Summary: GAO reported on its audit of the Congressional Award Foundation's fiscal year 1995 financial statements, focusing on policy and procedure improvements that the Foundation could make relating to separation of duties, documentation of transactions and balances, and reconciliations. GAO noted that, to improve internal controls, the Foundation could amend its policies and procedures to: (1) require periodic reconciliation of detailed property subsidiary and inventory records to related depreciation records and the general ledger; (2) require that receivable subsidiary records reflect all pertinent information necessary to assess their collectibility and highlight those receivables that are overdue; (3) require that two employees be present when mail is opened and cash receipts are documented; (4) require prompt investigation, resolution, and review of all outstanding items identified during bank reconciliations; (5) require written documentation and management approval of all adjustments recorded in the financial statements; and (6) clearly communicate management policy regarding the nature and extent of the documentation to support transactions and to require clear documentation of supervisory approval of all transactions prior to recording them in the accounting records.