U.S. ACCESS BOARD PERFORMANCE AND ACCOUNTABILITY REPORT FOR FY 2012       PDF version

TABLE OF CONTENTS

• AGENCY HEAD MESSAGE
  
• MANAGEMENT DISCUSSION AND ANALYSIS
• INDEPENDENT AUDITOR'S REPORT AND FINANCIAL STATEMENTS
• FINANCIAL STATEMENTS AND NOTES
  

November 13, 2012

I am pleased to present the Access Board’s Performance and Accountability Report for Fiscal Year 2012. This report provides key information on the Access Board’s progress in meeting its missions and managing its financial responsibilities. This agency has a proud history of serving the public through its programs devoted to accessibility for people with disabilities.

Fiscal Year 2012 was a year of continuing success. The Access Board continues to develop accessibility requirements, provide technical assistance and training, and enforces access requirements for the Federal government. We will continue to strive for excellence to fulfill our responsibilities to provide accessibility for people with disabilities.

Sincerely,

David M. Capozzi
Executive Director

ACCESS BOARD MANAGEMENT DISCUSSION AND ANALYSIS
FISCAL YEAR 2012

INTRODUCTION

In March 2012, the Access Board approved a new strategic plan. The plan includes a new vision statement (advancing full access and inclusion for all) and a new mission statement (lead the development, advancement, and implementation of accessibility through outreach, rulemaking (standards and guidelines) and education). The plan includes three goals:

• innovate, develop, and maintain accessibility requirements
  
• educate about accessibility
  
• enforce compliance with the Architectural Barriers Act (ABA)

The Board has established long and short-range goals and annual objectives that describe the strategies it will implement to achieve the goals. In developing objectives and strategies for achieving its goals, the Board seeks to work together with its stakeholders toward common objectives. The Board’s plan is simple: work with its stakeholders to establish consensus-based guidelines and standards that are fair, reasonable, and acceptable to all interests; where the Board has enforcement responsibilities over federal agencies, assist those agencies to achieve full compliance; and involve its stakeholders in developing and disseminating materials and manuals that will help them understand and comply with our guidelines and standards.

The Board was established in 1973 under section 502 of the Rehabilitation Act and is the only federal agency whose primary mission is accessibility for people with disabilities. The Board is responsible for developing guidelines under the Americans with Disabilities Act, the Architectural Barriers Act, and the Communications Act for ensuring that buildings and facilities, transportation vehicles, and telecommunications equipment covered by these laws are readily accessible to and usable by people with disabilities. The Board is also responsible for developing standards under the Rehabilitation Act for accessible electronic and information technology procured by federal agencies and standards for accessible medical diagnostic equipment.

Under the Help America Vote Act, the Board serves on the Board of Advisors and the Technical Guidelines Development Committee, which assist the Election Assistance Commission in developing voluntary guidelines for voting systems, including accessibility for people with disabilities. In addition, under the 2012 Food and Drug Administration Safety and Innovation Act, the Board is responsible for developing best practices on access to information on prescription drug container labels for individuals who are blind or visually impaired.

The Board enforces the Architectural Barriers Act and provides training and technical assistance on each of its guidelines and standards, and on a variety of other accessibility issues. Additionally, the Board maintains a research program that develops technical assistance materials and provides information needed for rulemaking.

The Board’s programs will result in accessible buildings and facilities, transportation vehicles, medical diagnostic equipment, telecommunications equipment, and information and communications technology across our country and, ultimately, the full economic and social integration of people with disabilities into our society. Achieving these results will depend not only on the Board’s activities, but also on the level of commitment and action taken by other federal agencies, State and local governments, and businesses that are required to comply with or enforce the various laws that guarantee the civil rights of people with disabilities.

INNOVATE, DEVELOP, AND MAINTAIN ACCESSIBILITY REQUIREMENTS

The Board will continue to develop and update accessibility guidelines and standards and work cooperatively with organizations that develop codes and standards affecting accessibility. We have the following two objectives for this program area:

• Complete pending rulemakings: Outdoor Developed Areas; Shared Use Paths; Passenger Vessels; Public Rights-of-Way; Information and Communications Technology; Self-Service Transaction Machines; Transportation Vehicles; Emergency Transportable Housing; Classroom Acoustics; and Medical Diagnostic Equipment.
• Improve the effectiveness and efficiency of the rulemaking process to ensure “state-of-the-art” accessibility guidelines.

FY 2012 Results – Rulemaking

The status of current guidelines and standards efforts is presented below.

Outdoor Developed Areas

In October 2009, the Board released a draft final rule for outdoor developed areas, including access to new or altered trails, beaches, and picnic and camping areas on sites managed by the federal government. The comment period for the draft final rule closed in December 2009. The guidelines would apply to sites developed or altered by federal land management agencies, including the U.S. Forest Service, the National Park Service, the Fish and Wildlife Service, the Bureau of Land Management, and the Army Corps of Engineers, among others. The Board approved a final rule in July 2012 and will be sending it soon to the Office of Management (OMB) and Budget for review. Proposed guidelines for non-federal sites will be published for comment at a future date.

Shared Use Paths

When the Board approved the draft final accessibility guidelines for outdoor developed areas, coverage of shared use paths was deferred to a future rulemaking. Commenters on the outdoor developed areas rule had previously raised concerns about the need for differing guidelines for shared use paths. Commenters noted that shared use paths differ from trails and typically are located in more developed outdoor areas, as opposed to the more primitive trail settings. Unlike trails, they are designed to serve both bicyclists and pedestrians and are used for transportation and recreation purposes.

In September 2010, the Board held a public information meeting in conjunction with the ProWalk/ProBike 2010 Conference. This meeting provided an opportunity for individuals with disabilities, designers of shared use paths, and others with expertise in this area to share information with the Board to assist in the development of new accessibility guidelines. The Board then published an advance notice of proposed rulemaking for shared use paths in March 2011. Staff is developing a Supplemental Notice of Proposed Rulemaking (SNPRM) to include requirements for shared use paths in the public rights-of-way rule. We will send the completed SNPRM to the Board’s ad hoc committee for review soon and then distribute it to the full Board for a notational vote.

Passenger Vessels

The Board’s guidelines will apply to passenger vessels that are permitted to carry more than 150 passengers or more than 49 overnight passengers, all ferries, and certain tenders that carry 60 or more passengers. In June 2008, we published revised draft guidelines for the purpose of holding information meetings to collect data necessary for a regulatory assessment. We held meetings in August 2008 to collect this data. In 2009, we contracted with the Volpe National Transportation Systems Center to assist the Board in finalizing a regulatory assessment. The Board’s Passenger Vessel Emergency Alarms Advisory Committee completed its work and presented its report to the Board in October 2008. The committee’s recommendations will advance the Board’s development of new guidelines for passenger vessels, which are to include criteria for emergency alarm systems. At its January 2012 meeting, the Board approved the Passenger Vessel Accessibility Guidelines proposed rule. It will be submitted to OMB for review soon.

Public Rights-of-Way

In 2009, we contracted with the Volpe National Transportation Systems Center to assist the Board in finalizing a regulatory assessment for this rulemaking. A notice of proposed rulemaking (NPRM) was published for public comment in July 2011. An ad hoc committee of Board members and staff are working to develop a final rule.

Section 508 and Telecommunications Equipment Standards Update

In July 2006, the Board created an advisory committee to update and revise the Section 508 standards and the Telecommunications Act Accessibility Guidelines. Forty-one organizations served on the Telecommunications and Electronic and Information Technology Advisory Committee. The committee’s membership included representatives from industry, disability groups, standard-setting bodies in the U.S. and abroad, and government agencies, among others. The committee completed its work and presented its report to the Board in April 2008. In March 2010, the Board published an Advance Notice of Proposed Rulemaking (ANPRM) to update the Board’s Information and Communications Technologies (ICT) guidelines and standards based on the committee’s report. A second ANPRM was published in December 2011. The public comment period ended in March 2012, and two public hearings were held. Ninety-one separate commenters filed comments or spoke at the hearings. An ad hoc committee of Board members and staff are working to develop a proposed rule.

Self-Service Transaction Machines

At its November 2010 meeting, the Board decided to separate the rulemaking on ADA self-service transaction machines from the rulemaking on information and communication technology. The Departments of Transportation (DOT) and Justice (DOJ) are undertaking related rulemakings that present an opportunity to work collaboratively to develop a single set of technical requirements that would be referenced and scoped by each participating agency. A proposed rule is planned for FY 2013.

Transportation Vehicles Guidelines Update

In November 2008, the Board released for public comment a second draft of revisions updating its accessibility guidelines for buses and vans covered by the Americans with Disabilities Act. The second draft was issued because the format had been significantly changed, provisions for over-the-road buses were added, and changes were made in response to comments on a first draft that was published in April 2007. In 2009, we contracted with the Volpe National Transportation Systems Center to assist the Board in finalizing the regulatory assessment for this rulemaking. An NPRM to revise and update the accessibility guidelines for buses, over-the-road buses, and vans was published in July 2010. Two public hearings were held during the comment period that closed in November 2010.

One important issue was raised after the close of the comment period. As a result, the Board agreed to re-open the comment period for additional public input related to the late comments. The commenters raised issues about the 1:6 ramp slope requirements and a new design that locates the shallower ramp partially inside the vehicle. This design constrains the maneuvering space within the vehicle at the top of the ramp and at the fare box and creates a grade break within the ramp run. During the extended comment period, the Board will hold information meetings to gather input on these issues. The new comment period ends on October 31, 2012. A final rule is planned for FY 2013.

Emergency Transportable Housing

An advisory committee on emergency transportable housing was created in September 2007. The Board organized the committee, which included representation from disability groups, industry and code groups, and government agencies, to provide recommendations on supplementing its guidelines to cover emergency transportable housing. Access to such housing proved problematic in the aftermath of Hurricane Katrina. After verifying and examining the issues involved, the Board determined that supplementary guidelines were needed. The committee completed its work and presented its report to the Board in November 2008. The Board published a proposed rule in June 2012. The comment period closed in August 2012. One public hearing was held in July 2012. At the close of the comment period, the Board had received 45 comments, including those from the public hearing. An ad hoc committee of Board members and staff are working to develop a final rule.

Classroom Acoustics

The Board was petitioned in 1997 to include classroom acoustics provisions in revisions then underway to ADAAG; lack of notice precluded this. Instead, in 1998 the Board published a Request for Information that was strongly supported in comment by parents and by audiology and acoustics professionals. Opposition was largely based upon assumed cost increases when weighed against undemonstrated efficacy. The Board has worked hard to resolve these issues.

Instead of pursuing rulemaking at the time, the Board participated in the development of a voluntary consensus standard on the topic. In 2002, the ANSI/ASA S12.60 Classroom Acoustics Standard was finalized. However, the standard is voluntary until it is required to be complied with. In 2009, the Board worked to revise the standard to make it easier to reference in the International Building Code to make the voluntary standard mandatory.

Revisions to the ANSI/ASA S12.60 Classroom Acoustics Standard were finalized in late April 2010 and the standard was approved by ANSI immediately thereafter. The Board then sought to have the new standard adopted by the International Code Council (ICC) so that it would be a required part of the International Building Code. However, the Board’s proposal was defeated. Therefore, at its July 2010 meeting, the Board approved a motion to go forward with rulemaking under the ADA and Architectural Barriers Act (ABA) to reference the ANSI/ASA standard for new classroom construction and for alterations of significant scope.

Draft text has already been prepared for a proposed rule on classroom acoustics. The next step is to develop a regulatory assessment and preamble to accompany the NPRM. We have contracted with the National Institute for Building Sciences to complete the regulatory assessment. A proposed rule is planned for FY 2013.

Medical Diagnostic Equipment

The Access Board is developing accessibility standards for medical diagnostic equipment, including examination tables and chairs, weight scales, radiological equipment, and mammography equipment. The Patient Protection and Affordable Care Act signed into law in March 2010 requires the Board to issue these standards in consultation with the Food and Drug Administration. The standards are to address independent access to, and use of, equipment by people with disabilities to the maximum extent possible.

In July 2010, the Board held a public information meeting on this rulemaking to gather information from stakeholders, including consumers, equipment manufacturers, the health care industry, government agencies, and others with an interest in the new standards.

A proposed rule was published in February 2012 and two public hearings were held. The comment period closed in June 2012 and 53 comments were received. In March 2012, the Board created a 24-member Medical Diagnostic Equipment Accessibility Standards federal advisory committee advise the Board on matters associated with the comments the Board received and information it requested in proposing the standards.

FY 2012 Results – Codes and Standards

Adoption of Board Guidelines as Enforceable Standards

In order for the Board’s accessibility guidelines to become enforceable, other federal agencies must generally complete rulemaking to adopt the guidelines as standards. The Department of Housing and Urban Development, the Department of Defense, the General Services Administration, and the U.S. Postal Service use the Board’s guidelines to develop enforceable standards under the Architectural Barriers Act. The Departments of Justice and Transportation use the Board’s guidelines to develop enforceable standards under the Americans with Disabilities Act. The U.S. Postal Service, General Services Administration, the Department of Defense, and the Departments of Justice and Transportation have adopted the Board’s guidelines as standards. The Department of Housing and Urban Development has not acted yet to adopt the Board’s guidelines.

Voluntary Consensus Standards

Our long-range goal is to take a leadership role in the development of codes and standards for accessibility. The Board works with model codes organizations and voluntary consensus standards groups that develop and periodically revise codes and standards affecting accessibility. We have voting membership in several codes and standards organizations, and monitor or are actively involved in the development or revision of dozens of other codes and standards affecting accessibility. Some of the codes and standards groups that we work with include the ICC/American National Standards Institute (ANSI) A117 Committee; American Society of Mechanical Engineers (ASME) A18 Platform Lift and Stairway Chair Lift Committee; National Fire Protection Association (NFPA), Disability Access Review Advisory Committee; and the American Society for Testing and Materials (ASTM) Committee on Playground Surfacing Systems.

We believe this goal enhances the Board’s credibility as a knowledgeable source of information regarding technical aspects of accessibility. Additionally, by working cooperatively with model codes organizations and standards-setting organizations, federal and private codes and standards will be more similar, or harmonized, and the Board will be more alert to non-federal influences affecting its constituencies. Harmonization between federal and private requirements will make it more likely that buildings and facilities will be accessible, thus reducing the necessity for complaints and litigation.

Two Access Board members serve as members of the Technical Guidelines Development Committee and the Board of Advisors, which provide recommendations to the Election Assistance Commission (EAC) under the Help America Vote Act. We are also a member of the Interagency Committee on Standards Policy, which is the body that is responsible for overseeing the use of standards by federal agencies in accordance with the National Technology Transfer and Advancement Act.

EDUCATE ABOUT ACCESSIBILITY

The Board provides technical assistance to a wide variety of people regarding the accessibility guidelines and standards it issues. The Board’s customers include architects, builders, designers, manufacturers, people with disabilities, State and local governments, and federal agencies. The Board’s technical assistance program has four components:

• Responding to customer inquiries. The Board responds to about 13,000 customer inquiries each year. We have toll-free telephone lines for customers to call with questions. Customers also e-mail and fax us questions. Many literally are sitting at a drawing table with a design problem. They want accurate, reliable, and timely advice. Our customer’s value being able to discuss their questions directly with our accessibility specialists who developed the guidelines and standards.
• Developing and disseminating bulletins, manuals, and other publications. The Board maintains about 30 publications on accessibility issues. These range from short bulletins responding to frequently asked questions about specific issues such as accessible parking, to manuals on the Board’s guidelines and standards. We send out about 10,000 publications each year in print and alternate formats.
• Providing training. The Board conducts about 90 training sessions each year. Training usually is provided at conferences and seminars sponsored by other organizations. Training sponsors generally reimburse us for travel expenses.
• Maintaining the Board’s website. The Board’s website (www.access-board.gov) has become a very effective way to distribute information to the public. Customers can download many of our publications and view our accessibility guidelines and standards from our website.

We have the following two objectives in this program area:

• Broaden education and outreach efforts.
• Use new technologies to deliver training and guidance.

The Board’s long-range goal is to be known as the leading source of information about accessibility and to disseminate information to our customers in effective ways. As we develop guidelines for new areas such as outdoor developed areas, passenger vessels, public rights-of-ways, and emergency transportable housing, there will be increased demands for technical assistance from existing and new customer groups. The Board has informal partnerships with organizations such as the National Association of ADA Coordinators and the ten Regional ADA National Network Centers to disseminate information about the Board’s programs. Many of the Board’s guidelines and publications are available through these organizations’ on-line networks. The Board also provides training for these organizations. As we develop new guidelines and standards, there will be opportunities to use existing partnerships and establish new partnerships with customer groups to disseminate information about the Board’s rulemaking.

FY 2012 Results

Technical assistance, research, regulatory assessments, and training projects funded in FY 2012 include:

• Regulatory Assessments. Contracts were awarded to assist in the development of regulatory assessments for rulemaking for the Section 508 and Telecommunications Equipment Standards Update and the Self-Service Transaction Machines rulemaking.
• Walkway Standards for Rollability. The Board contracted with the Department of Rehabilitation Science and Technology at the University of Pittsburgh and the Human Engineering Research Laboratories of the Veterans Administration Rehabilitation Research and Development Center in Pittsburgh to research, test, and develop a measurement protocol and comfort/rolling resistance standard for accessibility of newly installed exterior prepared/paved surfaces.
• Contractor Support. We issued contracts to assist in the development of animations for the Board’s new on-line technical assistance project, support for our monthly webinar program, and the development of a technical assistance document on “how to” conduct accessible webinars. A critical component to offering or participating in a webinar is to ensure that they are accessible to individuals with disabilities, including those who are deaf or hard of hearing and people who are blind or have low vision. The material developed will assist those using various webinar platforms and those providing a webinar platform or program in identifying the critical features that are necessary in making them accessible.

The Board responded to 13,180 customer inquiries, distributed 1,278 information packets, and conducted 91 training sessions that were attended by approximately 7,634 people. An information packet usually contains several publications. Since we do not collect data on publications disseminated through partner organizations, the actual number of publications disseminated to our customers is greater than our current data indicate.

We have used our website to provide copies of the Board’s guidelines and answers to frequently asked questions about the guidelines so that more customers can get the information they need. The usage of our website continues to grow. There were approximately 3.7 million user sessions and 50 million “hits”. We also distributed six issues of Access Currents, a free newsletter the Board issues every other month by e-mail.

We also offer monthly webinars and audio conferences through a partnership with the National Network of ADA Centers. We hosted 12 sessions where participants learned more about the work of the Access Board, its guidelines and standards, and accessible design. Sessions also provide an opportunity to earn continuing education credits (CEUs) for a fee, but general attendance is free.

ENFORCE COMPLIANCE WITH THE ARCHITECTURAL BARRIERS ACT

The Board enforces the Architectural Barriers Act (ABA), which requires that most buildings designed, constructed, altered, or leased by the federal government and certain other federally financed facilities be accessible to people with disabilities. Complaints received by the Board concern post offices, national parks, military facilities, veterans hospitals, courthouses, and a variety of other facilities. When the Board has jurisdiction and finds that the applicable accessibility standards were not followed, we request a corrective action plan and monitor the case until the barrier is removed. Even when the Board does not have jurisdiction or no violation is found, we attempt to negotiate voluntary barrier removal.

We have the following three objectives in this program area:

• Expand partnerships with federal agencies, state and local governments, advocacy groups, and others.
• Increase ABA compliance.
• Develop strategies for better compliance using ABA compliance performance information.

In addition to enforcement, the Board works with federal agencies and others to ensure compliance with the Architectural Barriers Act and make the federal government a model of accessibility. Our experience with resolving complaints is that most violations are not intentional. When violations are found, it is usually because the people responsible for designing buildings, reviewing plans, and on-site construction did not have a good understanding of the accessibility standards and how to apply them. People responsible for building planning and design at headquarters, regional and field offices, and local sites must have a working knowledge of the accessibility standards if compliance is to be achieved. As federal agencies are reorganized and personnel assignments and responsibilities change, it is important that agencies have effective systems for training new people responsible for applying the accessibility standards and for monitoring compliance with the Architectural Barriers Act. Training has become even more important now that new accessibility standards for the Architectural Barriers Act are being implemented by the standard-setting agencies.

FY 2012 Results - ABA Compliance

The Board received 148 written ABA complaints in FY 2012. These included complaints investigated under the Architectural Barriers Act, and also those concerning facilities not covered by that law but potentially covered by other laws, such as the Americans with Disabilities Act and the Rehabilitation Act. Of the 148 complaints, we opened 60 as new Architectural Barriers Act cases. Although the Board did not have authority under the Architectural Barriers Act in the other 88 complaints, we responded to the complainants, usually by referring them to the appropriate enforcement agency. In addition, we referred another five complainants to other agencies for action when our investigations revealed there was no violation of the Architectural Barriers Act or we did not have jurisdiction.

The Board responds quickly to all new complaints. We sent initial letters to complainants acknowledging receipt of their complaint or began an investigation of the issues they raised within an average of five days. It is Board practice to keep complainants informed on a regular basis throughout the course of our investigations. We contacted 67 complainants to provide updates on the status of their complaints. We find that these contacts can be helpful in obtaining additional information about actions being taken that may not have been provided by respondent agencies. Upon completing investigations, we always give complainants an opportunity to comment on determinations we have made and actions that have been taken before closing complaints.

FY 2012 Results - Working in Partnership with Agencies

We awarded a contract to update our complaint tracking system so that it can accept complaint information directly from complainants through submission via a web-based complaint form, accept other data from Access Board staff (such as status updates, corrections and additions to complaint information), and from points of contact at other federal agencies via a web-based questionnaire form and will begin implementation in FY 2013. We also initiated a new customer satisfaction survey for ABA complaints.

ANTICIPATE OPPORTUNITIES FOR ACCESSIBILITY IN OUR CHANGING ENVIRONMENT

In July 2009, the Board formed a new ad hoc committee to address “frontier” technologies not currently addressed by the Board’s guidelines and standards or elsewhere. We have the following two objectives in this program area:

• Work with appropriate agencies within the Administration to clarify authority of the Americans with Disabilities Act with respect to information and communication technology.
• Identify, prevent, and resolve barriers to accessible technology.

The first objective has largely been accomplished. In July 2010, the Department of Justice published an Advance Notice of Proposed Rulemaking indicating that the Department is considering revising regulations implementing title III of the Americans with Disabilities Act in order to establish requirements for making the goods, services, facilities, privileges, accommodations, or advantages offered by public accommodations via the internet accessible to individuals with disabilities. The Department is also considering revising the ADA´s title II regulation to establish requirements for making the services, programs, or activities offered by State and local governments to the public via the internet accessible.

The ad hoc committee on frontier issues serves as a mechanism to examine the new accessibility needs of the upcoming generations of people with disabilities with regard to emerging technologies issues. Issues brought to the committee may come from staff, the Board or another ad hoc committee. From the committee, issues could go to staff, to a standing committee, to the Board, or be referred to another organization for action.

Although the ad hoc committee is in its early stages, it already identified the accessibility of health information technology, including health records as being important. In September 2012, the Office of the National Coordinator (ONC) for Health Information Technology at the Department of Health and Human Services issued a final rule adopting the Web Content Accessibility Guidelines (WCAG) 2.0 Level A as the standard for meaningful use criteria for patients to view and download their health information. The National Coordinator applauded the Access Board’s assistance in its rulemaking indicating that adoption of WCAG 2.0 would not have happened without the Board’s persistence in bringing the issue of health information technology accessibility to its attention and the time that our staff provided to explain clearly to ONC staff what the accessibility issues were.

The ad hoc committee has heard presentations from Paul Lloyd of the Department of Agriculture’s TARGET Center regarding smartphones and tablets; Dr. Christian Vogler, from Gallaudet University’s Technology Access Program on videophone technology; Corinne Vinopol, of the Institute for Disabilities Research and Training on text-to-gesture software to help American Sign Language (ASL) users improve reading literacy; and from Juan Gilbert of the Research Alliance for Accessible Voting at Clemson University and Daniel Castro with the Accessible Voting Technology Initiative from the Information Technology and Innovation Foundation on voting accessibility research.

We also had a research roundtable to acquaint Board members with the work of several other federal agencies involved in research on disability-related subjects. Representatives of four agencies: National Institute on Disability and Rehabilitation Research, National Science Foundation, Transportation Research Board, and the National Center for Medical and Rehabilitation Research spoke about their agency’s research portfolio, process for planning research, and projects that may be of particular interest to the Board.

Management Assurances

The Access Board’s management is responsible for establishing and maintaining effective internal control and financial management systems that meet the objective of the Federal Manager's Financial Integrity Act. The Board conducted its assessment of the effectiveness and efficiency of internal control and ensures compliance with applicable laws and regulations in accordance with OMB Circular A-123, Management's Responsibility for Internal Control. Based on the results of this evaluation, we can provide reasonable assurance that our internal control over the effectiveness and efficiency of operations and compliance with applicable laws and regulations as of September 30, 2012, was operating effectively and no material weaknesses were found in the design or operation of the internal controls.

The Board conducted its assessment of the effectiveness of internal control over financial reporting, which includes safeguarding of assets and compliance with applicable laws and regulations, in accordance with the requirements of Appendix A of OMB Circular A-123. Based on the results of this evaluation, the Board can provide reasonable assurance that its internal control over financial reporting as of September 30, 2012, was operating effectively and no material weaknesses were found in the design or operation of the internal controls over financial reporting.

Limitations of the Financial Statements

The principal financial statements for the Board have been prepared to report the financial position and results of our operations pursuant to the requirements of 31 U.S.C.3515 (b). While the statements have been prepared from the books and records of the Board in accordance with generally accepted accounting principles for federal entities and the formats prescribed by OMB, the statements are in addition to the financial reports used to monitor and control budgetary resources, which are prepared from the same books and records.

The statements should be read with the realization that they are for a component of the U.S. government, a sovereign entity.

FUTURE EFFECTS OF KNOWN DEMANDS, RISKS, UNCERTAINITIES, EVENTS, CONDITIONS, AND TRENDS

The Access Board operates in a stable environment, and can confidently predict that it will operate and succeed in the future as it has in the past. We anticipate slow growth in our appropriated budget with ample time to anticipate any changes.

The Board constantly monitors its environment, notes changes, and updates its rulemaking plan on a periodic basis. It is cognizant of the fact that technology changes rapidly and is in the process of revising and updating some of its accessibility guidelines and standards to reflect this recognition.

In its rulemaking activities, the Board has always tried to work closely and amicably with its stakeholders. It has paid special attention to those companies in industries where the Board is developing new accessibility requirements where none existed before. For example, we work closely with the passenger vessel industry in developing guidelines for passenger vessels. We strongly believe that we will achieve better access for people with disabilities if we work with an industry, involve them in our rulemaking, and get their “buy-in” to the accessibility guidelines at the earliest possible moment.

UNITED STATES ACCESS BOARD
INDEPENDENT AUDITOR’S REPORT AND FINANCIAL STATEMENTS FOR THE FISCAL YEARS ENDED SEPTEMBER 30, 2012 AND 2011

Prepared By
Brown & Company CPAs, PLLC
November 7, 2012

BROWN & COMPANY CPAs, PLLC
Certified Pulbic Accountants and Management Consultants

INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS

U.S. Access Board
Washington, D.C.

We have audited the accompanying balance sheet of the U.S. Access Board (AB) as of September 30, 2012 and 2011 and the related statements of net cost, changes in net position, and budgetary resources, for the years then ended (collectively referred to as the financial statements). These financial statements are the responsibility of AB’s management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in U.S. Government Auditing Standards, issued by the Comptroller General of the United States; and Office of Management and Budget (OMB) Bulletin No. 07-04, Audit Requirements for Federal Financial Statements, as amended. Those standards and OMB Bulletin No. 07-04, as amended, require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the AB as of September 30, 2012 and 2011 and its net costs, changes in net position, and budgetary resources for the years then ended in conformity with accounting principles generally accepted in the United States of America.

In accordance with U.S. Government Auditing Standards and OMB Bulletin No. 07-04, as amended, we have also issued our report dated November 7, 2012 on our consideration of the AB internal control over financial reporting and its compliance with certain provisions of laws and regulations. Those reports are an integral part of an audit performed in accordance with U.S. Government Auditing Standards and should be read in conjunction with this report in considering the results of our audit.

Accounting principles generally accepted in the United States of America require that the Management Discussion and Analysis (MD&A) be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by OMB Circular A-136, Financial Reporting Requirements, as revised, that considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

This report is intended solely for the information and use of the management of the AB, OMB and Congress, and is not intended to be and should not be used by anyone other than these specified parties.

Largo, Maryland
November 7, 2012

BROWN & COMPANY CPAs, PLLC
Certified Pulbic Accountants and Management Consultants

INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING

U.S. Access Board
Washington, D.C.

We have audited the financial statements of the U.S. Access Board (AB) as of and for the year ended September 30, 2012 and have issued our report thereon dated November 7, 2012. We conducted our audit in accordance with auditing standards generally accepted in the United States of America; and the standards applicable to financial audits contained in U.S. Government Auditing Standards, issued by the Comptroller General of the United States; and Office of Management and Budget (OMB) Bulletin No. 07-04, Audit Requirements for Federal Financial Statements, as amended.

In planning and performing our audit, we considered the AB’s internal control over financial reporting by obtaining an understanding of the AB’s internal control, determined whether internal controls had been placed in operation, assessed control risk, and performed tests of controls in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements. We limited our internal control testing to those controls necessary to achieve the objectives described in OMB Bulletin No. 07-04, as amended. The objective of our audit was not to provide an opinion on internal control and therefore, we do not express an opinion on internal control.

Our consideration of the internal control over financial reporting would not necessarily disclose all matters in the internal control over financial reporting that might be a material weakness or significant deficiency. Under standards issued by the American Institute of Certified Public Accountants and OMB Bulletin No. 07-04, as amended, a material weakness is a deficiency, or combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency in internal control, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Because of inherent limitations in internal controls, misstatements, losses, or noncompliance may nevertheless occur and not be detected. However, we noted no matters involving the internal control and its operation that we considered to be a material weakness as defined above.

This report is intended solely for the information and use of the management of the AB, OMB and Congress, and is not intended to be and should not be used by anyone other than these specified parties.

Largo, Maryland
November 7, 2012

BROWN & COMPANY CPAs, PLLC
Certified Pulbic Accountants and Management Consultants

INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE WITH LAWS AND REGULATIONS

U.S. Access Board
Washington, D.C.

We have audited the financial statements of the U.S. Access Board (AB) as of and for the year ended September 30, 2012 and have issued our report thereon dated November 7, 2012. We conducted our audit in accordance with auditing standards generally accepted in the United States of America, and the standards applicable to financial audits contained in U.S. Government Auditing Standards, issued by the Comptroller General of the United States; and Office of Management and Budget (OMB) Bulletin No. 07-04, Audit Requirements for Federal Financial Statements, as amended.

The management of the AB is responsible for complying with laws and regulations applicable to the AB. As part of obtaining reasonable assurance about whether the AB’s financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws and regulations, noncompliance with which could have a direct and material effect on the determination of financial statement amounts, and certain other laws and regulations specified in OMB Bulletin No. 07-04, as amended. We limited our tests of compliance to these provisions and we did not test compliance with all laws and regulations applicable to the AB.

The results of our tests of compliance with laws and regulations disclosed no material noncompliance with laws and regulations discussed in the preceding paragraph that are required to be reported under U.S. Government Auditing Standards or OMB Bulletin No. 07-04, as amended.

Providing an opinion on compliance with certain provisions of laws and regulations was not an objective of our audit, and, accordingly, we do not express such an opinion. However, we noted no noncompliance with laws and regulations, which could have a direct and material effect on the determination of financial statement amounts.

This report is intended solely for the information and use of the management of the AB, OMB and Congress, and is not intended to be and should not be used by anyone other than these specified parties.

Largo, Maryland
November 7, 2012

FINANCIAL STATEMENTS AND NOTES

UNITED STATES ACCESS BOARD
BALANCE SHEET
AS OF SEPTEMBER 30, 2012 AND 2011
(In Dollars)

The accompanying notes are an integral part of these financial statements.

UNITED STATES ACCESS BOARD
STATEMENT OF NET COST
FOR THE YEARS ENDED SEPTEMBER 30, 2012 AND 2011
(In Dollars)

The accompanying notes are an integral part of these financial statements.

UNITED STATES ACCESS BOARD
STATEMENT OF CHANGES IN NET POSITION
FOR THE YEARS ENDED SEPTEMBER 30, 2012 AND 2011
(In Dollars)

The accompanying notes are an integral part of these financial statements.

UNITED STATES ACCESS BOARD
STATEMENT OF BUDGETARY RESOURCES
FOR THE YEARS ENDED SEPTEMBER 30, 2012 AND 2011
(In Dollars)

The accompanying notes are an integral part of these financial statements.

UNITED STATES ACCESS BOARD NOTES TO THE FINANCIAL STATEMENTS

NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A. Reporting Entity

The Access Board is an independent Federal agency with the mission of developing guidelines and requirements for standards issued under the Americans with Disabilities Act and Architectural Barriers Act. AB was established by section 502 of the Rehabilitation Act and is the only Federal agency whose primary mission is accessibility for people with disabilities. AB is responsible for developing guidelines for ensuring that buildings and facilities, transportation vehicles, and telecommunications equipment covered by these laws are readily accessible to and usable by people with disabilities.

Access Board develops accessibility guidelines for telecommunications and electronic information technology under section 508 of the Rehabilitation Act. Access Board enforces the Architectural Barriers Act and provides training and technical assistance on each of its guidelines and standards, and on a variety of other accessibility issues. The Access Board maintains a small research program that develops technical assistance materials and provides information needed for rulemaking.

Access Board’s reporting entity is comprised of General Funds and General Miscellaneous Receipts. General Funds are accounts used to record financial transactions arising under congressional appropriations or other authorizations to spend general revenues.

General Fund miscellaneous receipts are accounts established for receipts of nonrecurring activity, such as fines, penalties, fees and other miscellaneous receipts for services and benefits.

Access Board has rights and ownership of all assets reported in these financial statements, and does not possess any non-entity assets.

B. Basis of Presentation

The statements are a requirement of the Chief Financial Officers Act of 1990, the Government Management Reform Act of 1994 and the Accountability of Tax Dollars Act of 2002. They have been prepared from, and are fully supported by, the books and records of Access Board in accordance with the hierarchy of accounting principles generally accepted in the United States of America, standards issued by the Federal Accounting Standards Advisory Board (FASAB), Office of Management and Budget (OMB) Circular A-136, Financial Reporting Requirements, as amended, and Access Board accounting policies which are summarized in this note. These statements, with the exception of the Statement of Budgetary Resources, are different from financial management reports, which are also prepared pursuant to OMB directives that are used to monitor and control Access Board�s use of budgetary resources. The financial statements and associated notes are presented on a comparative basis. Unless specified otherwise, all amounts are presented in dollars.

C. Basis of Accounting

Transactions are recorded on both an accrual accounting basis and a budgetary basis. Under the accrual method, revenues are recognized when earned, and expenses are recognized when a liability is incurred, without regard to receipt or payment of cash. Budgetary accounting facilitates compliance with legal requirements on the use of federal funds.

D. Fund Balance with Treasury

Fund Balance with Treasury is the aggregate amount of the Access Board�s funds with Treasury in expenditure, receipt, and deposit fund accounts. Appropriated funds recorded in expenditure accounts are available to pay current liabilities and finance authorized purchases. The Access Board does not maintain bank accounts of its own, has no disbursing authority, and does not maintain cash held outside of Treasury. Treasury disburses funds for the agency on demand.

E. Accounts Receivable

Accounts receivable consists of amounts owed to Access Board by other Federal agencies and the general public. Amounts due from Federal agencies are considered fully collectible. Accounts receivable from the public include reimbursements from employees. An allowance for uncollectible accounts receivable from the public is established when, based upon a review of outstanding accounts and the failure of all collection efforts, management determines that collection is unlikely to occur considering the debtor�s ability to pay.

F. Property, Equipment, and Software

Property, equipment and software represent furniture, fixtures, equipment, and information technology hardware and software which are recorded at original acquisition cost and are depreciated or amortized using the straight-line method over their estimated useful lives. Major alterations and renovations are capitalized, while maintenance and repair costs are expensed as incurred. Access Board�s capitalization threshold is $50,000 for individual purchases and $500,000 for bulk purchases. Property, equipment, and software acquisitions that do not meet the capitalization criteria are expensed upon receipt. Applicable standard governmental guidelines regulate the disposal and convertibility of agency property, equipment, and software. The useful life classifications for capitalized assets are as follows:

G. Advances and Prepaid Charges

Advance payments are generally prohibited by law. There are some exceptions, such as reimbursable agreements, subscriptions and payments to contractors and employees. Payments made in advance of the receipt of goods and services are recorded as advances or prepaid charges at the time of prepayment and recognized as expenses when the related goods and services are received.

H. Liabilities

Liabilities represent the amount of funds likely to be paid by the Access Board as a result of transactions or events that have already occurred.

Access Board reports its liabilities under two categories, Intragovernmental and With the Public. Intragovernmental liabilities represent funds owed to another government agency. Liabilities With the Public represents funds owed to any entity or person that is not a federal agency, including private sector firms and federal employees. Each of these categories may include liabilities that are covered by budgetary resources and liabilities not covered by budgetary resources.

Liabilities covered by budgetary resources are liabilities funded by a current appropriation or other funding source. These consist of accounts payable and accrued payroll and benefits. Accounts payable represent amounts owed to another entity for goods ordered and received and for services rendered except for employees. Accrued payroll and benefits represent payroll costs earned by employees during the fiscal year which are not paid until the next fiscal year.

Liabilities not covered by budgetary resources are liabilities that are not funded by any current appropriation or other funding source. These liabilities consist of accrued annual leave, and actuarial FECA

I. Annual, Sick, and Other Leave

Annual leave is accrued as it is earned, and the accrual is reduced as leave is taken. The balance in the accrued leave account is adjusted to reflect current pay rates. Liabilities associated with other types of vested leave, including compensatory, restored leave, and sick leave in certain circumstances, are accrued at year-end, based on latest pay rates and unused hours of leave. Funding will be obtained from future financing sources to the extent that current or prior year appropriations are not available to fund annual and other types of vested leave earned but not taken. Nonvested leave is expensed when used. Any liability for sick leave that is accrued but not taken by a Civil Service Retirement System (CSRS)-covered employee is transferred to the Office of Personnel Management (OPM) upon the retirement of that individual. Credit is given for sick leave balances in the computation of annuities upon the retirement of Federal Employees Retirement System (FERS)-covered employees effective at 50% beginning FY 2010 and 100% in 2014.

J. Accrued and Actuarial Workers� Compensation

The Federal Employees' Compensation Act (FECA) administered by the U.S. Department of Labor (DOL) addresses all claims brought by the Access Board employees for on-the-job injuries. The DOL bills each agency annually as its claims are paid, but payment of these bills is deferred for two years to allow for funding through the budget process. Similarly, employees that the Access Board terminates without cause may receive unemployment compensation benefits under the unemployment insurance program also administered by the DOL, which bills each agency quarterly for paid claims. Future appropriations will be used for the reimbursement to DOL. The liability consists of (1) the net present value of estimated future payments calculated by the DOL and (2) the unreimbursed cost paid by DOL for compensation to recipients under the FECA.

K. Retirement Plans

Access Board employees participate in either the CSRS or the FERS. The employees who participate in CSRS are beneficiaries of Access Board matching contribution, equal to seven percent of pay, distributed to their annuity account in the Civil Service Retirement and Disability Fund.

Prior to December 31, 1983, all employees were covered under the CSRS program. From January 1, 1984 through December 31, 1986, employees had the option of remaining under CSRS or joining FERS and Social Security. Employees hired as of January 1, 1987 are automatically covered by the FERS program. Both CSRS and FERS employees may participate in the federal Thrift Savings Plan (TSP).

FERS employees receive an automatic agency contribution equal to one percent of pay and Access Board matches any employee contribution up to an additional four percent of pay. For FERS participants, Access Board also contributes the employer�s matching share of Social Security. FERS employees and certain CSRS reinstatement employees are eligible to participate in the Social Security program after retirement. In these instances, Access Board remits the employer�s share of the required contribution.

Access Board recognizes the imputed cost of pension and other retirement benefits during the employees� active years of service. OPM actuaries determine pension cost factors by calculating the value of pension benefits expected to be paid in the future and communicate these factors to Access Board for current period expense reporting. OPM also provides information regarding the full cost of health and life insurance benefits. Access Board recognized the offsetting revenue as imputed financing sources to the extent these expenses will be paid by OPM.

Access Board does not report on its financial statements information pertaining to the retirement plans covering its employees. Reporting amounts such as plan assets, accumulated plan benefits, and related unfunded liabilities, if any, is the responsibility of the OPM, as the administrator.

L. Other Post-Employment Benefits

Access Board employees eligible to participate in the Federal Employees' Health Benefits Plan (FEHBP) and the Federal Employees' Group Life Insurance Program (FEGLIP) may continue to participate in these programs after their retirement. The OPM has provided the Access Board with certain cost factors that estimate the true cost of providing the postretirement benefit to current employees. The Access Board recognizes a current cost for these and Other Retirement Benefits (ORB) at the time the employee's services are rendered. The ORB expense is financed by OPM, and offset by the Access Board through the recognition of an imputed financing source.

M. Use of Estimates

The preparation of the accompanying financial statements in accordance with generally accepted accounting principles requires management to make certain estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses. Actual results could differ from those estimates.

N. Imputed Costs/Financing Sources

Federal Government entities often receive goods and services from other Federal Government entities without reimbursing the providing entity for all the related costs. In addition, Federal Government entities also incur costs that are paid in total or in part by other entities. An imputed financing source is recognized by the receiving entity for costs that are paid by other entities. Access Board recognized imputed costs and financing sources in fiscal years 2012 and 2011 to the extent directed by accounting standards.

O. Reclassification

Certain fiscal year 2011 balances have been reclassified, retitled, or combined with other financial statement line items for consistency with the current year presentation.

NOTE 2. FUND BALANCE WITH TREASURY

Fund balance with Treasury account balances as of September 30, 2012 and 2011 were as follows:

Fund Balances:

No discrepancies exist between the Fund Balance reflected on the Balance Sheet and the balances in the Treasury accounts.

The available unobligated fund balances represent the current-period amount available for obligation or commitment. At the start of the next fiscal year, this amount will become part of the unavailable balance as described in the following paragraph.

The unavailable unobligated fund balances represent the amount of appropriations for which the period of availability for obligation has expired. These balances are available for upward adjustments of obligations incurred only during the period for which the appropriation was available for obligation or for paying claims attributable to the appropriations.

The obligated balance not yet disbursed includes accounts payable, accrued expenses, and undelivered orders that have reduced unexpended appropriations but have not yet decreased the fund balance on hand.

NOTE 3. ACCOUNTS RECEIVABLE, NET

Accounts receivable balances as of September 30, 2012 and 2011 were as follows:

The accounts receivable is primarily employee receivables and other receivables with the public. Historical experience has indicated that the majority of the receivables are collectible. There are no material uncollectible accounts as of September 30, 2012 and 2011.

NOTE 4. PROPERTY, EQUIPMENT, AND SOFTWARE, NET

Property, for the Fiscal Year 2012, consisted of a Leasehold Improvement which was Completed in May 2012.

Schedule of Leasehold Improvement as of September 30, 2012

Schedule of Construction in Progress as of September 30, 2011

NOTE 5. LIABILITIES NOT COVERED BY BUDGETARY RESOURCES

The liabilities on Access Board’s Balance Sheet as of September 30, 2012 and 2011, include liabilities not covered by budgetary resources. Congressional action is needed before budgetary resources can be provided. Although future appropriations to fund these liabilities are likely and anticipated, it is not certain that appropriations will be enacted to fund these liabilities.

The FECA liability represents the unfunded liability for actual workers compensation claims paid on Access Boards’s behalf and payable to DOL. Access Board also records an actuarial liability for future workers compensation claims based on the liability to benefits paid (LBP) ratio provided by DOL and multiplied by the average of benefits paid over three years.

Unfunded leave represents a liability for earned leave and is reduced when leave is taken. The balance in the accrued annual leave account is reviewed quarterly and adjusted as needed to accurately reflect the liability at current pay rates and leave balances. Accrued annual leave is paid from future funding sources and, accordingly, is reflected as a liability not covered by budgetary resources. Sick and other leave is expensed as taken.

NOTE 6. OTHER LIABILITIES

Other liabilities account balances as of September 30, 2012 were as follows:

Other liabilities account balances as of September 30, 2011 were as follows:

NOTE 7. LEASES

Operating Leases

The AB occupies office space under a lease agreement that is accounted for as an operating lease. The lease term begins on July 1, 2008 and expires on June 30, 2018. Lease payments are increased annually based on the adjustments for operating cost and real estate tax escalations. Space occupied increased from 8,514 ft. to 13,825 ft. during FY 2010. The total operating lease expense for Fiscal Years 2012 and 2011 were $647,852 and $748,672, respectively. Below is a schedule of future payments for the term of the lease.

NOTE 8. INTRAGOVERNMENTAL COSTS

Intragovernmental costs and revenue represent exchange transactions between Access Board and other federal government entities, and are in contrast to those with non-federal entities (the public). Such costs and revenue are summarized as follows:

NOTE 9. IMPUTED FINANCING SOURCES

AB recognizes as imputed financing the amount of accrued pension and post-retirement benefit expenses for current employees. The assets and liabilities associated with such benefits are the responsibility of the administering agency, the Office of Personnel Management (OPM). For the fiscal years ending September 30, 2012 and 2011, imputed financing were as follows:

NOTE 10. BUDGETARY RESOURCE COMPARISONS TO THE BUDGET OF THE UNITED STATES GOVERNMENT

The President’s Budget that will include fiscal year 2012 actual budgetary execution information has not yet been published. The President’s Budget is scheduled for publication in February 2013 and can be found at the OMB Web site: http://www.whitehouse.gov/omb/. The 2013 Budget of the United States Government, with the "Actual" column completed for 2011, has been reconciled to the Statement of Budgetary Resources and there were no material differences.

NOTE 11. APPORTIONMENT CATEGORIES OF OBLIGATIONS INCURRED

Obligations incurred and reported in the Statement of Budgetary Resources in 2010 and 2009 consisted of the following:

Category A apportionments distribute budgetary resources by fiscal quarters.

NOTE 12. UNDELIVERED ORDERS AT THE END OF THE FISCAL YEAR

For the fiscal years ended September 30, 2012 and 2011, undelivered orders amounted to $992,744 and $1,142,989 respectively.

NOTE 13. RECONCILIATION OF NET COST OF OPERATION TO BUDGET

Access Board has reconciled its budgetary obligations and non-budgetary resources available to its net cost of operations.