Results of the Audit of the United States Nuclear Regulatory Commission's Financial Statements for Fiscal Year 2021

NRC management should perform reviews of all software, including fully amortized
IUS, throughout the year to verify the accuracy of the information reported and ensure
disposals of property are recorded in a timely manner.

a. NRC management should enhance its review procedures to include which documentation should be used in the imputed financing calculations.
b. NRC management should perform the review of the imputed costs calculation and related disclosures in sufficient detail to detect any errors.

a. NRC management should enforce the execution of its existing control activities to document explanations for identified variances.
b. NRC management should implement processes and controls which verify that leasehold improvements are depreciated using the appropriate useful life and in operation date, in accordance with the management’s policy.

NRC management should enhance its fluctuation analysis control by requiring the
explanations documented are supported by underlying business events, therefore
connecting changes in the agency’s accounting records to its business environment
and operations.

a. NRC management should improve its processes for reviewing and adjusting aged/stale obligations.
b. NRC management should improve its processes to only record an obligation in the accounting system when a legal obligation exists and appropriately retain supporting documentation.