Field Financial

USPS OIG

 

The OIG conducts audits in support of the BOG’s independent public accountant’s overall opinion of Postal Service financial statements. The field financial audits assess the integrity and reliability of the financial information in these statements.

The Field Financial Directorates assess whether the Postal Service accurately presents financial information related to field operations and whether internal controls are in place and effective. To that end, they plan and direct work at a representative sample of Postal Service installations, including post offices, contract postal units, self-service and automated postal centers, stamp distribution offices, and business mail entry units in support of the independent public accounting firm’s annual financial audit. In addition, they observe Postal Service data collectors conducting statistical tests of cost, revenue, and volume data at different district locations to verify the accuracy of data used as part of the ratemaking process. At the conclusion of each audit, the directorates issue a report to district and local management and send copies to area and headquarters management. At the end of each fiscal year, the directorates issue capping reports summarizing the overall results of the individual audits to Postal Service Headquarters. Over the past 6 years, they have issued nearly 1,800 field financial audit reports, making significant recommendations for operational improvements at the local level and for systemic issues at the area and headquarters levels. Further, they have initiated hundreds of referrals for investigation and identified over $5 million of monetary impact related to internal control and financial deficiencies identified during the financial audit work completed at these sites.

The Field Financial Directorates also conduct other financial related and special request audits to identify areas for improvement. For example, at management’s request, they reviewed the implementation of morning standard operating procedures and the BSA at numerous post offices in FY 2005. In FY 2006, they evaluated the adherence of retail locations across the country to aviation mail security procedures.