PBGC’s Property Management Program

We determined that PBGC could reduce the risk of property loss or theft by strengthening its internal controls. PBGC does not ensure that bar-coded inventory labels are consistently affixed to newly received property within a reasonable time and does not ensure that accountable property is entered into the property management system in a timely manner after property is received. PBGC does not require any follow-up to be performed to locate accountable property “not found” during the annual inventory process, and such property is simply written off after two or three years. Such property includes assets such as flash drives that could contain personally identifiable information (PII), and loss or theft of such property in particular could result in serious reputational harm to the Corporation. We made two recommendations related to receiving of new inventory and follow-up on items not located during the annual inventory. PBGC agreed with the recommendations and plans to compete action by November 2020.