[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 1998 Reported in Senate (RS)]

                                                       Calendar No. 535
112th CONGRESS
  2d Session
                                S. 1998

                          [Report No. 112-230]

     To obtain an unqualified audit opinion, and improve financial 
 accountability and management at the Department of Homeland Security.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           December 15, 2012

Mr. Brown of Massachusetts (for himself, Mr. Carper, and Mr. Johnson of 
  Wisconsin) introduced the following bill; which was read twice and 
referred to the Committee on Homeland Security and Governmental Affairs

                            November 2, 2012

  Reported under authority of the order of the Senate of September 22 
   (legislative day, September 21), 2012, by Mr. Lieberman, with an 
                               amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
     To obtain an unqualified audit opinion, and improve financial 
 accountability and management at the Department of Homeland Security.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Department of Homeland 
Security Improved Financial Accountability Act of 2011''.</DELETED>

<DELETED>SEC. 2. IMPROVING FINANCIAL ACCOUNTABILITY AND 
              MANAGEMENT.</DELETED>

<DELETED>    (a) Definitions.--In this section--</DELETED>
        <DELETED>    (1) the term ``Department'' means the Department 
        of Homeland Security;</DELETED>
        <DELETED>    (2) the terms ``qualified opinion'' and 
        ``unqualified opinion'' mean a qualified opinion and an 
        unqualified opinion, respectively, within the meanings given 
        those terms under generally accepted government auditing 
        standards; and</DELETED>
        <DELETED>    (3) the term ``Secretary'' means the Secretary of 
        Homeland Security.</DELETED>
<DELETED>    (b) Reaching an Unqualified Audit Opinion.--In order to 
ensure compliance with the Department of Homeland Security Financial 
Accountability Act (Public Law 108-330; 118 Stat. 1275) and the 
amendments made by that Act, the Secretary shall--</DELETED>
        <DELETED>    (1) take the necessary steps to ensure that the 
        balance sheet of the Department and associated statement of 
        custodial activity for the fiscal years ending September 30, 
        2012 and September 30, 2013 are ready in a timely manner and in 
        preparation for an audit as part of preparing the performance 
        and accountability reports required under section 3516(f) of 
        title 31, United States Code, including submitting the reports 
        not later than November 15, 2012 and November 15, 2013, 
        respectively, in order to obtain a qualified or unqualified 
        opinion;</DELETED>
        <DELETED>    (2) take the necessary steps to ensure that the 
        full set of consolidated financial statements of the Department 
        for the fiscal years ending September 30, 2014 and September 
        30, 2015 are ready in a timely manner and in preparation for an 
        audit as part of preparing the performance and accountability 
        reports required under section 3516(f) of title 31, United 
        States Code, including submitting the reports not later than 
        November 15, 2014 and November 15, 2015, respectively, in order 
        to obtain a qualified or unqualified opinion; and</DELETED>
        <DELETED>    (3) take the necessary steps to ensure that the 
        full set of consolidated financial statements of the Department 
        for the fiscal year ending September 30, 2016, and each fiscal 
        year thereafter, are ready in a timely manner and in 
        preparation for an audit as part of preparing the performance 
        and accountability reports required under section 3516(f) of 
        title 31, United States Code, including submitting the reports 
        not later than November 15, 2016, and each year thereafter, in 
        order to obtain an unqualified opinion.</DELETED>
<DELETED>    (c) Report to Congress on Progress of Meeting Audit 
Requirements.--Not later than 270 days after the date of enactment of 
this Act, and annually thereafter until an unqualified opinion is 
submitted under paragraph (2) or (3) of subsection (b), and in order to 
ensure progress in implementing the Department of Homeland Security 
Financial Accountability Act (Public Law 108-330; 118 Stat. 1275) and 
the amendments made by that Act, the Chief Financial Officer of the 
Department shall submit to Congress a report on the plans to obtain an 
unqualified opinion, which shall discuss plans and resources needed to 
meet the deadlines under subsection (b).</DELETED>
<DELETED>    (d) Report To Congress on Plans To Modernize Financial 
Systems.--</DELETED>
        <DELETED>    (1) In general.--Not later than 270 days after the 
        date of enactment of this Act, and in order to improve 
        financial management at the Department, the Chief Financial 
        Officer of the Department shall submit to Congress and the 
        Comptroller General of the United States a report on the plans 
        of the Department and resources needed to modernize the 
        financial systems of the Department.</DELETED>
        <DELETED>    (2) Contents.--The report submitted under 
        paragraph (1) shall discuss--</DELETED>
                <DELETED>    (A) the challenges of and opportunities 
                for using existing financial systems of the Department, 
                including an assessment of the feasibility and cost of 
                using an existing financial system;</DELETED>
                <DELETED>    (B) the challenges and opportunities of 
                implementing a new financial system and associated 
                financial controls; and</DELETED>
                <DELETED>    (C) the lessons learned from the prior 
                attempts of the Department to develop a financial 
                system that will be considered in implementing a new 
                financial system.</DELETED>
        <DELETED>    (3) Review.--Not later than 180 days after the 
        date on which the Chief Financial Officer of the Department 
        submits the report under paragraph (1), the Comptroller General 
        of the United States shall review the report and submit to 
        Congress a report that provides--</DELETED>
                <DELETED>    (A) an assessment of the status of the 
                financial system modernization by the 
                Department;</DELETED>
                <DELETED>    (B) an evaluation of the report;</DELETED>
                <DELETED>    (C) an assessment of the plans to 
                modernize, and developments at the Department relating 
                to, the financial system of the Department; 
                and</DELETED>
                <DELETED>    (D) any recommendations for improving the 
                plans for a new financial system at the 
                Department.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``DHS Audit Requirement Target Act of 
2012'' or the ``DART Act''.

SEC. 2. IMPROVING FINANCIAL ACCOUNTABILITY AND MANAGEMENT.

    (a) Definitions.--In this section--
            (1) the term ``Department'' means the Department of 
        Homeland Security;
            (2) the term ``financial management systems'' has the 
        meaning given that term under section 806 of the Federal 
        Financial Management Improvement Act of 1996 (31 U.S.C. 3512 
        note);
            (3) the term ``Secretary'' means the Secretary of Homeland 
        Security; and
            (4) the term ``unqualified opinion'' mean an unqualified 
        opinion within the meaning given that term under generally 
        accepted auditing standards.
    (b) Reaching an Unqualified Audit Opinion.--In order to ensure 
compliance with the Department of Homeland Security Financial 
Accountability Act (Public Law 108-330; 118 Stat. 1275) and the 
amendments made by that Act, the Secretary shall take the necessary 
steps to ensure that the full set of consolidated financial statements 
of the Department for the fiscal year ending September 30, 2013, and 
each fiscal year thereafter, are ready in a timely manner and in 
preparation for an audit as part of preparing the performance and 
accountability reports required under section 3516(f) of title 31, 
United States Code, (including submitting the reports not later than 
November 15, 2013, and each year thereafter) in order to obtain an 
unqualified opinion on the full set of financial statements for the 
fiscal year.
    (c) Report to Congress on Progress of Meeting Audit Requirements.--
In order to ensure progress in implementing the Department of Homeland 
Security Financial Accountability Act (Public Law 108-330; 118 Stat. 
1275), and the amendments made by that Act, during the period beginning 
on the date of enactment of this Act and ending on the date on which an 
unqualified opinion described in subsection (b) is submitted, each 
report submitted by the Chief Financial Officer of the Department under 
section 902(a)(6) of title 31, United States Code, shall include a 
plan--
            (1) to obtain an unqualified opinion on the full set of 
        financial statements, which shall discuss plans and resources 
        needed to meet the deadlines under subsection (b);
            (2) that addresses how the Department will eliminate 
        material weaknesses and significant deficiencies in internal 
        controls over financial reporting and provides deadlines for 
        the elimination of such weaknesses and deficiencies; and
            (3) to modernize the financial management systems of the 
        Department, including timelines, goals, alternatives, and costs 
        of the plan, which shall include consideration of alternative 
        approaches, including modernizing the existing financial 
        management systems and associated financial controls of the 
        Department and establishing new financial management systems 
        and associated financial controls.
                                                       Calendar No. 535

112th CONGRESS

  2d Session

                                S. 1998

                          [Report No. 112-230]

_______________________________________________________________________

                                 A BILL

     To obtain an unqualified audit opinion, and improve financial 
 accountability and management at the Department of Homeland Security.

_______________________________________________________________________

                            November 2, 2012

  Reported under authority of the order of the Senate of September 22 
   (legislative day, September 21), 2012, by Mr. Lieberman, with an 
                               amendment