Federal Inspectors General: Another Type of Oversight

The Inspector General Act of 1978 established the responsibilities and duties of a Federal Inspector General.  The IG Act has been amended many times to increase the number of agencies with statutory IGs.  This culminated in 1988 with the establishment of IGs in smaller, independent agencies.  An even broader version, the Inspector General Reform Act of 2008, was recently signed into law.

 

 

IGs are appointed on the basis of their personal integrity and expertise in accounting, auditing, financial analysis, law, management analysis, public administration, or investigations.  IGs serving in Cabinet-level departments and major sub-Cabinet agencies are nominated by the President and confirmed by the Senate.  IGs at independent agencies, corporations, and other designated Federal entities are appointed by the heads of those entities.

 

 

-- Conduct independent and objective audits, investigations, inspections, and evaluations.

-- Promote economy, efficiency, and effectiveness.

-- Prevent and detect fraud, waste, and abuse.

-- Review pending legislation and regulation.

-- Keep the agency head and the Congress fully and currently informed.

 

How do they carry out their responsibilities?

 

-- Issue fact-filled reports, based on professional audit, investigative, and inspection standards, detailing the results of their work.

-- Have independent access to records and information of the agency.

-- Issue court documents requesting information from outside the agency.

-- Administer oaths for taking testimony.

-- Hire staff and contracted resources.

 

 

-- Offer analysis and advice on critical government-wide initiatives, such as physical and information security, grants management and financial management.

-- Look independently at problems and recommend possible solutions.

-- Perform independent investigation of allegations.

-- Provide technical and/or consultative advice as new plans and policies are developed.

-- Maintain hotlines for anonymous and confidential reporting of fraud, waste and abuse allegations.

 

In fiscal year 2008, the Inspectors General identified $18.6 billion in dollar savings as well as program efficiencies and enhancements from a range of audits, investigations, evaluations, and inspections. The IG community was responsible for successful investigations of individuals and entities who threatened government integrity and the public trust.

 

Cumulatively, these efforts resulted in: $14.2 billion in potential savings from audit recommendations; $4.4 billion in potential savings from investigative recoveries and receivables; over 6,600 indictments and criminal informations; nearly 6,900 successful prosecutions; about 5,000 suspensions or debarments; and nearly 338,000 hotline complaints processed.

 

Successful political appointees look upon these organizations and agencies as independent and objective advisors who are able to help them identify where the trouble spots are so that they can be addressed and resolved.  In addition, establishing a working relationship with organizations and individuals involved in oversight activities can help ensure the appointee does not stray into questionable territory or take or direct others to take actions that may be viewed as inappropriate or illegal when the allegations see the light of day.

 

For more results from fiscal year 2008, go to the “Offices of Inspector General Report Past Accomplishments and Look to the Future” statement at http://www.ignet.gov/randp/fy08aprpress.pdf.

 

For more information on the Federal Inspectors General community in general, go to http://www.ignet.gov/.