An independent audit of the consolidated financial statements of the Department of the Interior (DOI) and its bureaus, including the Minerals Management Service (MMS), has earned the Department and MMS a “clean” opinion for Fiscal Years 2005 and 2006. The international public accounting firm KPMG conducted the independent audit under a contract with the DOI’s Office of Inspector General. 

“This shows that MMS is doing its job and doing it well,” MMS Director Johnnie Burton said. “Any large, complex accounting system can be improved, and we’re no different. This independent audit of our financial processes shows clearly that we’re on track.”

The independent audit results examined the comparative financial statements of Fiscal Years 2005 and 2006. The audit results, and Performance and Accountability Report are available online at www.mms.gov/adm/budget.html.

• Major departments of the Federal Government are required to conduct annual independent audits of their financial statements, in accordance with the Chief Financial Officers Act of 1990 and the Government Management Reform Act of 1994.
• The clean, or “unqualified” opinion, is the highest opinion that can be rendered.
• The KPMG audit report affirms, “MMS’s consolidated financial statements...are presented fairly, in all material respects, in conformity with U.S. generally accepted accounting principles.”

• MMS has consistently received a clean opinion on its financial statements for the past five years.
• MMS is the largest custodian of public funds within the DOI, accounts and reports for the Nation’s mineral royalty and related revenue.
   
  • MMS’s has delivered oil to the department of energy for the strategic Petroleum Reserve valued at an estimated $4.4 billion and total collections of $164.9 billion since its inception.

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