation. This request is attributable to mandatory and program changes needed to ensure that the OIG continues to provide quality service to the House. An increase of $130,000 is needed to meet the mandatory personnel compensation increases, which are not under the control of the OIG. In addition, we need additional funding of $375,000 to fund the increase in service fees and technical support provided by contract audit services. The following is a detailed explanation of the increases. Relative to personnel compensation, I am requesting $2.125 million in FY 2002--an increase of $130,000 over the FY 2001 level. This increase represents mandatory increases associated with on-board staff for (i) annualized FY 2001 cost of living adjustment, (ii) anticipated FY 2002 cost of living adjustment, (iii) anticipated FY 2002 longevity and career ladder promotions, and (iv) anticipated FY 2002 merit increases. In addition, I am requesting $1.629 million for non-personnel items in FY 2002. This request represents a $375,000 increase in contract audit services from our FY 2001 enacted level of $1.167 million to a requested funded level of $1.542 million. This amount is needed to perform five information systems audits of new highly sophisticated information technology resources that the House plans to purchase. The OIG will need skilled contractors to assist in the evaluations. The additional $375,000 helps fund two of the five audits. The technological and implementation risk to the House, if their new technologies are not implemented properly, could seriously affect the House's ability to process and disseminate information. Mr. Chairman, I wish to thank you and the Members of the Subcommittee for this opportunity to present my FY 2002 budget. At this time, I would be happy to answer any questions that you may have. 1) 2) OFFICE OF INSPECTOR GENERAL U.S. HOUSE OF REPRESENTATIVES April 24, 2001 Member Computer Systems Security Weaknesses (Report No. 95-CAO-01, Proposed New Financial Management System Will Not Meet The House's Needs And 3) Internet Security Weaknesses (Report No. 95-CAO-03, July 18, 1995) 4) Changes in Operating Practices Could Save Publications & Distribution $5.5 Million 5) The House Gift Shop's Internal Controls Need To Be Improved (Report No. 95-CAO-05, 6) Changes in Operating Practices Could Save Media Services $1.7 Million Annually (Report No. 95-CAO-06, July 18, 1995) 7) Changes In Operating Practices Could Save Office Supply Store And Gift Shop 8) 9) 10) 11) Continuation Of Member Services Operations Threatened By High Operating Costs And Storage Space Occupied By Old, Outdated Items Costs The House $170,000 Annually (Report No. 95-CAO-09, July 18, 1995) Lack Of Sound Personnel Policies And Procedures Could Cost The House Millions (Report No. 95-CCS-10, July 18, 1995) Standardized Processes Are Needed To Create An Efficient And Effective Procurement 12) 13) 14) 15) 16) 17) 18) 19) 20) 21) 22) 23) The House Needs To Integrate Planning And Financial Management To Improve Opportunities Exist To Improve The Generation Of Legislative Information In Opportunities Exist To Improve Resource Utilization In The Office Of The Sergeant at Arms (Report No. 95-SAA-14, July 18, 1995) Changes in Operating Practices Could Save Office Furnishings $1 Million Annually (Report No. 95-CAO-15, July 18, 1995) Problems Plagued The House's Financial Operations (Report No. 95-CAO-16, July 18, 1995) Split Responsibility For Equipment Leasing And Maintenance Cost The House House Computer Systems Were Vulnerable To Unauthorized Access, Modification, The Management And Control Of The House's Information Systems Operations Should The House Needs to Follow A Structured Approach For Managing And Controlling The House Beauty Shop's Management Controls Do Not Adequately Safeguard Assets U. S. House of Representatives Audit Of Financial Statements For The 15-Month Period U. S. House of Representatives Audit Of Administrative Operations Compilation Report (Report No. 95-HOC-23, July 18, 1995) |