Cash Accountability in the Department of Defense, Imprest Fund Maintained by the U.S. Property and Fiscal Officer for Indiana
INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA
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The objectives of the audit were to verify the accountability for cash and related assets and to evaluate the adequacy of procedures used to determine the accuracy of records used to support cash accountability at DoD accounting offices and organizations authorized to have imprest funds. We also assessed compliance with applicable laws and regulations and evaluated internal control procedures used to comply with the DoD Internal Management Control Program as it pertained to the audit objectives. Our surprise audit of the impress fund maintained by the U.S. Property and Fiscal Officer for Indiana disclosed that on the date of our cash count, January 19, 1994, the cash on hand and the amounts on vouchers equaled the amount of money authorized to be in the fund. Controls over the fund were generally adequate in that vouchers were properly approved, and disbursements were supported by receipts. We noted, however, that the impress fund was used to pay spot awards for outstanding employee performance at the time of the act or achievement that prompted such recognition. That practice is good policy, but has not been authorized. Volume 1, Treasury Financial Manual, June 1993, indicated that because the U.S. Treasury routinely granted an exception to the use of the impress fund to pay spot awards, a waiver was granted to all agencies on a permanent basis if authorized by the agency head or policy designee. Since DoD has yet to approve that practice, DoD managers have less flexibility when funding cash awards than their civilian agency counterparts.
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