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Federal Crop Insurance Corporation/Risk Management Agency's Financial Statements for Fiscal Years 2020 and 2019

OIG audited the financial statements of FCIC/RMA for fiscal years 2020 and 2019.

Audit Report: 05401-0012-11
Published: 12/08/2020
View Report PDF
Fast Facts

The Department of Agriculture’s Office of Inspector General (OIG) audited the financial statements of the Federal Crop Insurance Corporation/Risk Management Agency (FCIC/RMA) for fiscal years 2020 and 2019. We also considered FCIC/RMA’s internal control over financial reporting and tested FCIC/RMA’s compliance with certain provisions of applicable laws, regulations, contracts, and grant agreements that could have a direct effect on the determination of material financial statement amounts and disclosures.

OBJECTIVE
Our objectives were to determine whether: (1) the financial statements present information fairly, in all material respects, and in accordance with generally accepted accounting principles; (2) internal control objectives over financial reporting were met; (3) FCIC/RMA complied with applicable laws and regulations; and (4) information was materially consistent with other sources.

WHAT OIG FOUND
The Federal Crop Insurance Corporation/Risk Management Agency (FCIC/RMA) received an
unmodified opinion from the Office of the Inspector General’s (OIG) audits of FCIC/RMA’s financial statements. We determined that the agency’s financial statements present fairly FCIC/RMA’s financial position as of September 30, 2020 and 2019 in all material respects, and were prepared in accordance with accounting principles generally accepted in the United
States of America. This includes the agency’s net costs, changes in net position, and statements of budgetary resources and related notes to the financial statements.

Our consideration of FCIC/RMA’s internal control over financial reporting identified one material weakness in FCIC/RMA’s controls over estimating losses on insurance claims. Our consideration of compliance with laws and regulations noted no instances of noncompliance.