About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline
LOG IN
LOG IN

GAO-16-522R 1 (2016-06-13)

handle is hein.gao/gaobaajyp0001 and id is 1 raw text is: G A U.S. GOVERNMENT ACCOUNTABILITY OFFICE 441 G St. N.W. Washington, DC 20548 June 13, 2016 The Honorable Richard Cordray Director Bureau of Consumer Financial Protection Management Report: Improvements Needed in CFPB's Internal Controls and Accounting Procedures Dear Mr. Cordray: On November 16, 2015, we issued our report containing our opinion on the fiscal years 2015 and 2014 financial statements of the Bureau of Consumer Financial Protection, known as the Consumer Financial Protection Bureau (CFPB).1 Our report also included (1) our conclusion on CFPB's compliance with selected provisions of applicable laws, regulations, contracts, and grant agreements during fiscal year 2015 that we tested and (2) our opinion on the effectiveness of CFPB's internal control over financial reporting as of September 30, 2015, including discussion of deficiencies identified in CFPB's internal control over accounting for property, equipment, and software that collectively constituted a significant deficiency in CFPB's internal control over financial reporting.2 The purpose of this report is to (1) present additional information regarding the significant deficiency we identified in our November 2015 financial audit report, along with related recommendations; (2) communicate other less significant deficiencies identified but not reported during our fiscal year 2015 audit; and (3) provide the status of our prior recommendations reported in our May 2, 2014, management report to CFPB (see enc. 1).3 Title X of the Dodd-Frank Wall Street Reform and Consumer Protection Act,4 referred to as the Consumer Financial Protection Act of 2010, created CFPB. The act charged CFPB with regulating the offering and provision of consumer financial products or services under the federal consumer financial laws. The act also requires CFPB to annually prepare financial 1GAO, Financial Audit. Bureau of Consumer Financial Protection's Fiscal Years 2015 and 2014 Financial Statements, GAO-16-96R (Washington, D.C.: Nov. 16, 2015). 2A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. A material weakness is a deficiency, or combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected, on a timely basis. A control deficiency exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. 3GAO, Management Report.- Improvements Needed in CFPB's Internal Controls and Accounting Procedures, GAO= 14-455R (Washington, D.C.: May 2, 2014). 4pub. L. No. 111-203, Title X, 124 Stat. 1376, 1955-2113 (2010). GAO-16-522R CFPB Fiscal Year 2015 Management Report Page 1

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Contact Us

Already a HeinOnline Subscriber?

Log In

profiles profiles most