Financial Management

Given the federal government’s fiscal challenges, there is a significant need for transparency and for the Congress, the administration, and federal managers to have reliable, useful, and timely financial and performance information. Even though significant progress has been made since the enactment of key financial management reforms in the 1990s, our report on the U.S. government’s consolidated financial statements illustrates that much work remains to improve federal financial management.

• While many individual federal agencies can now produce reliable financial statements, for the 14th consecutive year, GAO was unable to render an opinion on the federal government's fiscal year 2010 accrual-based consolidated financial statements primarily as a result of continuing material internal control weaknesses.
• Internal control weaknesses continue to impede effective management across a variety of federal programs and operations, including undermining its ability to minimize improper payments and effectively manage its tax collection activities. 
• Financial management system deficiencies continue to hinder federal agency accountability and program performance measurement.
• A multipronged approach will be required to make greater progress and meet the financial management challenges of the 21st century, including
  • sustaining top-level commitment and leadership and building on progress made to date;
  • focusing on (1) effectively managing and maintaining accountability over federal programs and resources, (2) minimizing improper payments, and (3) providing information needed to effectively deliberate strategies to address the nation's long-term fiscal challenge; and
  • recognizing that the longer actions to address these important issues are delayed, the greater the risk that the eventual required changes will be disruptive and destabilizing.

^ Back to topKey Reports

Management Report

Fiscal Year 2010 U.S. Government Financial Statements

Management Report

U.S. Government Financial Statements

Fiscal Year 2008 U.S. Government Financial Statements

Financial Audit

Financial Management

Highlights of a Forum Convened by the Comptroller General of the United States

Improper Payments