The United States Geological Survey (USGS) received its first unqualified audit opinion on its fiscal year 1996 financial statements. We are very proud of that accomplishment, and I am pleased to report that we have again received an unqualified audit opinion on our financial statements for FY 1997. This is a reflection of the importance and priority we place on sound financial management and contributes to our effort to build
"a new USGS."
We have made great strides in the financial management arena in fiscal year 1997. The former National Biological Service (NBS) was fully integrated into USGS during FY 1997; this integration provided the Department of the Interior (DOI) with a single earth and biological science bureau. All financial activities of the former NBS are now conducted within the USGS financial system, including all accounting processes, transactions, and reports. The financial statements in this report are consolidated to reflect that integration.
The USGS is continuing to improve its financial management systems. We have made adjustments in our budget allocation process to more fully comply with appropriation law and Congressional intent. Direct entry of financial transactions has been expanded throughout the USGS and has resulted in more timely and accurate posting of transactions. We have improved the operation of our working capital fund by clarifying policies and increasing accountability. Other financial management improvements include streamlining object classes, implementing an automated interface for credit cards, and improving management reporting on interest payments.
The USGS continues to provide financial management leadership within the DOI. We were the first Interior bureau to convert to the current financial management system, we were the first to adopt the complex fixed asset subsystem, and we are the pilot bureau for the Departmentwide automated procurement system. We are one of two Interior bureaus operating an administrative service center. We also serve as the focal point for the DOI for financial system changes and enhancements.
Our commitment to improved financial management in FY 1997 will continue. We are in the middle of a study to develop a common financial planning, budgeting, and execution tool for use throughout the USGS. Several accounting standards will be implemented in FY 1998, along with some new general ledger concepts. We are committed to continuing our efforts to conduct as much business as possible electronically, including making all payments via electronic funds transfer. We will implement a new personnel and payroll system in FY 1998 and are agressively addressing the year 2000 computer problems that also are plaguing all of government and industry.
We are proud of our accomplishments and wholeheartedly accept these new challenges. Our continuing commitment to sound financial management is an integral part of the renewed USGS.
Barbara J. Ryan
Chief Financial Officer and
Associate Director for Operations