Implementation Status

1
Office of Management and Budget Circular A-123
(Appendix A)Management Accountability and
Control

• Implementation Status
• Grace Huang
• February 13, 2007

2
FY 07 Overall Strategies

• Assessment and testing of risks/controls in
  moderate and low risk areas
• Remediation depends on the results of assessment
  and/or testing
• Realignment of FY 2006 data for additional
  requirements for FY 2007
• Defining FY 2008 scope (pending HQ guidance)
• Meeting quarterly and final reporting deadlines

3
Assessment Strategies

• Internal Audit conducted trainings on internal
  controls for the OCFO in December 2006
• Understanding DOE HQs and Chicago guidance and
  communicating to implementation team in
  timelines, milestones, and/or instructions
• Reviewing and evaluating controls in moderate and
  low risk areas so that controls may be reasonably
  consolidated reduced number of controls should
  streamline the overall testing effort

4
Assessment Status
Cycle Owner Status as of 2/12/2007
B2C Bridget Haverty, Anne Moore, and David Hathaway Assessment complete, project manager to update results
ERM Cynthia Coolahan and Rosario Sayson Process owners to submit assessment result by 2/15/2007
P2A Helena Cheng and John Morgan Process owners to submit assessment result by 2/15/2007
P2P David Chen, Aurora Pecoraro, Lauretta Corsair, and Sallie Frainier Process owners to confirm assessment result by 2/15/2007
Q2C Kimmy Cheung, Bridget Haverty, and Phyllis Gale Process owners to confirm assessment result by 2/15/2007
EC Ira Nishibayashi Owner to confirm assessment results by 2/15/2007
5
Path forward

• Testing to be completed for controls in
  moderate/low risk sub-categories/processes (2/3
  of the data) with relatively same amount of time
  as FY06 (1/3 of the data was tested)
• Focusing testing effort on key controls
• Recruiting volunteers outside of IAS to assist
  with testing activities to create opportunities
  for staff to understand operations in different
  areas and learn self-assessment skills
• Also relying on testing performed within the past
  12 months

6
Path forward

• Different remediation strategies for FY07
  Controls with minor deficiencies not necessarily
  requiring remediation
• Working with Testing team to identify a
  methodology where deficient controls may be
  tested (diagnosed) before remediation work begins
  

7

• Questions?