Federal Housing Finance Agency: Improvements Needed in Certain Internal Controls over Financial Reporting

Each year, we audit the Federal Housing Finance Agency’s financial statements.

During our 2024 audit, we found that FHFA doesn’t have sufficient guidance to determine and review its accounts payable accruals—expenses incurred but not yet paid. Also, FHFA lacks guidance for communicating between its accounting office and business units. This guidance is necessary to ensure that the accounting office has the information it needs to meet financial accounting and reporting requirements.

Our 4 recommendations address these issues. We also determined that FHFA is still addressing recommendations from our April 2023 and May 2024 reports to management.