Review of the Health Care Financing Administration's Implementation of the Federal Managers' Financial Integrity Act for Fiscal Year 1991

EXECUTIVE SUMMARY:

This final report presents the results of our review of the Health Care Financing Administration's (HCFA) implementation of the Federal Managers' Financial Integrity Act (FMFIA) for Fiscal Year (FY) 1991. As a result of our review, nothing came to our attention that would cause us to believe that HCFA was not in general compliance with FMFIA. Although HCFA has made significant efforts in developing its FMFIA program, we identified areas which warrant management's attention. We believe that HCFA should: (1) review all financial management systems that provide data to the accounting system in accordance with Section 4, (2) consider reclassifying the risk assessments of internal control areas that are pending material weaknesses and high risk areas, and (3) enhance the testing used to evaluate the Medicare contractors' internal control activities.

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