oversight

Semiannual Report March 31, 2015

Published by the Farm Credit Administration, Office of Inspector General on 2015-03-31.

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

     

         




             
     
             
Farm Credit Administration                                       Office of Inspector General
                                                                 1501 Farm Credit Drive
                                                                 McLean, Virginia 22102-5090




April 21, 2015

The Honorable Kenneth A. Spearman, Board Chairman
The Honorable Dallas P. Tonsager, Board Member
The Honorable Jeffery S. Hall, Board Member
Farm Credit Administration
1501 Farm Credit Drive
McLean, VA 22102-5090

Dear Board Chairman Spearman and FCA Board Members Tonsager and Hall:

Enclosed is the semiannual report on the activities of the Farm Credit Administration’s (FCA or
Agency) Office of Inspector General (OIG) for the period October 1, 2014 through March 31,
2015. This is the fifty-second report since the establishment of the OIG on January 22, 1989.

I submit this report in accordance with the Inspector General Act of 1978, as amended (IG Act).
Section 5(b) of the IG Act requires that the FCA Board send this report to the appropriate
Congressional committees and subcommittees within 30 days after the date of this transmittal,
accompanied by management’s report on the status of audit, inspection, and/or evaluation
action items.

I would like to thank outgoing Board Chair Jill Long Thompson and Board Member Leland Strom
for their sustained support of the OIG’s work. Moreover, I congratulate Kenneth Spearman on
his appointment as Chairman of the FCA Board, as well as welcoming Board Member Dallas
Tonsager and Board Member Jeffery Hall. I look forward to a harmonious and productive
relationship.

This reporting period, the OIG has experienced additional transitions regarding our personnel.
In October, our Administrative Assistant retired. We transitioned the position to a
Management/Program Analyst in October; we currently have a staff of six professionals.

The OIG is diligent in keeping to its core mission of conducting independent audits,
investigations, and reviews to improve the Agency’s efficiencies and effectiveness. We issued
two program audit reports during this reporting period: one on FCA’s Special Supervision and
Enforcement processes and the second on FCA’s Commissioning Program.

For the six-month period, there were 13 agreed-upon actions implemented, with 1 closed as of
March 31, 2015. Please refer to pages 8-11 of the report for more information. We also
initiated an audit on mobile device cost controls at FCA and the FY 2015 Financial Statement
Audit of FCA. Please refer to page 12 of the report for further information.

We initiated a contract with Harper, Rains, Knight & Company for the FY 2014 Financial
Statement Audit of FCA. This audit was overseen by the OIG and completed during this
reporting period. The audit resulted in an unmodified opinion. Please refer to page 8 for
additional information. Also, the OIG’s annual evaluation of the Agency’s compliance with the
Federal Information Security Management Act was completed. This annual evaluation is
conducted by the OIG’s Senior Information Technology Auditor, and the report was issued on
November 14, 2014. There was one agreed-upon action as a result of this evaluation, which
was resolved. Please refer to page 9 for further information.

The OIG continues to send surveys to the Farm Credit System institutions following regulatory
safety and soundness examinations and other interactions with the FCA Office of Examination
(OE). Three surveys were issued this reporting period. The results of the surveys, evaluating
the quality of the examination work and OE interactions, are summarized without attribution on a
quarterly basis. The FCA Board and OE have found this to be a valuable measuring tool.

I would like to acknowledge FCA management’s positive and timely reaction to our work. I look
forward to continuing a responsive and effective relationship between the OIG and the FCA
Board, a partnership striving continuously to strengthen FCA operations.

If you have any questions, please call me at 703-883-4036 or 4030.

Sincerely,




Elizabeth M. Dean
Inspector General

Enclosure
	


                                                      Table of Contents

Message from the Inspector General ........................................................................................ 1
Background ................................................................................................................................. 2
Strategic Goals............................................................................................................................ 4
Audits, Inspections, and Evaluations ....................................................................................... 7
    REPORTS ISSUED ................................................................................................................... 7
    AUDITS AND EVALUATIONS IN PROCESS ........................................................................ 12
    STATUS OF AGREED-UPON ACTIONS AND RECOMMENDATIONS ................................ 13
Other Reports ............................................................................................................................ 14
    QUARTERLY SURVEY OF FARM CREDIT SYSTEM INSTITUTIONS ................................. 14
    MANAGEMENT ADVISORY REPORTS ................................................................................ 15
Investigations ............................................................................................................................ 16
Legislative and Regulatory Reviews ....................................................................................... 18
Congressional Interaction ........................................................................................................ 20
Outreach .................................................................................................................................... 21
OIG Staff .................................................................................................................................... 22
Other Activities ......................................................................................................................... 23
Annex ......................................................................................................................................... 24
Appendix A ................................................................................................................................ 25
Appendix B ................................................................................................................................ 26
Appendix C ................................................................................................................................ 27
Appendix D ................................................................................................................................ 28
Appendix E ................................................................................................................................ 29
Appendix F ................................................................................................................................ 30
Appendix G ................................................................................................................................ 31
Appendix H ................................................................................................................................ 32



                                                              




                                                                                                                                                
 
                                                                                                                                                
 


     

     

     

     

     




         

     




             
 
             
    Message from the Inspector General
           

                                                                
      Message from the Inspector General
                                   

 

 

 

 
                           I am pleased to submit this Semiannual Report to the Congress. This report
 
                  summarizes the activities and accomplishments of the Farm Credit Administration’s
                  (FCA or Agency) Office of Inspector General (OIG) for the period October 1, 2014
                  through March 31, 2015. The OIG’s efforts were directed toward implementing the
                  OIG’s Fiscal Year (FY) 2015 strategic and operating plan and budget; performing
                  audits, inspections, and evaluations of FCA programs and operations; conducting
 
                  investigations; reviewing existing and proposed legislation and regulations relating to
                  Agency programs and the IG community; and providing objective, independent
                  reporting and counsel to the FCA Board on FCA programs and operations.
                           The OIG issued four audits and evaluations during this reporting period.
                  Additionally, the OIG issued 26 surveys to FCS institutions, designed to review the
                  quality of mission fulfillment. Three survey reports summarizing survey results were
                  delivered to the Chief Examiner and FCA Board. We contracted with Harper, Rains,
                  Knight & Company, P.A. to perform the audit of FCA’s financial statements for FY
 
                  2014, which was issued in November 2014. We completed the OIG’s annual
                  evaluation of the Agency’s compliance with the Federal Information Security
                  Management Act (FISMA) and issued the report in November 2014. We also
                  completed program audits of: FCA’s Special Supervision and Enforcement
                  Processes, and FCA’s Commissioning Program. During this period, the OIG also
                  initiated new audits on mobile devices and the FY 2015 Financial Statement Audit.
                           I would like to acknowledge the effective efforts of the talented OIG staff in
                  diplomatically leading Agency management to focus on significant program issues. In
 
                  conjunction, FCA management was positive and timely in reacting and making
                  improvements. I look forward to continuing a positive and effective relationship
                  between the OIG and the FCA Board, a partnership striving to
                  continuously strengthen FCA operations.
 

 

 

 



               
                                        FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                              OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                             1 
          
    Background
                                                             

 



         FARM CREDIT ADMINISTRATION
         The Farm Credit Administration (FCA or Agency) is an independent Federal agency of the United
         States government responsible for the regulation and examination of Farm Credit System (FCS or
         System) institutions chartered under the Farm Credit Act of 1971, as amended (Farm Credit Act).

         As a non-appropriated agency, FCA funds its expenses primarily through assessments to the
         institutions it regulates. FCA’s Fiscal Year 2015 budget is $65,600,000. Assessments by FCA to
         FCS institutions are $54,500,000 with other sources of funding totaling $10,600,000.

         At the end of the prior semiannual reporting period, the Agency had 286 employees. At the end of
         this reporting period, FCA had 284 employees, about half of which are examiners located in five field
         offices.


                                                                 Bloomington, MN



                                         Denver, CO
                 Sacramento, CA
                                                                                        Headquarters McLean, VA




                                                            Dallas, TX



         FARM CREDIT SYSTEM
         The FCS is a Government-sponsored enterprise comprised of 3 Farm Credit banks, 1 Agricultural
         Credit Bank, and 76 lending associations in all 50 states and Puerto Rico that primarily make loans to
         agriculture. The System raises funds by selling securities in the national and international money
         markets through its special purpose entity, the Federal Farm Credit Banks Funding Corporation.
         These securities are not guaranteed by the U.S. Government.

         The Federal Agricultural Mortgage Corporation (Farmer Mac), also a part of the FCS, is chartered by
         the Federal government to provide a secondary market for agricultural mortgage loans. Farmer Mac
         is publicly traded and issues its own debt securities. Additionally, there are five active service
         corporations that provide services to FCS entities and eligible borrowers.



              
                                   FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                         OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                        2 
      
Background
                                                          




     OFFICE OF INSPECTOR GENERAL
     The mission of the Office of Inspector General (OIG) is to be an agent of positive change, striving for
     continual improvement in FCA’s management and program operations. The Inspector General Act
     of 1978, as amended, established the OIG in 1989.

     The Inspector General is appointed by the FCA Board without regard to political affiliation and solely
     based on integrity and demonstrated ability in accounting, auditing, financial analysis, management
     analysis, investigations, law, or public administration. The OIG’s FY 2015 budget is $1,445,925.

     While the OIG is under the general supervision of the FCA Board, it operates with independent
     personnel and contracting and budget authority. The Inspector General reports both to the FCA
     Board and to the Congress.

     The OIG has four major components: audits, inspections, and evaluations of programs and
     operations; investigations; legislative and regulatory reviews; and outreach.




                                          Office of Inspector General




                  Audits,                                    Legislative and 
               Inspections,       Investigations               Regulatory                 Outreach 
             and Evaluations                                    Reviews




          
                                FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                      OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                     3 
       
Strategic Goals
                                                         




      To accomplish our mission, the OIG has eight strategic goals in place that are aligned to FCA’s
      mission, programs, and activities (see the OIG’s Strategic and Operating Performance Plan for
      additional information). The following list summarizes our eight strategic goals and related outcomes
      during this reporting period.

              Strategic Goal 1:

              Deliver quality audit, inspection, and evaluation products
              and services that are useful to the FCA Board,
              management, and the Congress.
              In pursuit of this goal, the OIG continues to provide quality reports to FCA
              management for improvement to programs. The OIG initiates a risk-based approach
              to FCA programs in determining the workload plan. During this reporting period, we
              issued three audit reports and one evaluation report. The reports were directly related
              to FCA’s oversight and supervision of the regulated FCS institutions, FCA training of
              examiners and FCA monitoring of information security. The issued reports were timely
              and constructive to improve Agency operations. As a result of our work, thirteen
              recommendations related to the examination, supervision and continuous IT
              monitoring were made to FCA management. Of these recommendations, all thirteen
              were agreed-upon, and three recommendations involving FCA conference and
              training expenses were closed from prior reporting periods. We also have two
              ongoing audits to promote effectiveness and efficiency.

              Strategic Goal 2:

              Provide technical advice and assistance to Agency
              officials in developing sound management information and
              financial reporting systems and in streamlining programs
              and operations.
              The OIG provides technical advice to management in a variety of methods. For this
              reporting period, the OIG issued one management advisory to the FCA Board. The
              advisory report was issued to recommend that FCA consider how the Agency might
              use suspension and debarment mechanisms to protect government interests in
              procurement actions. The OIG also presented at the January 2015 Farm Credit
              System Insurance Corporation (FCSIC) Audit Committee meeting to discuss the
              need for IG oversight of FCSIC. The Inspector General also communicates with the
              Board on a regular basis on issues facing FCA, which provides an opportunity for
              discussion of relevant topics.

           
                                FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                      OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                     4 
       
Strategic Goals
                                                          




              Strategic Goal 3:

              Continuous improvement of the OIG staff, products, and
              internal office administration. Quality is highly valued.
              The OIG continuously works to improve internal staff and processes. All OIG staff
              maintain requirements for their related professional standards. We participate in a
              peer review every three years, and we received a pass rating during our last peer
              review in June 2013. The OIG conducts an annual quality assurance review on the
              audit function and assesses internal controls on a continuous basis.

              Strategic Goal 4:

              Effectively investigate and report administrative and
              criminal violations relating to FCA programs and personnel
              to Agency officials, the Attorney General (when
              appropriate), and the Congress.
              The IG Counsel performs the investigative function for the OIG. For this reporting
              period, three reports of investigation were issued. Five investigations were closed,
              and there are currently two preliminary investigations at the end of the reporting
              period. We received eight allegations from the OIG Hotline during the October to
              March timeframe. All eight complaints were closed or referred to other Federal
              agencies as they involved matters outside OIG’s jurisdiction.

              Strategic Goal 5:

              Cause FCA employees and managers to recognize their
              responsibility and report observed or suspected
              wrongdoing to the OIG.
              The OIG recognizes the importance of employees and managers reporting, and the
              OIG reacting, to suspected or observed wrongdoing. During this reporting period, we
              updated the OIG Hotline poster and distributed it throughout the Agency. Hotline
              information is prominent in reports and publications. In addition, we are in the
              process of completing a fraud awareness briefing. This briefing will be used to
              educate FCA employees on fraudulent actions and potential indicators of fraud.



           
                                FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                      OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                     5 
       
Strategic Goals
                                                       




              Strategic Goal 6:

              Maintain an effective program for reviewing and
              commenting on proposed and existing legislation and
              regulations affecting the Agency and the IG community.   

              Reviewing and commenting on proposed and existing legislation and regulations
              affecting FCA and the IG community remain an important area for the OIG.
              During this reporting period, we reviewed 15 items under the following
              categories: legislation, proposed rule, final rule, and informational memorandum.


              Strategic Goal 7:

              Promote OIG’s role within the FCA and the community at
              large.

              Outreach and communication are essential to the OIG’s role. We briefed
              incoming Board members on the OIG role and activities. The OIG briefs
              incoming employees annually at FCA’s new employee orientation. For this
              reporting period, the IG also briefed the Farm Credit System Insurance
              Corporation on the need for IG oversight.


              Strategic Goal 8:

              Provide leadership to organizations directly contributing to
              the IG community, the Agency, and the Federal
              government.
               
              OIG staff participate in workgroups, conferences, and training related to the IG
              community, FCA, and the Federal government. The IG is a member of the
              Executive, Legislation, and Inspection and Evaluation Committees of the Council
              of Inspectors General on Integrity and Efficiency (CIGIE). The CIGIE Legislative
              Committee has engaged in several responses to legislative efforts and
              congressional hearings. The Counsel is Vice-Chair of CIGIE’s Council of
              Counsels. The auditors are involved with CIGIE, the FAEC, and the Inspection
              and Evaluation Roundtable.


           
                               FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                     OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                    6 
       
Audits, Inspections, and Evaluations
                                                          




      REPORTS ISSUED
      This reporting period, the OIG continued to provide FCA with high quality products. We issued four
      audit and evaluation reports with thirteen agreed-upon actions. We also have two in-process audits,
      both initiated during this six-month period. The OIG also issued 26 surveys to FCS institutions and
      issued three reports, summarizing the survey results, to the Chief Examiner and FCA Board. The
      reports summarize stakeholder opinions on the quality and issues involved in mission execution.
      Lastly, one Management Advisory was issued to the FCA Board.




              4      Audit and
                     Evaluation
                                           13        Agreed-Upon
                                                                             2        In-Process
                     Reports                         Actions                          Reviews
                     Issued




              26    Surveys
                    Issued to
                                            3        Survey
                                                                            1        Management
                    FCS                              Reports                         Advisory
                    Institutions




      The OIG conducts all audits in accordance with Government Auditing Standards issued by the
      Comptroller General of the United States for audits of Federal organizations, programs, activities, and
      functions. Inspections and evaluations are conducted in accordance with the CIGIE Quality
      Standards for Inspections.

      Copies of most OIG reports are available on our web site at www.fca.gov/home/inspector.html, or by
      contacting the OIG at (703) 883-4030, or by e-mail at ig_information@fca.gov. We offer a free e-mail
      subscription service that provides automatic notification by e-mail when new report or other
      information is posted to the OIG website. Go to http://apps.fca.gov/subscribeOIG/, provide your
      email, and click join the list.




           
                                  FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                        OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                       7 
        
Audits, Inspections, and Evaluations
                                                          



        




       Audit of FCA’s Financial Statements Fiscal Year 2014

       The OIG contracted with Harper, Rains, Knight & Company, P.A., an independent public
       accounting firm, and oversaw the audit of FCA’s financial statements for FY 2014. Harper,
       Rains, Knight & Company completed the audit and issued an unmodified opinion in November
       2014.

       In the auditor’s opinion, FCA’s principal financial statements present fairly, in all material
       respects, the financial position of the Agency as of the FY ended September 30, 2014, in
       conformity with generally accepted accounting principles.

       Harper, Rains, Knight & Company considered FCA’s internal control over financial reporting to
       determine the audit procedures for the purpose of expressing an opinion on the financial
       statements. The auditors did not express an opinion on the effectiveness of FCA’s internal
       controls; however, they did not identify any deficiencies considered to be a material weakness.

       The auditors performed tests of FCA’s compliance with selected provisions of laws and
       regulations that could have a direct and material effect on the financial statements. Although
       they did not express an opinion on compliance with those provisions, they did not identify any
       instances of noncompliance or other matters required to be reported under Government
       Auditing Standards issued by the Comptroller General of the United States or the Office of
       Management and Budget (OMB) Bulletin No. 14-02, Audit Requirements for Federal Financial
       Statements.

       The final report was issued on November 13, 2014.




            
                                 FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                       OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                      8 
       
Audits, Inspections, and Evaluations
                                                          

       
       




      OIG 2014 Evaluation of the Farm Credit Administration’s Compliance with the Federal
      Information Security Management Act

      The Federal Information Security Management Act (FISMA) of 2002 requires an agency’s Chief
      Information Officer and OIG to conduct annual assessments of the agency’s information security
      program. The purpose of FISMA was to strengthen the security of the Federal government’s
      information systems and develop minimum standards for agency systems.

      The OIG completed the 2014 independent evaluation of FCA’s compliance with FISMA during
      this reporting period. The evaluation found that FCA’s Chief Information Officer and
      experienced IT team are proactive in their approach to information security.

      OMB required OIGs to evaluate 11 areas during 2014:




                                                                Incident 
                 Risk                  Continuous                                       Security  
                                                             Response and 
              Management               Monitoring                                       Training
                                                               Reporting


                                                              Identity and 
              Plan of Actions        Remote Access                                   Configuration 
                                                                 Access 
              and Milestones          Management                                     Management
                                                              Management


                           Contingency             Contractor           Security Capital 
                            Planning                Systems                Planning



      FCA established a program in 10 of the areas that is consistent with National Institute of
      Standards and Technology’s (NIST) and OMB’s guidelines. One area, continuous monitoring,
      was identified where improvements needed to be made. FCA agreed to the following action:

                 Define, document, and implement an enterprise-wide information security continuous
                  monitoring program consistent with OMB policy and NIST guidelines.

      The final report was issued on November 14, 2014. In March 2015, the Agency provided their
      information security continuous monitoring strategy and implementation plan. 

           
                                  FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                        OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                       9 
       
Audits, Inspections, and Evaluations
                                                            




      Farm Credit Administration’s Special Supervision and Enforcement Processes

      FCA regulates and supervises System institutions. FCA’s Office of Examination (OE) conducts
      examinations of FCS banks and associations to ensure their safety, soundness, and compliance
      with laws and regulations. If examiners identify concerns with institutions
      through examination activities, they may refer the institution to OE’s Risk
      Supervision Division (RSD) for possible special supervision or
      enforcement actions. Sections 5.25 through 5.38 (12 U.S.C. § 2261-
                                                                                     Enforcement
      2274) of the Farm Credit Act, provides the FCA with statutory
      enforcement authorities to take action for unsafe, unsound
      practices or for violations of law, rule or regulation. In general,
      there are three levels of supervision of FCS institutions by                Special Supervision
      FCA: normal supervision, special supervision, and
      enforcement. Each level provides increased monitoring,
      communication, and involvement with the institution.

      Our objective was to determine whether FCA is                                Normal Supervision
      following the special supervision and enforcement
      processes and monitoring institution compliance
      effectively. Overall, FCA is generally following
      the processes and monitoring compliance. We
      found the Watch List utilized by OE is effective, identification and escalation of concerns were
      appropriate, complexity and length of actions are correlated, and persistent involvement and
      communication leads to corrective action. We also identified opportunities to improve or modify
      the processes through increasing staff readiness; ensuring institutions adhere to the criminal
      referral process requirements; and expanding or changing directives and/or processes.

      As a result of our audit, OE agreed to:

                 Develop a training program for special supervision and enforcement actions to ensure
                  the organization has the knowledge to react to the changing FCS environment.

                 Emphasize the requirement of FCA Regulation 612, Subpart B, and provide training
                  and/or education to examiners on the role and responsibility FCA has regarding the
                  criminal referral form and to ensure institutions are filing the form as required.

                 Address the use of informal ratings and other supervisory letters by either expanding or
                  changing current directives and/or processes to include when they are appropriate and
                  how they will be used.

      The final report was issued on March 31, 2015.                                     



           
                                   FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                         OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                        10 
       
Audits, Inspections, and Evaluations
                                                            


       
       
      Farm Credit Administration’s Commissioning Program

      A commission is a designation to signify that an FCA examiner is qualified to examine FCS
      institutions. The Commissioning Program consists of specific training, on-the-job work
      experience, and testing. Commissioning Program requirements are aligned with essential OE
      knowledge, skills, tasks, and performance attributes, which are updated periodically to reflect
      current examination responsibilities. The objective of this audit was to determine whether FCA
      is effectively managing the Commissioning Program.

      Our audit revealed opportunities for improvement and efficiency in the Commissioning Program.
      As a result of our audit, OE agreed to:

                 Identify and track specific commissioning costs to evaluate the cost of the program and
                  identify cost-saving opportunities and consider timekeeping code revisions, with Office of
                  Management Services (OMS) assistance in implementation.

                 Establish a process to verify time charged by Associate Examiners complies with work
                  performed and timekeeping guidance.

                 Analyze the costs and benefits of streamlining and consolidating current testing and
                  assessment milestones through the elimination of the final Commissioning Test
                  simulations.

      OE and OMS agreed to:

                 Establish a plan to compete Commissioning Program contractor services to manage
                  risks of reliance on one source and ensure the best value to the Agency.

                 Ensure current Commissioning Program contracts are well-defined in regards to general
                  and administrative and hourly rates.

                 Ensure the invoice approval process for the Commissioning Program covers the
                  requirements of the contract and review by all Agency personnel necessary to verify
                  work performed before approval and payment.

                 Assess strategies to identify the cause of hiring shortfalls and employee attrition to meet
                  commissioned examiner goals and maximize Agency investments.

                 Evaluate opportunities to implement Service Agreements or another type of comparable
                  reimbursement arrangement to protect Agency investments in Commissioning Program
                  training and certification.

                 Revise processes to provide feedback to every Associate Examiner on Technical
                  Evaluations and Commissioning Test multiple-choice test performance.

      The final report was issued on March 31, 2015.


           
                                    FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                          OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                         11 
       
Audits, Inspections, and Evaluations
                                                      

       

       

      AUDITS AND EVALUATIONS IN PROCESS
       




      Audit of FCA’s Financial Statements Fiscal Year 2015

      The Accountability of Tax Dollars Act of 2002 requires FCA and certain other agencies to submit
      to the Congress and OMB an audited financial statement each fiscal year.

      In continuing to assist the Agency in meeting these requirements, the OIG contracted with
      Harper, Rains, Knight & Company, P.A. to perform the audit of FCA’s financial statements for
      FY 2015. Harper, Rains, Knight & Company also completed the FY 2014 Financial Statement
      Audit, issued in November 2014.

      Officials from Harper, Rains, Knight & Company, OIG, and FCA attended the entrance
      conference held on February 24, 2015. The audit remained ongoing at the end of this reporting
      period.

      Mobile Device Cost Controls at FCA

      In carrying out FCA’s mission, many Agency employees spend a significant amount of time
      traveling or away from their offices. In today’s technological environment, the FCA keeps
      employees connected by leveraging technology to increase efficiency and communication.
      Mobile devices such as smartphones and tablets are one of the tools the Agency uses to keep
      employees connected to its’ information systems and each other.

      The objective of this audit is to determine whether FCA has implemented effective cost controls
      for mobile devices and related services. The audit began in January 2015 and is ongoing as of
      the end of the reporting period.

       




           
                              FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                    OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                   12 
       
Audits, Inspections, and Evaluations
                                                              



       


      STATUS OF AGREED-UPON ACTIONS AND RECOMMENDATIONS	
      In total, there were thirteen agreed-upon actions added from three issued reports for the reporting
      period. We had three actions open at the beginning of the period to carry over. As of March 31,
      2015, twelve agreed-upon actions remain open.

       



                           Audit, Inspection, and Evaluation Agreed‐Upon Actions 

                     Report               Issued      Open During this        Final Management           Open on 
                                                      6‐Month Period      Actions During this Period    3/31/2015 

               FCA’s Training and 
                                         9/22/2014           0                        3                     0 
              Conference Expenses 

               Federal Information 
              Security Management       11/14/2014           1                        1                     0 
               Act 2014 Evaluation 

               FCA’s Enforcement 
                  and Special            3/31/2015           3                        0                     3 
              Supervision Processes 

              FCA’s Commissioning 
                                         3/31/2015           9                        0                     9 
                    Program 


                      Total                                  13                       4                    12 
                                                
       

       

       

                                            




           
                                       FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                             OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                            13 
       
Other Reports
                                                         


       


      QUARTERLY SURVEY OF FARM CREDIT SYSTEM INSTITUTIONS
      The OIG administers an ongoing survey of FCS institutions regarding the quality and consistency of
      the Agency’s examination function and the examiners performing the main mission functions. The
      OIG issues a quarterly report and, at the end of each fiscal year, a summary report on the surveys’
      results to the Chief Examiner and the FCA Board.

      Third Quarter Fiscal Year 2014 Farm Credit System Survey

      In July 2014, the OIG issued 11 surveys to FCS institutions relevant to the examination program
      during the third quarter of FY 2014. Of those issued the surveys, six responded. There were two
      responses for the second quarter that were received and included in the report. The OIG issued the
      summary report in October 2014 to the Chief Examiner and the FCA Board.

      Fourth Quarter and Fiscal Year 2014 Summary, Farm Credit System Survey

      In October 2014, the OIG issued 16 surveys to FCS institutions relevant to the examination program
      during the fourth quarter of FY 2014. Of those issued the surveys, 12 responded. There were two
      responses from the third quarter that were received and included in the report. The OIG issued the
      summary report in January 2015 to the Chief Examiner and the FCA Board.

      First Quarter Fiscal Year 2014 Farm Credit System Survey

      In February 2015, 10 surveys were issued to FCS institutions relevant to the examination program
      during the first quarter of FY 2015. Of those issued the surveys, eight responded. The OIG issued the
      summary report to the Chief Examiner and the FCA Board in March 2015.




           
                                FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                      OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                     14 
       
Other Reports
                                                            




      MANAGEMENT ADVISORY REPORTS
      The OIG Management Advisory Reports are designed to be a quick mechanism to offer the Agency
      head and management suggestions on ways to strengthen Agency operations.

      During this reporting period, the OIG issued one management advisory to the FCA Board:

                 On December 18, 2014, Board members were advised of the need for a suspension and
                  debarment policy that would enhance FCA’s ability to expediently review and refer cases to
                  another Federal agency for suspension and debarment proceedings, when appropriate. The
                  advisory stated the FCA Board should consider developing a policy that would provide
                  guidelines for FCA to follow should a contractor’s actions raise questions on whether the
                  contractor should be suspended or debarred from contracting with Federal agencies. FCA
                  subsequently implemented such procedures into its contract and procurement policy.

      The OIG also continues to forward best practices, articles, and plans to the Social Media
      workgroup and FCA’s Office of Congressional and Public Affairs for consideration. This has
      been a practice since issuance of the OIG Management Advisory, Survey of FCA’s Use of
      Social Media, in 2012.




           
                                   FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                         OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                        15 
Investigations



      The OIG continued to provide quality investigative work during this period. The OIG investigates
      matters referred internally and externally, through the OIG Hotline and other notification mechanisms.




          3      Reports of
                                    5                         2      Pending
                                                                                       8
                                          Investigations                                      Hotline
                 Investigation                                       preliminary              complaints
                                          closed                     investigations
                 issued                                                                       addressed




      INVESTIGATIONS
      During this reporting period, the OIG issued three Reports of Investigation; closed five investigations,
      including one preliminary investigation; and closed the reporting period with two pending preliminary
      investigations. Two of the closed investigations involved alleged misuse of government travel cards
      by FCA employees. One of these Reports of Investigation was issued in the prior semiannual
      reporting period (September 24, 2014), but closed in this reporting period. In both cases involving
      alleged travel card misuse, the Agency subsequently notified the OIG that it had taken appropriate
      management action.

      The OIG issued a Report of Investigation on December 4, 2014 that addressed an improper payment
      made to an FCA vendor, and related allegations of false claims and statements. We referred the
      Report of Investigation to Agency management and were notified twelve days later that appropriate
      action had been taken.

      OIG issued its third Report of Investigation in this reporting period, on December 30, 2014. This
      investigation involved a computer security incident involving FCA systems. OIG determined after
      extensive record reviews, that further forensic evaluation or referral was not merited. We, therefore,
      closed the investigation and referred the Report of Investigation to management for information only.
      In all cases referred to Agency management, OIG was advised in three weeks or less that
      appropriate action had been taken. The only open investigations as of the close of this reporting
      period, were two preliminary investigations relating to personnel matters, one opened on March 12,
      2015 and the second on March 30, 2015.




                                 FCA OIG SEMIANNUAL REPORT TO THE CONGRESS
                                       OCTOBER 1, 2014 ─ MARCH 31, 2015
                                                      16
       
Investigations
                                                           




      HOTLINE
      The OIG Hotline is available 24 hours a day, 7 days a week, to receive tips and complaints about
      fraud, waste, or abuse relating to FCA programs and operations. The Hotline allows individuals to
      report their allegations to the OIG directly and confidentially and is available through email, phone,
      fax, and mail.

      The OIG received eight Hotline complaints during the reporting period, and all eight complaints were
      closed or referred to other Federal agencies as they involved matters outside OIG’s jurisdiction.
      Responses were provided and contacts made with other Federal agencies as appropriate.

                                       




           
                                 FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                       OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                      17 
Legislative and Regulatory Reviews



      In furtherance of the OIG’s mandate to review existing and proposed legislation and regulations,
      the IG attends joint briefings of the FCA Board on regulations at the proposed and final stages.
      During this reporting period, we reviewed:




          7      Legislative
                                  4      Proposed
                                                           3     Final Rules
                                                                                   1      Informational
                 Items                   Rules                                            memorandum




      The following were reviewed:

      Legislation
           1)   H.R. 5492 and S. 579, Inspector General Empowerment Act of 2014

           2)   H.R. 2747, Small Business Regulatory Sunset Act of 2014

           3)   S. 2927, The Inspectors General Streamlining Act

           4)   S. 264, Federal Reserve Transparency Act of 2015

           5)   H.R. 50, Unfunded Mandates Information and Transparency Act of 2015

           6)   S. 2521, Federal Information Security Modernization Act of 2014

           7) H.R. 5185, Retention of Electronic Correspondence of Regulatory Decisions Act of
                2014 (RECORD Act)


      Proposed Rule
            8) Loans in Areas Having Special Flood Hazards, Joint Rule, 12 CFR Part 614, 79 Fed.
                Reg. 64518

            9) Regulatory Capital Rules: Regulatory Capital, Implementation of Tier 1/Tier 2
                Framework, 12 CFR Parts 607, 614, 615, 620 and 628, 79 Fed. Reg. 76927




                               FCA OIG SEMIANNUAL REPORT TO THE CONGRESS
                                     OCTOBER 1, 2014 ─ MARCH 31, 2015
                                                    18
       
Legislation and Regulations Review
                                                         




              10) Organization; Mergers, Consolidations, and Charter Amendments of Farm Credit
                 System Banks or Associations, 12 CFR Part 611, 80 F.R.D. 2614

              11) Federal Agricultural Mortgage Corporation General Provisions; Federal Agricultural
                 Mortgage Corporation Governance; Federal Agricultural Mortgage Corporation Risk
                 Management; Federal Agricultural Mortgage Corporation Disclosure and Reporting;
                 Farmer Mac Corporate Governance and Standards of Conduct, 80 FR 15931


      Final Rule
              12) Disclosure to Shareholders; Pension Benefit Disclosures 12 C.F.R. § 620.6(c)(2), 80
                 Fed. Reg. 10325

              13) Organization; Institution Stockholder Voting Procedures, 79 F.R. 62058

              14) Farm Credit Administration Organization and Functions; Field Office Locations, 12
                 CFR Part 600


      Informational Memorandum
              15) OMB Circular A-130, Appendix III, Security of Federal Information Resources




       



           
                                FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                      OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                     19 
       
Congressional Interaction
                                                         

               
       




      Meetings
      During this reporting period, the OIG met with Congressional staff members from the House
      Committee on Oversight and Government Reform and Senate Committee on Agriculture,
      Nutrition and Forestry.

      Letter Responses
      The OIG also provided letter reports to the Senate Committee on Homeland Security and
      Governmental Affairs, Senate Committee on the Judiciary, and the House Committee on
      Oversight and Government Reform that included information on open OIG recommendations;
      OIG investigation, audit, inspection, and evaluation reports; whistleblower retaliation incidents;
      and the OIG’s access to Agency records.

      Proposal for Oversight of Certain Entities Without an Office of
      Inspector General

      A group of IGs, of which the FCA IG was a member, formed a working group last year to
      formulate a risk-based approach for achieving effective, efficient and economical oversight of
      small Government agencies. The primary objective of the working group was to raise the level
      of informed dialogue as a foundation for collegial deliberations and analysis among all
      stakeholders. The working group focused on 56 Executive Branch entities without direct OIG
      oversight; these entities have combined budgets in excess of $1 billion. The Proposal included
      two possible models for risk-appropriate frameworks for OIG oversight of these entities. The
      first recommended model for small entities with a low level of apparent risk involves a central
      hotline-focused framework for OIG oversight. Each small entity would be paired with a
      legislatively designated OIG. Additionally, a central administrator would be designated to
      manage a coordinated Central Hotline and refer allegations of fraud, waste, abuse and
      whistleblower retaliation to the appropriate OIG. A second proposed model would include
      creating four new OIGs for traditional oversight of six entities and expanding the authorities and
      responsibilities of five existing OIGs to include the traditional oversight of eleven entities with
      closely aligned missions, activities, and risks.

      The working group’s proposal has been distributed to congressional committees for
      consideration.




           
                                FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                      OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                     20 
       
Outreach
                                                          




      Staff Participation in Activities within the IG Community
      OIG staff members are encouraged to take part in organizations that contribute to the mission of the
      Inspectors General community, as well as their individual professional development. Most staff
      members are actively involved in one or more professional organizations, as well as activities within
      CIGIE.

      The Inspector General is a member of CIGIE, which provides a forum for IGs from various
      government agencies to discuss government-wide issues and shared concerns. Collectively, the
      members of CIGIE work toward improving government programs and operations, work that involves,
      for example, comments on proposed legislation and training development. The IG was appointed to
      the CIGIE Executive Committee as the Member-At-Large by the incoming Chairman of the CIGIE.
      The IG also serves as a member of CIGIE’s Legislation Committee and participates as a member of
      CIGIE’s Inspection and Evaluation Committee, and is the Chair of the Small IG group.

      The Counsel to the Inspector General is active in the Council of Counsels of IGs (CCIG) and was
      elected one of two Vice Chairs to the CCIG for 2015. The Counsel is also involved in the CIGIE
      Records Management Working Group and attends the quarterly meetings for three additional CIGIE
      groups – the Assistant Inspectors General for Investigations, Deputy IGs, and the Small OIGs CCIG
      Working Group.

      The OIG Senior IT Auditor and Senior Auditors attend FAEC meetings and conferences. The IT
      Auditor is also actively involved in the IT Subcommittee of the FAEC and assists CIGIE with their
      information security program. The Senior IT Auditor attends local ISACA meetings. One Senior
      Auditor is also a member of the CIGIE Roundtable on Inspections and Evaluations.

      During this reporting period, the OIG also submitted data to the CIGIE for compilation in the annual
      CIGIE Progress Report to the President, and provided comments on consolidated CIGIE comments
      on proposed legislation and government-wide issuances, such as OMB circulars.

      OIG employees are also active in Agency workgroups and task forces, as appropriate.

      Organizational Briefings
      The OIG has distributed posters identifying Hotline and contact information and has implemented a
      Fraud Awareness initiative to provide training and guidance to FCA employees on reporting
      responsibilities, fraud indicators, methods of reporting, and protections provided to whistleblowers
      under Federal law and policy.




           
                                FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                      OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                     21 
       
OIG Staff
                                                              




      Staff Development
      OIG employees continually seek ways to improve skills and become knowledgeable in the initiatives
      of the community of Inspectors General. Audit and legal staff must meet continuing education
      requirements. Individual development plans are used to identify long and short-term career goals
      along with specific training and developmental needs. These plans are geared toward enhancing
      individual skills in the performance of official duties and meeting the criteria needed to achieve OIG
      performance goals and objectives.

      Personnel Changes
      The OIG had personnel changes this reporting period. Our Administrative Assistant retired in
      October 2014. We announced a new position to fill the vacancy as a Management/Program Analyst
      and filled the vacancy in October. The following organizational chart shows the OIG as of March 31,
      2015:




                                                        Inspector General
                                                         Elizabeth Dean



                Counsel to the    Senior Information                                             Management/ 
                                                         Senior Auditor     Senior Auditor
              Inspector General   Technology Auditor                                            Program Analyst          
                                                          Sonya Cerne       Tori Kaufman            Ava Bell
                Kathy Gallo          Tammy Rapp




                                           




           
                                     FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                           OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                          22 
       
Other Activities
                                                           

       
       




      CHARGE CARD RISK ASSESSMENT AND SUBMISSIONS
      The Government Charge Card Abuse Prevention Act of 2012 (Charge Card Act) requires the OIG of
      each executive agency to conduct periodic assessments of charge card programs to analyze the
      risks of illegal, improper, or erroneous purchases. As part of adherence to the Charge Card Act and
      the implementation guidance, the Farm Credit Administration (FCA) OIG will conduct an annual risk
      assessment. The risk assessment will include FCA’s purchase and travel card programs, and the
      centrally billed account utilized by FCA. The OIG completed its annual risk assessment and issued
      the Charge Card Risk Assessment to the Agency in March 2015.

      The OIG also issued a report to the Office of Management and Budget on agency progress in
      implementing audit recommendations. During FY 2014, we conducted two audits pertaining to
      FCA’s charge card programs:

                 Farm Credit Administration’s Travel Card Program (A-14-03), issued August 19, 2014.
                 Farm Credit Administration’s Purchase Card Program (A-14-02), issued September 5, 2014.

      As a result of the two audits, the OIG made 12 recommendations. All recommendations were
      agreed upon by management and were closed as of September 30, 2014. We will continue to
      conduct risk assessments and reviews as part of our audit and inspection functions.

      DISCUSSIONS WITH FCA MANAGEMENT
      In October 2014, the OIG held a meeting with FCA and the Farm Credit System Building Association
      (FCSBA) officials on emergency preparedness and security protocols. Processes and
      communication to employees and tenants of FCA buildings were discussed. FCA and FCSBA
      officials stated current emergency preparedness protocols were being revised to ensure employees
      and tenants were informed of potential security events.

      The OIG also met with OE officials in October 2014 regarding an ongoing review of an institution.
      Officials provided the OIG with an update on activities performed and planned for the institution.

      FCSIC AUDIT COMMITTEE
      The OIG presented at the January 2015 FCSIC Audit Committee meeting. The IG presented a
      briefing on the need for IG oversight at FSCIC.




           
                                   FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                         OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                        23 
         
Annex
                                                                 

         

         

         

        This annex is provided in accordance with the National Defense Authorization Act for FY 2008.

        This referenced statute requires all Inspectors General appointed under the IG Act to include an
        annex to their semiannual reports as follows:

                1) listing all contract audit reports issued during the reporting period containing significant audit
                   findings;

                2) briefly describing the significant audit findings in the report; and

                3) specifying the amounts of costs identified in the report as unsupported, questioned, or
                   disallowed.

        Significant audit findings are defined as unsupported, questioned, or disallowed costs in excess of
        $10,000,000, or other findings that the Inspector General determines to be significant. It defines
        contracts as a contract, an order placed under a task or delivery order contract, or a subcontract.

        No contract audit reports meeting these criteria were issued on behalf of the OIG during this
        reporting period.




             
                                      FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                            OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                           24 
      
Appendix A
                                                        




     Index of Reporting Requirements

     SECTION                                       TITLE                          Page

     4(a)(2)         Review of legislation and regulations                        18 ‐ 19 

     5(a)(1)         Significant problems, abuses, and deficiencies               None 

     5(a)(2)         Recommendations for corrective action                         7‐11 

     5(a)(3)         Prior recommendations not yet implemented                    None 

     5(a)(4)         Matters referred to prosecutive authorities                    16 

     5(a)(5)         Information unreasonably refused or not provided             None 

     5(a)(6)         List of reports issued                                        7‐11 

     5(a)(7)         Summaries of significant reports                              8‐11 

     5(a)(8)         Management decisions with questioned costs                     27 

                     Management decisions on recommendations that funds be put 
     5(a)(9)                                                                        28 
                     to better use 

     5(a)(10)        Prior audit reports unresolved                               None 

     5(a)(11)        Significant revised management decisions                     None 

                     Significant management decisions with which the Inspector 
     5(a)(12)                                                                     None 
                     General disagreed 

     5(a)(13)        Compliance of Agency financial management system                8 


     5(a)(14)(15)    Peer reviews conducted of this OIG                             29 

     5(a)(16)        Peer reviews conducted by this OIG                             30 

                     FY 2008 National Defense Authorization Act Citation and 
     845                                                                            24 
                     Requirement  


          
                            FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                  OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                 25 
      
Appendix B
                                                         

      

      

      


                              Audit, Inspection, and Evaluation Reports Issued 
                                                                                    Recommendations 
                                      Number of Agreed Upon 
                    Report                                     Questioned Costs    That Funds Be Put to 
                                     Actions/Recommendations
                                                                                        Better Use 
             Federal Information 
             Security Management                1                    $ 0                   $ 0 
             Act 2014 Evaluation 
             FY 2014 Financial 
             Statement Audit of                 0                    $ 0                   $ 0 
             FCA  
             Audit of FCA’s 
             Enforcement and 
                                                3                    $ 0                   $ 0 
             Special Supervision 
             Processes 
             Audit of FCA’s 
             Commissioning                      9                    $ 0                $ 161,277 
             Program 

                     Total                     13                    $ 0                $ 161,277 




          
                                    FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                          OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                         26 
       
Appendix C
                                                           




                                         Reports with Questioned Costs 

                                                                   Number                 Dollar Value 
       
                                                                       Recom‐       Questioned  Unsupported 
                                                        Reports 
                                                                      mendations      Costs        Costs 

     A.  For which no management decision has 
        been made by the commencement of the                  0              0         $ 0            $ 0 
        reporting period. 

     B.  Which were issued during the reporting 
                                                              0              0         $ 0            $ 0 
        period. 

     Subtotals (A+B)                                          0              0         $ 0            $ 0 

     C.  For which a management decision was 
                                                              0              0         $ 0            $ 0 
        made during the reporting period. 

          (i)   dollar value of disallowed costs              0              0         $ 0            $ 0 

          (ii)  dollar value of costs not disallowed          0              0         $ 0            $ 0 

     D.  For which no management decision has 
        been made by the end of the reporting                 0              0         $ 0            $ 0 
        period. 

     E.  For which no management decision was 
                                                              0              0         $ 0            $ 0 
        made within six months of issuance. 




           
                                    FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                          OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                         27 
      
Appendix D
                                                                  




                                    Reports with Recommendations that Funds  

                                                    be Put to Better Use 

                                                                     Number of     Number of        Dollar 
               
                                                                      Reports   Recommendations     Value 

             A.  For which no management decision has been 
                  made by the commencement of the reporting             0              0              $ 0 
                  period.  

             B.  Which were issued during the reporting 
                                                                        1              9           $ 161,277 
             period. 

             Subtotals (A+B)                                            1              9           $ 161,277 

             C.  For which a management decision was made 
                                                                        0              0              $ 0 
                  during the reporting period. 

                  (i)   dollar value of recommendations that 
             were                                                       0              0              $ 0 
                        agreed to by management 

                       ‐ based on proposed management action            0              0              $ 0 

                       ‐ based on proposed legislative action           0              0              $ 0 

                 (ii)  dollar value of recommendations that 
             were                                                       0              0              $ 0 
                       not agreed to by management 

             D.  For which no management decision has been 
                                                                        0              0              $ 0 
                  made by the end of the reporting period. 

             E.  For which no management decision was  
                                                                        0              0              $ 0 
                  made within six months of issuance. 


                                              


          
                                       FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                             OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                            28 
      
Appendix E
                                                                                                           




                                 Peer Reviews Conducted of this Office  

                                                                           Function        Peer Review 
                Peer Review Performed By              Date of Report  
                                                                           Reviewed          Rating 


         Architect of the Capitol                     June 26, 2013          Audit            Pass 
         Office of Inspector General 

         U.S. Securities and Exchange Commission    December 26, 2007    Investigations       Pass 
         Office of Inspector General 




                                         




          
                                   FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                         OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                        29 
       
Appendix F
                                                        




                                  Peer Reviews Conducted by this Office  

                                                                        Function    Peer Review 
                       Peer Review Of                Date of Report  
                                                                        Reviewed      Rating 

          U.S. International Trade Commission   
                                                    January 16, 2013     Audit         Pass 
          Office of Inspector General 


          Consumer Product Safety Commission  
                                                     May 23, 2011        Audit         Pass 
          Office of Inspector General 




                                          




           
                                   FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                         OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                        30 
      
Appendix G
                                                           

      
      




                 FCA ORGANIZATIONAL CHART 




          
             FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                   OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                  31 
      
Appendix H
                                                    




                                     Glossary of Terms


             Agency          – Farm Credit Administration
             CIGIE           – Council of the Inspectors General on Integrity and Efficiency
             Farm Credit Act – Farm Credit Act of 1971, as amended
             Farmer Mac      – Federal Agricultural Mortgage Corporation
             FCA             – Farm Credit Administration
             FCS             – Farm Credit System
             FISMA           – Federal Information Security Management Act
             FY              – Fiscal Year
             H.R.            – House of Representatives
             IG              – Inspector General
             IG Act          – Inspector General Act of 1978, as amended
             IT              – Information Technology
             OE              – Office of Examination
             OIG             – Office of Inspector General
             OMB             – Office of Management and Budget
             OMS             – Office of Management Services
             Pub. L.         – Public Law
             RSD             – Risk Supervision Division
             S.              – Senate
             System          – Farm Credit System




          
                            FCA OIG SEMIANNUAL REPORT TO THE CONGRESS 
                                  OCTOBER 1, 2014 ─ MARCH 31, 2015 
                                                 32 
 

        	




             
     
             
           R E P O R T  
                                  

    Fraud    |    Waste    |    Abuse    |    Mismanagement 
 




                                                 
                                  


            FARM CREDIT ADMINISTRATION
 
            OFFICE OF INSPECTOR GENERAL
 
                                  




         Phone:  Toll Free (800) 437‐7322; (703) 883‐4316
 
                                        
                        Fax:  (703) 883‐4059
 
                                        
                  E‐mail:  fca‐ig‐hotline@rcn.com 
                                        
                Mail:  Farm Credit Administration
 
                    Office of Inspector General
 
                       1501 Farm Credit Drive
 
                      McLean, VA  22102‐5090