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U.S. Environmental Protection Agency
Office of Inspector General
At a Glance
10-2-0131
May 19, 2010
Catalyst for Improving the Environment
Why We Performed These
Agreed-Upon Procedures
We performed agreed-upon
procedures on the U.S.
Environmental Protection
Agency (EPA) Fiscal Year
(FY) 2010 First Quarter
Financial Statements. We did
so to assist EPA in evaluating
whether its quarterly Financial
Statements were compiled in a
manner consistent with the
Treasury United States
Standard General Ledger
Crosswalk, and to identify
significant fluctuations in
financial line item balances
from the previous year.
Background
Agencies submit unaudited
interim Financial Statements to
the Office of Management and
Budget (OMB) 21 days after
the end of each of the first three
quarters of the fiscal year.
Agencies should include
management's explanation of
significant variances in types or
amounts of assets, liabilities,
costs, revenues, obligations,
and outlays, along with the
submitted statements.
For further information,
contact our Office of
Congressional, Public Affairs
and Management at
(202) 566-2391.
Agreed-Upon Procedures on EPA's Fiscal Year
2010 First Quarter Financial Statements
What We Found
We performed certain agreed-upon procedures on the Agency's First Quarter
FY 2010 Financial Statements. We compared the statements with EPA's
crosswalk, recomputed them for mathematical accuracy, and compared them with
balances separately generated by us. We identified differences between our
computed general ledger account adjusted trial balance and the Agency's
adjusted trial balance.
Below are the results of our performance of the agreed-upon procedures:
	The FY 10 Cumulative Results of Operations Beginning of Period does not
agree with the FY09 Cumulative Results of Operations Ending Balance.
	The Agency's Combined Statement of Budgetary Resources and Statement
of Custodial Activity agreed with the amounts on the Agency's support.
	The Agency identified 14 fluctuations in its financial statements and
submitted them to OMB.
	Two items should be updated based on our comparison of EPA's Financial
Statement Preparation Guide for the 2010 Financial Statements to OMB
Circular A-136.
	We identified discrepancies in the Statement of Custodial Activity,
Statement of Net Position, and Statement of Budgetary Resources in our
review of Treasury's financial statement crosswalk to the Agency's financial
statement crosswalk.
	We identified four differences in our comparison of Treasury's Closing
Instructions to EPA's Closing Instructions.
	We found that EPA's Treasury Symbols were in compliance with Statement
of Federal Financial Accounting Standards No. 27.
	We found that the on-top entry to record child agency balances agreed with
the support.
	We found three items were not reversed based on the Agency's designation
of the type of adjustment. There were differences between the FY 2010
Report of General Ledger Balance by Treasury Symbol beginning balances
and FY 2009 ending balances.
	The elimination and consolidation entries appear reasonable and complete.
To view the full report,
click on the following link:
www.epa.aov/oia/reports/2010/
20100519-10-2-0131.pdf
The agreed-upon procedures do not constitute an audit of the quarterly Financial
Statements or any part thereof, the objective of which would be the expression of
an opinion on the quarterly Financial Statements or any part thereof.

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