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093569 1 (1974-02-01)

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Donald P  Hodel, Aaministrator
Bonneville Power Administration/
P 0  Box 3621
Portland, Oregon  97208


1 FEB 1974


Dear Mr  Hodel
                                                DLC;  66071
     We have completed our audit of the Federal Columbia River
Power System financial statements for the fiscal year ended
June 30, 1973   Our review included an examination of the
Bonneville Power Administration's (BPA) accounting records and
practices as a basis for evaluating the reasonableness and
propriety of its financial statements

     Although we concluded BPA's administrative procedures and
controls are generally adecuate, we want to bring the following
items to your attention.  These matters were discussed with
members of your staff

AUTOMATIC DATA PROCESSING-~
INTERNAL CONTROLS

     Our review of internal controls for the automatic data
processing system showed a need to strengthen controls to
assure that computer resources are used for only authorized
jobs

     Current proceaure allows jobs to be submitted for processing
either by keypunched control cards or directly, through remote
computer terminals.  In both instances, the control card or the
log-in procedures identify a user, his organization, account
code and aoplication code   The oroper combination of these is
reportedly checked by the computer and a job rejected when an
identifier is incorrect




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UNITED STATES GENERAL ACCOUNTING  OFFICE
            REGIONAL  OFFICE
         ROOM 201 415 FIRST AVENUE NORTH
         SEATTLE, WAShINGTON 98109  ( 0A(1


0   q3569

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