U.S. Environmental Protection Agency Office of Inspector General At a Glance 09-1-0172 June 23, 2009 Catalyst for Improving the Environment Why We Did This Audit The Food Quality Protection Act requires that we perform an annual audit of the Pesticides Reregistration and Expedited Processing Fund (known as the FIFRA Fund) financial statements. Background The U.S. Environmental Protection Agency (EPA) is responsible for reassessing the safety of older pesticide registrations against modern health and environmental testing standards. To expedite this reregistration process, Congress authorized EPA to collect fees from pesticide manufacturers. The fees are deposited into the FIFRA Fund. Each year, the Agency prepares financial statements that present financial information about the Fund, along with information about EPA's progress in reregistering pesticides. For further information, contact our Office of Congressional, Public Affairs and Management at (202)566-2391. To view the full report, click on the following link: www.epa.qov/oiq/reports/2009/ 20090623-09-1-0172.pdf Fiscal Year 2008 and 2007 Financial Statements for the Pesticides Reregistration and Expedited Processing Fund Opinion We rendered an unqualified, or clean, opinion on EPA's Pesticides Reregistration and Expedited Processing Fund Financial Statements for Fiscal Years 2008 and 2007, meaning that they were fairly presented and free of material misstatement. Internal Control Significant Deficiency Noted We noted one significant deficiency in internal controls. The Office of Pesticide Programs was unable to provide reliable information on reporting accomplishments for reregistration and amendment actions under the FIFRA Program Performance Measure Two. EPA is required to annually report on its pesticide performance measures and goals. Noncompliance With Laws and Regulations Noted We tested compliance with those laws and regulations that could either materially affect the FIFRA Fund financial statements, or that we considered significant to the audit. The objective of our audit, including our tests of compliance with applicable laws and regulations, was not to provide an opinion on overall compliance with such provisions. Accordingly, we do not express such an opinion. However, we did not identify any noncompliances that would result in a material misstatement to the audited financial statements. Agency Comments and Office of Inspector General Evaluation In a memorandum received on May 20, 2009, from the Acting Assistant Administrator for Prevention, Pesticides, and Toxic Substances and the Acting Chief Financial Officer, the Agency agreed with our findings and recommendations, and has begun corrective actions. We concur with the Agency's corrective actions. In its response to the final report, the Office of Pesticide Programs needs to clearly explain in detail its corrective actions for Recommendation 2. ------- |