S.Amdt. 3472

The amendment, titled the Improving Federal Financial Management Act, aims to update and strengthen how federal agencies manage their money and report their financial activities. It changes specific sections of title 31 and title 5 of the United States Code to increase accountability and coordination.

Key Changes and Additions:

• Chief Financial Officers (CFOs): It expands the duties of agency CFOs to include leadership in risk management, internal controls, and financial systems. CFOs must now create an agency plan to implement the governmentwide financial plan, use performance-based metrics, and coordinate with other senior officials like the Chief Data Officer and Chief Information Officer.

• Governmentwide Financial Management Plan: It changes the governmentwide financial management plan from a 5-year plan to a 4-year plan. This plan must now include strategies for reporting cost and performance information, strengthening the financial workforce, and eliminating unnecessary systems.

• Reporting and Transparency: It requires the Director of the Office of Management and Budget to submit a financial management status report to Congress and the Comptroller General every year. It also requires agency plans and certain reports to be made publicly available.

• Internal Controls and Audits: Agency heads must now identify key financial information needed for decision-making and annually conclude if their internal controls are effective. Auditors are required to evaluate the design and implementation of these internal controls during audits.

• Deputy CFO Role: It establishes that the Deputy Chief Financial Officer will serve as the acting CFO if the position becomes vacant.