oversight

Semi-annual report: Oct-Mar 2013

Published by the Equal Employment Opportunity Commission, Office of Inspector General on 2013-04-30.

Below is a raw (and likely hideous) rendition of the original report. (PDF)

U. S. Equal Employment
Opportunity Commission



   Office of Inspector General




         Semiannual Report
           to Congress
      October 1, 2011-March 31, 2012

                                      Milton A. Mayo, Jr.
                                      Inspector General




OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                         OIG VISION

  Agents Igniting Change and Fostering Accountability,
      Effectiveness, and Efficiency in Government




                       OIG MISSION

The OIG’s mission is to detect and prevent waste, fraud and
abuse and to promote economy, efficiency, and effectiveness
           in Agency programs and operations.




             OIG Semiannual Report to Congress   October 1, 2011 - March 31, 2012
CONTENTS


A Message from the Inspector General                                                       5

Executive Summary                                                                          6

Introduction                                                                               8

The Audit and Evaluation Program                                                           11
Completed Projects
New and Ongoing Audit and Evaluation Projects
Audit Follow-up

The Investigation Program                                                                  21
Investigative Inquiries
Completed Investigations
Ongoing Investigative Activity

Appendixes                                                                                 23
Appendix I. Final Office of Inspector General Audit and Evaluation Reports
Appendix II. Index of Reporting Requirements
Appendix III. Single Audit Act Report




                      OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
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OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                        Equal Employment Opportunity Commission




                   A MESSAGE FROM
               THE INSPECTOR GENERAL


I   n accordance with the Inspector General Act of 1978, as amended, I herewith submit
the Semiannual Report for the period October 1, 2011 through March 31, 2012, which
summarizes the major activities of our office for the reporting period. Section 5 of the
Inspector General Act requires the Chair to transmit this report to the appropriate
committees or subcommittees of Congress within 30 days of its receipt.

During this period, the OIG issued four final audit reports and, closed three investigation
matters, and received 602 investigative inquiries, of which 267 were charge processing
issues, 250 were Title VII complaints, and 85 were other investigative allegations. It is
our expectation that with appropriate funding for essential staffing we will be able to
further our work in assisting the Agency in its efforts to improve its efficiency and
effectiveness in carrying out its mission.

I would like to thank the dedicated OIG team for their continued commitment to pursuing
the mission of this office and that of the Commission. Finally, we would like to thank
Chair Jacqueline A. Berrien and her staff for their cooperation and continued support for
the work of this office.


Regards,



Milton A. Mayo Jr.
Inspector General
April 30, 2012




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                   OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                         Equal Employment Opportunity Commission


EXECUTIVE SUMMARY
This semiannual report is issued by the Equal Employment Opportunity Commission’s
(EEOC’s) Office of Inspector General (OIG) pursuant to the Inspector General Act of
1978, as amended. It summarizes the OIG’s activities and accomplishments for the
period of October 1, 2011 through March 31, 2012.

During the reporting period the OIG issued four audit products, closed three investigative
matters, and received 602 inquiries, of which 267 were charge-processing issues, 250
were Title VII complaints, and 85 were other investigative allegations.

Included among the OIG’s completed, newly initiated, and ongoing audit, evaluation and
investigative projects are:

     Harper, Rains, Knight & Company, P.A. (HRK) issued an unqualified opinion on
      EEOC’s fiscal year 2011 financial statements. In the independent auditor’s report
      on Internal Controls, there were no material weaknesses or significant
      deficiencies. Additionally, there were no instances of non compliance with laws
      and regulations included in HRK’s report on compliance.

     OIG contracted with Clifton Gunderson LLP (CG) to perform the OIG’s
      independent evaluation of the effectiveness of the Agency’s information security
      program. CG reported that EEOC met most, but not all, of the key requirements
      of the Federal Information Security Management Act of 2003 (FISMA).

     OIG issued the Management Letter Report for the FY 2011 Financial Statement
      Audit prepared by HRK. The audit noted continued weaknesses relating to
      controls over accountable/sensitive property and in the maintenance of electronic
      official personnel files (E-OPFs). OIG made recommendations to EEOC
      management and management provided corrective action plans to address the
      recommendations.

     OIG issued its report on the Agency’s FY 11 compliance with the Improper
      Payments Elimination and Recovery Act (IPERA). OIG reported that the Agency
      complied with the Improper Payments Information Act (IPIA), as amended by
      IPERA.

     Closed investigations included a conflict-of-interest matter, bribery, and disclosure
      of confidential information.




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                   OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                        Equal Employment Opportunity Commission

       Ongoing investigations continue in several field offices involving the Federal
        Employee Compensation Act (FECA), misclassification of a position, and other
        matters.




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                   OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                        Equal Employment Opportunity Commission


INTRODUCTION
The Equal Employment Opportunity Commission

The Equal Employment Opportunity Commission (EEOC) is the Federal agency
responsible for enforcement of Title VII of the Civil Rights Act of 1964, as amended; the
Equal Pay Act of 1963; the Age Discrimination in Employment Act of 1967; Section 501
of the Rehabilitation Act of 1973 (in the Federal sector only); Title I of the Americans
with Disabilities Act of 1990 and Americans with Disabilities Act Amendments Act of
2008; the Civil Rights Act of 1991; the Lilly Ledbetter Fair Pay Act of 2009; and the
Genetic Information Nondiscrimination Act of 2008 (P.L. 110-233 Stat 881), also
referred to as GINA. These statutes prohibit employment discrimination based on race,
sex, color, religion, national origin, age, disability, or genetic information.

EEOC is also responsible for carrying out Executive Order 12067, which promotes
coordination and minimizes conflict and duplication among Federal agencies that
administer statutes or regulations involving employment discrimination.

EEOC is a bipartisan commission composed of five presidentially appointed members,
including a Chair, a Vice Chair, and three commissioners. The Chair is responsible for
the administration and implementation of policy and for the financial management and
organizational development of the Commission. The Vice Chair and the commissioners
equally participate in the development and approval of the policies of EEOC, issue
charges of discrimination where appropriate, and authorize the filing of lawsuits.
Additionally, the President appoints a General Counsel, who is responsible for
conducting litigation under the laws enforced by the Commission.

The Office of Inspector General

The U.S. Congress established the Office of Inspector General (OIG) at the EEOC
through the 1988 amendments of the Inspector General Act of 1978, which expanded
authority to designated Federal entities to create independent and objective OIGs. Under
the direction of the Inspector General (IG), the OIG meets this statutory responsibility by
conducting and supervising audits, evaluations, and investigations relating to the
programs and operations of the Agency; providing leadership and coordination; and
recommending policies for activities designed to promote economy, efficiency, and
effectiveness in the administration of programs and operations.

In October 2008, Congress passed the Inspector General Reform Act of 2008, which
generally buttressed the independence of IGs, increased their resources, and held them
more accountable for their performance. The OIG is under the supervision of the IG, an
independent EEOC official subject to the general supervision of the Chair. The IG must
not be prevented or prohibited by the Chair or any other EEOC official from initiating,


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                   OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                        Equal Employment Opportunity Commission

carrying out, or completing any audit, investigation, evaluation, or other inquiry or from
issuing any report.

The IG provides overall direction, coordination, and leadership to the OIG; is the
principal advisor to the Chair in connection with all audit and investigative matters
relating to the prevention, identification, and elimination of waste in any EEOC program
or operation; and recommends the proper boundaries of audit and investigation
jurisdiction between the OIG and other EEOC organizations. The IG also develops a
separate and independent annual budget for the OIG; responds directly to inquiries from
the public, Congress, or the news media; and prepares press releases, statements, and
other information about the OIG’s activities.

The Deputy Inspector General (DIG) serves as the alter ego of the IG and participates
fully in policy development and management of the diverse audit, investigation,
evaluation, and support operations of the OIG. The DIG also ensures that the Audit,
Evaluation, and Investigation Programs (AEIP) address their mission, goals, and
objectives in accordance with the Inspector General Act, other laws, Agency policy, and
congressional requests. The DIG provides overall direction, program guidance, and
supervision to the AEIP. The AEIP staff conducts audits, evaluations, and investigations
of EEOC operations and activities and prepares reports for issuance to the Chair, EEOC
management, and Congress.

The Counsel to the Inspector General (CIG) is the sole legal advisor in the OIG,
providing advice in connection with matters of importance to the OIG. The CIG provides
day-to-day guidance to the OIG’s investigation team and is the primary liaison with
Agency legal components and the Department of Justice. The CIG assists the IG and DIG
in the development and implementation of the OIG’s policies and procedures. The CIG
conducts legal reviews of all audit, evaluation, and investigation reports; reviews
proposed and revised legislation and regulations; and recommends appropriate responses
and actions.

In addition to these positions, the OIG staff includes a management analyst, an evaluator,
two auditors, two criminal investigators, an administrative specialist, and a confidential
support assistant.

The OIG has two critical vacancies, which are impacting its operational effectiveness.
The Deputy Inspector General (DIG) position, the IG’s alter-ego and the first line
supervisor for the OIG’s auditors, evaluators, and investigators, has been vacant since
May 2011 following the appointment of the DIG to the Inspector General position. The
OIG’s Management Analyst position has been vacant since April 2010. This position,
which was reclassified to a GS-2210 Information Technology Management series,
manages the OIG’s information technology program, including OIG’s oversight of the
Agency’s annual Federal Information Security Management Act of 2002 (FISMA)


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                   OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                       Equal Employment Opportunity Commission

evaluation; performs computer forensics for OIG’s investigative component; designs,
procures, implements and supervises the OIG’s investigative case management and audit
tracking systems; and is responsible for the procurement and maintenance of the OIG’s
hardware and software. OIG awaits resources to fill these essential positions.




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                         Equal Employment Opportunity Commission


                   THE AUDIT AND EVALUATION PROGRAM
                   The Audit and Evaluation Program supports the OIG’s strategic goal
                   to improve the economy, efficiency, and effectiveness of EEOC
                   programs, operations, and activities.



COMPLETED PROJECTS

Audit of the EEOC’s Fiscal Year 2011 Financial Statements (OIG Report No. 2011-
02-FIN)

The independent certified public accounting firm of Harper, Rains, Knight & Company,
P.A. (HRK) audited the financial statements of EEOC for FY 2011. HRK issued an
unqualified opinion on EEOC’s FY 2011 financial statements. In its report on internal
control over financial reporting, HRK noted no areas involving internal control that were
considered to be material weaknesses or significant deficiencies. In its report on
compliance with applicable laws and regulations, HRK noted no instances of non
compliance with laws and regulations applicable to the Agency. The report was issued
by the OIG on November 14, 2011.

Fiscal Year 2011 FISMA Independent Evaluation (OIG Report No. 2011-05-
FISMA)

The OIG contracted with Clifton Gunderson LLP to perform the OIG’s independent
evaluation of the effectiveness of the Agency’s information security program. Clifton
Gunderson reported that EEOC met most, but not all, of the key requirements of the
Federal Information Security Management Act of 2002 (FISMA). The Agency made
positive strides over the last year in addressing information security weaknesses and
continues to make progress in becoming fully compliant with FISMA. However, EEOC
still faces challenges to refine its information security program. These challenges involve:

        Maintaining documentation for network access requests/approvals
        Implementing multi-factor authentication
        Updating the agency-wide business impact analysis
        Implementing controls over the Agency’s vulnerability assessment process, and
        Removing virtual private network access for separated employees in a timely
         manner.

The report was issued on November 17, 2011.




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                    OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                          Equal Employment Opportunity Commission

Management Letter Report for FY 2011 Financial Statement Audit
(OIG Report No. 2011-03-FIN)

On December 15, 2011, the OIG issued the Management Letter Report for the FY 2011
Financial Statement Audit prepared by HRK. Internal control weaknesses continued
relating to controls over accountable/sensitive property and in the maintenance of
electronic official personnel files (e-OPFs). Recommendations for EEOC management
were as follows:

      Conduct more thorough inspections of submitted property reports to ensure that
       reported property is correctly reported as to type, location, and proper inclusion on
       sensitive property report.

      Report those offices that do not submit property certifications in accordance with
       established policy to the Office of the Chair, and require that justifications be
       provided for late certifications.

      Establish a policy and procedure to perform internal audits of the EEOC eOPF
       system for proper implementation and application of all Office of Personnel
       Management and EEOC policies and procedures for the recording and maintaining
       of official personnel records.

Management provided corrective action plans to address the recommendations. HRK
will perform procedures in FY 2012 to determine whether these corrective action plans
adequately address the recommendations.

Report of the Inspector General for the U.S. EEOC on Agency Compliance for
Fiscal Year 2011 with IPERA (OIG Report No. 2012-04-IPERA)

The OIG reported that the Agency had complied with the Improper Payments
Information Act (IPIA), as amended by IPERA. The Agency’s acting Chief Financial
Officer concluded that the agency was not at high risk for significant improper payments
after conducting a risk assessment which was based on OIG financial statement audit
reports and agency internal controls in place relating to payments. Additionally, the
Agency has a payment recapture process in place in case any future improper payments
are identified. The report was issued March 12, 2012.

NEW AND ONGOING AUDIT AND EVALUATION PROJECTS

FY 2012 Audit of the Consolidated EEOC Financial Statements
Harper, Rains, Knight & Company, P.A., is conducting the FY 2012 annual financial
statement audit of the EEOC, which is required by the Accountability of Tax Dollars
Act of 2002. Fieldwork is ongoing, and the audit opinion is expected to be issued by


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                    OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                        Equal Employment Opportunity Commission

November 15, 2012, to meet the Office of Management and Budget (OMB) deadline
and to be included in the Agency’s 2012 Performance and Accountability Report.
Additionally, a management letter report will be issued shortly after the financial
statement audit, identifying any internal control weaknesses.
FY 2012 FISMA Audit
The OIG contracted with Clifton Gunderson LLP to perform an independent evaluation
of EEOC’s information security program and selected EEOC systems for compliance
with the FISMA and the OMB’s reporting requirements for Inspectors General. An
entrance conference was held on February 22, 2012. Fieldwork is under way and is
scheduled to be completed early in the first quarter of 2013 to meet the reporting
deadline.
Review of EEOC Relocation Planning

The primary purpose of this review is to determine how EEOC can improve its efficiency
and effectiveness in the planning and execution of future EEOC office relocations. The
OIG issued a preliminary draft report to the Office of the Chief Financial Officer (OCFO)
in February 2010 and received OCFO’s comments in March 2010. The OIG suspended
activity on the project in the third quarter of FY 2010 and resumed activity in the fourth
quarter of FY 2011. The OIG plans to issue a draft report in the third quarter of FY 2012.

Review of EEOC’s Strategic Plan

During the reporting period, the EEOC issued a new Strategic Plan for FY 2012-2016.
(http://www.eeoc.gov/eeoc/plan/strategic_plan_12to16.cfm). The plan contains three
strategic objectives, four outcome goals, strategies for meeting the outcome goals, and 13
performance measures linked to one or more strategies.

In July 2011 EEOC Chair Jacqueline A. Berrien launched an initiative to develop a new
strategic plan for the Agency. On January 19, 2012, EEOC posted its Draft Strategic Plan
on the EEOC public website, and on February 22, 2012, the Commission adopted the
plan by a 4-1 vote. The OIG has commenced a review of the new Strategic Plan and
shall report its findings, including an assessment of the efficacy of the plan, and the
Agency’s progress in implementing the plan, in the OIG’s Fall 2012 Semiannual Report.

Audit Follow-up Program Review

The OIG is conducting an Audit Follow-up Program (AFP) review to determine whether
the policies, procedures and practices utilized by EEOC in administering its AFP are
sufficient to expeditiously resolve audit recommendations resulting from OIG reviews, as
well as external reviews performed by the Government Accountability Office (GAO),
other Executive branch audit organizations, and non-governmental audit organizations.


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                   OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                        Equal Employment Opportunity Commission

OIG will assess the condition of the EEOC AFP and ascertain opportunities to improve
the program’s performance and results. A draft report is planned for the fourth quarter of
FY 2012.

Related Audit Follow-up Initiative

The OIG conducted outreach to improve the audit follow-up process. The OIG is seeking
to assist auditees in understanding the audit follow-up process so that the process is more
efficient and implementation of recommendations is timelier. We met with the Director
and other staff in the Office of Field Programs to explain the audit follow-up process and
corrective action plan format.

AUDIT FOLLOW-UP

Audit follow-up is an integral part of good management and is a shared responsibility of
Agency management officials and auditors. Corrective action taken by management to
resolve findings and recommendations is essential to improving the effectiveness and
efficiency of Agency operations.

Section 5(a)(1) of the Inspector General Act of 1978, as amended, requires that
semiannual reports include a summary description of significant problems, abuses, and
deficiencies relating to the Agency’s administration of programs and operations disclosed
by the OIG during the reporting period. Four reports were issued during this reporting
period (April 1, 2011–September 30, 2011), two of the reports contained findings.

                    Reports Issued During This Reporting Period

     Fiscal Year    Report Number              Report Title                 Date Issued
        2011       2011-02-FIN             FY 2011 Financial              11/14/2011
                                             Statement Audit
        2011       2011-05-FISMA            FY 2011 Federal               11/17/2011
                                          Information Security
                                        Management Act (FISMA)
                                                  Report
        2011       2011-03-FIN             FY 2011 Financial              12/15/2011
                                         Statement Management
                                              Letter Report
        2011       2012-04-IPERA           FY 2011 Improper               3/12/2012
                                        Payments and Elimination
                                         Recovery Act (IPERA)
                                                 Review




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                   OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                               Equal Employment Opportunity Commission

As required by Section 5(a)(3) of the Inspector General Act of 1978, as amended,
semiannual reports shall provide an identification of each significant recommendation
described in previous semiannual reports on which corrective action has not been
completed. OIG staff met with Agency follow-up officials in March 2012. The OIG is
reporting a total of 11 reviews with a total of 39 open recommendations for this reporting
period. The following table shows those recommendations for which corrective action
has not been completed.


       Recommendations for Which Corrective Actions Have Not Been Completed


     Fiscal
      year      Report number                          Report title                          Date issued
     2010        2010-04-FIN             FY 2010 Financial Statement Audit                    2/7/2011
                                            Management Letter Report

                                           Open Recommendations:
             Report those offices that do not submit property certifications in accordance with
              established policy to the Office of the Chair, and require that justification be provided
              for late certifications.
             Conduct internal audits of submitted property certifications, to ensure that reported
              property is correctly reported as to type and location.
             Establish a policy to perform internal audits of the EEOC eOPF system for proper
              implementation and application of all OPM and EEOC policies and procedures for the
              recording and maintaining of official personnel records.
             Implement and document the implementation of all applicable client control
              considerations provided by the service provider. The documentation should be readily
              available for review and shared with all relevant EEOC offices.




     Fiscal
      year       Report number                          Report title                         Date issued
     2010           2010-07-         Federal Information Security Management                 11/1/2010
                     FISMA                         Act Report

                                     Open Recommendations:
        Develop/improve vulnerability scanning capability, and incorporate the results of
         scanning into the plan of action and milestones process.


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                        OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                             Equal Employment Opportunity Commission

        Implement multifactor authentication.
        Ensure that procedures are followed for disabling accounts no longer active.




     Fiscal
      year       Report number                          Report title                         Date issued
     2010        2010-09-AEP            Evaluation of the Management of the                  3/21/2011
                                         EEOC’s State and Local Programs

                                           Open Recommendations:
             Develop and implement strategic performance goals and objectives that are reflective
              of the program; measurable, and in accordance with the requirements of the
              Government Performance and Results Act (GPRA).
             Work with the CFO to include the performance goals, objectives, and measures in the
              annual performance and accountability report.
             Request additional funding to provide Fair Employment Practice Agencies (FEPAs)
              with formal substantial weight review (SWR) training and other alternative training
              methods that will allow FEPAs to take advantage of the actual technology and to reach
              the widest audience in a more efficient and cost- effective structure.
             Perform a full assessment of the cost for resolution and intakes, reassess the current
              payment amounts and case quotas, and consider making appropriate adjustments to the
              payment amounts and budgeted quotas to provide a fee that covers a greater
              percentage of the cost of case processing.
             Request additional funds to provide incentive payments to FEPAs to go beyond their
              case quota in order to encourage continued productivity.
             Revisit their budget allocation process to determine ways that the process can be
              improved to be more efficient and timely and provide better controls designed to
              reduce the potential for fraud.
             Develop and institute a consistent monitoring process for the District Offices that
              occurs throughout the fiscal year, not just at fiscal year-end.
             Develop written procedures for processing voucher payments in collaboration with the
              Office of Finance.




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                        OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                         Equal Employment Opportunity Commission



     Fiscal
      year    Report number                         Report title                         Date issued
     2009      2009-05-FIN           FY 2009 Financial Statement Audit                   1/12/2010
                                        Management Letter Report

                                     Open Recommendations:
        Ensure that all user accounts are assigned to a unique individual; ensure that all data
         network and e-mail accounts are created and authorized in accordance with EEOC
         policies and procedures; disable network and e-mail accounts that have not been used
         for 30 days, as mandated by the Office of Information Technology’s (OIT’s) policy on
         controls for creating, changing, and terminating system account policy; ensure that all
         offices comply with the required annual user account confirmation procedures listed
         within the EEOC OIT policy on creating, changing, and terminating system accounts.
         (finding repeated in FY 2010 Management Letter.)
        Update the network vulnerability scan policies and procedures to ensure that the
         volume of medium and high-risk vulnerabilities identified as a result of scanning is in
         accordance with industry best standards. (finding repeated in FY 2010 Management
         Letter.)
        EEOC management develops and implements policies and procedures for outsourced
         applications to ensure application security violations are appropriately reviewed and
         reported. (finding repeated in FY 2010 Management Letter.)



     Fiscal
      year    Report number                        Report title                          Date issued
     2008     2008-13-AEP            Independent Evaluation of Agency                    9/24/2008
                                         Compliance with FISMA

                                     Open Recommendations:
        Implement plans and procedures with the Agency field offices to identify and dispose
         of all old and nonworking information systems by April 30, 2008; also ensure that
         information is appropriately destroyed before the systems’ disposal.




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                    OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                         Equal Employment Opportunity Commission




     Fiscal
      year    Report number                        Report title                          Date issued
     2008     2008-12-AEP     FY 2008 Independent Audit of EEOC Privacy                  9/30/2008
                                              Program

                                     Open Recommendations:
        Develop and implement policies and procedures to provide periodic reminders to all
         employees and contractors of their responsibility to protect sensitive personally
         identifiable information (PII) in both electronic and hard-copy format.
        Develop, document, and implement procedures to monitor compliance with EEOC
         policies and procedures related to the protection, processing, storage, and destruction
         of sensitive hard copy PII.
        Centralize administration of Web site privacy policies.
        Ensure that all privacy policies posted to EEOC Web sites comply with OMB
         requirements.
        Ensure that all privacy policies are posted on (a) EEOC’s principal Web site, (b) any
         known major entry points to EEOC sites, and (c) any Web page that collects
         substantial information in identifiable form.
        Review all privacy laws and regulations and identify those applicable to EEOC.
        Develop, document, and implement a formal process for ensuring that all new privacy-
         related laws and regulations are evaluated to determine whether EEOC is required to
         follow them.
        Continue with the planned action to implement two-factor authentication with the
         implementation of badges for Homeland Security Presidential Directive 12.


     Fiscal
      year    Report number                         Report title                         Date issued
     2009      2008-06-FIN           FY 2008 Financial Statement Audit          2/12/2009
                                        Management Letter Report
                                      Open Recommendations:
        Office of Human Resources obtain and file all documentation supporting personnel
         and payroll actions taken and ensure that information is available for review upon
         request. (finding repeated in FY 2010 Management Letter.)




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                    OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                            Equal Employment Opportunity Commission

     Fiscal
      year    Report number                        Report title                          Date issued
     2008     2008-03-AMR         Oversight of Federal Agency Reporting                  9/26/2008
                                 Management Directive 715 (MD-715) and
                                              Related Topics

                                     Open Recommendations:
        Obtain customer feedback on Management Directive 715 (MD-715) and other
         oversight issues using a real-time blog or similar mechanism.
        Require Federal agencies to submit part G, of their equal employment opportunity
         assessment, with their annual MD-715 submissions.


     Fiscal
      year    Report number                     Report title                             Date issued
     2007     2007-12-AMR       Evaluation of EEOC Field Office Continuity               3/27/2008
                                            of Operations Plans

                                      Open Recommendations:
        Ensure that all field office staff take the continuity of operations (COOP) awareness
         course.
        Develop and implement policies and procedures instructing field office staff to store
         all mission-critical electronic files on Agency-managed network drives.




     Fiscal
      year    Report number                         Report title                         Date issued
     2008        2007-11-             Performance Audit of the EEOC’s                    8/26/2008
                 RFPERF              Education, Training, and Technical
                                     Assistance Program Revolving Fund

                                   Open Recommendations:
        Operate the Revolving Fund as an independent program within the Agency.
        Approve the establishment of the EEOC Training Institute Steering Committee.


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                    OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                         Equal Employment Opportunity Commission

        Update the Revolving Fund business plan to reflect strategic direction, vision, and
         goals over the next three to five years.
        Initiate cross-training between job functions where reasonable and practical.
        Reconcile spending plans to amounts recorded in the accounting system.
        Seek professional assistance to develop a more effective budgeting method to project
         financial information to plan training events and monitor goals.

     Fiscal
      year    Report number                     Report title                             Date issued
     2007     2007-07-ADV        Strategic Management of Human Capital,                  4/29/2009
                                            Succession Planning

                                    Open Recommendations:
        EEOC’s Chair and senior management should take an active role in the Agency's
         succession planning efforts, including ensuring that the Office of Human Resources
         takes actions to move the executive and senior leadership development program
         forward including finalizing the document.

As required by Section 5(a) (10) of the Inspector General Act of 1978, as amended,
semiannual reports shall include a summary of each audit report issued before the start of
the reporting period for which no management decision has been made by the end of the
reporting period. The OIG has no audit or evaluation reports that were issued before the
reporting period began for which no management decision has been made.




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                    OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
             Equal Employment Opportunity Commission


     THE INVESTIGATION PROGRAM
     The Investigation Program supports the OIG’s strategic goal to focus
     limited investigative resources on issues that represent the greatest risk
     and offer the maximum opportunity to detect and prevent fraud, waste,
     and abuse in EEOC programs and operations.


             INVESTIGATIVE INQUIRIES


               Investigative Inquires Received
               October 1, 2011– March 31, 2012


               Allegations                   Number


     Charge Processing                                   267

     Other Statutes                                        34

     Title VII                                           250

     Ethics Violations                                      3

     Backgrounds                                            5

     Theft                                                  5

     Threats                                               28

     Fraud                                                  1

     Other Criminal Allegations                             6

     Congressional Inquiries                                3

     Total                                               602




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       OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                        Equal Employment Opportunity Commission

COMPLETED INVESTIGATIONS

Conflict of Interest

The OIG completed its investigation of allegations of conflict of interest involving an
employee’s involvement in an employment discrimination investigation of a company in
which the employee may have had a financial interest. The allegations resulted from the
Agency’s annual review of the employee’s financial disclosure statement wherein the
financial interest was disclosed.

Title 18 U.S.C. §208 prohibits government employees from participating personally and
substantially as a government officer or employee, in investigations and other
proceedings, in which, to his knowledge, he, his spouse, minor child has a financial
interest. Based upon factors uncovered during its investigation, the OIG found no
violation of Title 18 U.S.C. §208 in connection with the employee’s involvement in the
investigation.

Bribery

The OIG received a complaint from a former EEOC employee alleging that an EEOC
trial attorney had accepted a bribe from a third party in connection with the settlement of
a charge of discrimination. After conducting a preliminary investigation into this matter
the OIG found no evidence of bribery and therefore, the OIG closed this investigation.

Disclosure of Confidential Information

The OIG received a complaint alleging that an EEOC employee had communicated
confidential EEOC litigation information to the defense counsel in a case. After
conducting a preliminary investigation, the OIG closed the matter based on a lack of
evidence.

ONGOING INVESTIGATIVE ACTIVITY

The OIG has other ongoing investigations in several offices involving prohibited
personnel practices, ethics violations, conflicts of interest, time and attendance fraud,
disclosure of confidential information, mismanagement, falsification of government
records, misclassification, impersonation of a Federal official, theft of government
property, and threats against the Agency.




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                   OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                      Equal Employment Opportunity Commission


APPENDIX I. FINAL OFFICE OF INSPECTOR GENERAL
AUDIT AND EVALUATION REPORTS


                                                                Funds Put
                                                 Questioned                    Unsupported
       Report Title             Date Issued                      to Better
                                                   Costs                          Costs
                                                                    Use
FY 2011 Financial Statement    11/14/2011
          Audit                                            $0            $0             $0

FY 2011 Federal Information 11/17/2011
 Security Management Act                                   $0            $0             $0
     (FISMA) Report
FY 2011 Financial Statement 12/15/2011
 Management Letter Report                                  $0            $0             $0

FY 2011 Improper Payments      3/12/2012
 and Elimination Recovery                                  $0            $0             $0
   Act (IPERA) Review




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                 OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                         Equal Employment Opportunity Commission


     APPENDIX II. INDEX OF REPORTING REQUIREMENTS


Inspector General
                                        Reporting Requirements                             Page
   Act Citation

Section 4(a)(2)      Review of Legislation and Regulations                               N/A
Section 5(a)(1)      Significant Problems, Abuses, and Deficiencies                      N/A


                     Recommendations with Respect to Significant Problems,
Section 5(a)(2)                                                            N/A
                     Abuses, and Deficiencies


                     Significant Recommendations Included in Previous Reports
Section 5(a)(3)                                                               12-18
                     on Which Corrective Action Has Not Been Completed

Section 5(a)(4)      Matters Referred to Prosecutorial Authorities                       N/A
Section 5(a)(5)      Summary of Instances Where Information Was Refused                  N/A
Section 5(a)(6)      List of Audit Reports                                               9-10
Section 5(a)(7)      Summary of Significant Reports                                      9-11
Section 5(a)(8)      Questioned and Unsupported Costs                                    24
Section 5(a)(9)      Recommendations That Funds Be Put to Better Use                     N/A


                     Summary of Audit Reports Issued Before the Commencement
Section 5(a)(10)     of the Reporting Period for Which No Management Decision N/A
                     Has Been Made



                     Significant Management Decisions That Were Revised
Section 5(a)(11)                                                        N/A
                     During the Reporting Period

                     Significant Management Decisions with Which the Office of
Section 5(a)(12)                                                               N/A
                     Inspector General Disagreed




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                    OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                        Equal Employment Opportunity Commission


APPENDIX III - SINGLE AUDIT ACT REPORTS
The Single Audit Act of 1984 requires recipients of Federal funds to arrange for audits of
their activities. Federal agencies that award these funds must receive annual audit reports
to determine whether prompt and appropriate corrective action has been taken in response
to audit findings. During the reporting period, the OIG reviewed 6 audit reports issued by
public accounting firms concerning Fair Employment Practice Agencies (FEPAs) that
have work-sharing agreements with EEOC. There were no audit findings for the FEPAs
that involved EEOC funds.

                          SINGLE AUDIT ACT REPORTS

 The State of Colorado, June 30, 2010                  The State of Indiana, June 30, 2010
 The State of Utah, June 30, 2011                      The State of Iowa, June 30, 2010
 The State of North Dakota, June 30, 2010              The State of Illinois, June 30, 2010




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          Equal Employment Opportunity Commission




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     OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012
                         Equal Employment Opportunity Commission




     EEOC-OIG The Hotline

     The EEOC Hotline Program was established for Agency employees, other
     Government employees, contractors, and the general public to report fraud, waste,
     abuse, or wrongdoing by phone, e-mail, or by mail.

     What Should you Report

     You should report any concern you may have over a situation in which EEOC is
     the potential victim of fraudulent acts by employees, contractors, or others. It
     includes any violations of laws, rules, regulations, gross mismanagement, gross
     waste or misappropriation of funds, and abuses of authority


     OIG Hotline Contact Information


                           Call:
                           EEOC-OIG Hotline
                           Toll-free 1-800-849-4230


                          E-Mail:
                          INSPECTOR.GENERAL@EEOC.GOV



                           Write:
                           Equal Employment Opportunity Commission
                           Office of Inspector General
                           PO Box 77067
                           Washington, DC 20013-7067

       Identities of Writers, E-mailers, and Callers are always Fully Protected



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                    OIG Semiannual Report to Congress October 1, 2011 - March 31, 2012