Review of Regional Administrative Support Center's Procedures for Recording, Maintaining and Reconciling

Office of Inspector General . MAR 3 I 1992 Richard P. AT&&[& Inspector General Review of Regional Administrative Support Center's Maintaining and ReconcilingProcedures for Recording, Sustained Audit Disallowances in Region IV To Arnold R. TompkinsAssistant Secretary forManagement and BudgetThe attached final report provides you with the results of our review of the Region IV Regional Administrative Support Center's (RASC) procedures for recording, main­ taining and reconciling sustained audit disallowances. The RASC provides accounting services for what was formerly the Office of Human Development Services and is now part of the Administration for Children and We identified weaknesses in the debt collection process used by the RASC which allowed $1.1 million in sustained audit disallowances to go without collection actions. We also identified interest charges, penalty charges and administrative costs that should have been accrued on recorded accounts receivable. In response to our draft report, your office generally agreed with our findings and recommendations. response stated that in March 1992, staff from your office will review Region debt management activi­ties. The review will focus on the establishment and The response iscollection of accounts receivable. attached to the report as Appendix C. We would appreciate receiving comments within GO days on any additional actions you take on this report. have ...