Sneak Preview: Closure of Audit Recommendations Sought in Guam

February 15, 2013 | By Jerry Ashworth | Post a Comment

(The following was excerpted from an article in the Single Audit Information Service.) Despite receiving periodic reminders and follow-up letters, several government agencies in Guam have yet to respond to audit recommendations from the Guam Office of Public Accountability, which has stopped just short of taking legal actions to force implementation of the recommendations.

Guam law allows for OPA to file action in the Guam Superior Court to spur the government to take corrective action. However OPA, in a recent report, said it has yet to “exercise this arduous and costly remedy.”

“Audit recommendations are discussed with the auditees to determine their reasonableness and feasibility prior to report issuance,” OPA said. “We recognize that implementing some recommendations may entail costs, either directly, such as purchasing equipment or software, or indirectly, such as investing in staff resources on training. However, the cost of failing to implement audit recommendations can be higher and result in long-term financial and performance deficiencies in government programs, systems and services.”

The OPA report provided the status of audit recommendations issued in 2010 and 2011. During this period, OPA issued 21 audits addressing concerns such as fund accountability, program efficiency, procurement, personnel, and suspected fraud and abuse. Of the 77 recommendations OPA made in the audits to improve the operations of the audited entities, only 27 were addressed for corrective action and closed, while the other 50 remain open.


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