Financial Report 



321 



• A study to document accounting and systems 

 architecture as the basis for implementing a new 

 financial system and a draft of the functional 

 requirements for a new general ledger. 



• A project in the Office of the Comptroller to 

 implement software that would facilitate accurate 

 preparation and electronic processing of travel 

 authorization and voucher forms. The software 

 will be tested with selected units early in fiscal 

 year 2000 and then rolled out to all units. 



• Improved collection of amounts due under 

 grants and contracts by the Office of Sponsored 

 Projects as a result of automation and systems 

 enhancement. 



• Electronic Funds Transfer (EFT) for employee 

 travel reimbursements. 



Additional financial management improvement 

 initiatives planned to start in fiscal year 2000 

 include the following: 



• Updating and streamlining financial policies and 

 procedures. The project includes putting policies 

 online in a searchable format. 



• Implementation of a credit card system for small 

 purchases. 



• Development of a comptroller's manual to docu- 

 ment accounting procedures. 



Audit Activities 



The Institution's financial statements are audited 

 annually by KPMG LLP, an independent public 

 accounting firm. The audit plan includes an in- 

 depth review of the Institution's internal control 

 structure. The KPMG LLP Independent Auditors' 



Smithsonian Institution 

 At a Glance 



16 museums and galleries 



400 buildings In 5 states, Washington, D.C., and 



Panama 



19,000 acres 



6.6 million square feet of owned space 



31.4 million visits in 1999 (including an estimated 



3 million at the National Zoo) 



1 41 million objects, works of art, and specimens 



40 million hits per month at the Smithsonian Web 



site (www.sl.edu) 



2.1 million members of the Smithsonian Associates 



Report for fiscal year 1999 and the accompanying 

 financial statements are presented on the following 

 pages. The Smithsonian's internal audit staff, part of 

 the Office of Inspector General, assists the external 

 auditors and regularly audits the Institution's vari- 

 ous programs, activities, and internal control sys- 

 tems. The Audit and Review Committee of the Board 

 of Regents provides an additional level of financial 

 oversight and review. 



In accordance with the government requirement 

 for the use of coordinated audit teams, the Defense 

 Contract Audit Agency, the Smithsonian Office of 

 Inspector General, and KPMG LLP coordinate the 

 audit of grants and contracts received from federal 

 agencies. 



