U.S. Department of State Fiscal Year 2019 Agency Financial Report

How This Report is Organized T he State Department’s Fiscal Year 2019 Agency Financial Report (AFR) provides financial and performance information for the fiscal year beginning October 1, 2018, and ending on September 30, 2019, with comparative prior year data, where appropriate. The AFR demonstrates the agency’s commitment to its mission and accountability to Congress and the American people. This report presents the Department’s operations, accomplishments, and challenges. The AFR begins with a message from the Secretary of State, Michael R. Pompeo. This introduction is followed by three main sections and appendices. In addition, a series of “In Focus” sidebars are interspersed to present useful information on the Department. S ection I: M anagement ’ s D iscussion and A nalysis Section I provides an overview of the Department’s performance and financial information. It introduces the vision and mission of the Department, includes a brief history, and describes the agency’s organizational structure. This section briefly highlights the Department’s goal areas, its focus on developing priorities, and provides an overview of major program areas. The section also highlights the agency’s financial results, and provides management’s assurances on the Department’s internal controls. S ection II: F inancial S ection Section II begins with a message from the Comptroller. This section details the Department’s financial status and includes the audit transmittal letter from the Inspector General, the independent auditor’s reports, and the audited financial statements and notes. The Required Supplementary Information included in this section provides a combining statement of budgetary resources, the condition of heritage asset collections, and a report on the Department’s year-end deferred maintenance and repairs. S ection III: O ther I nformation Section III begins with the Inspector General’s statement on the agency’s management and performance challenges followed by management’s responses. The section also includes a summary of the results of the Department’s financial statement audit and management assurances and describes the Department’s financial legal requirements, as well as payment integrity efforts, resource management systems, a summary of the Department’s heritage assets, and the status of OMB’s Reduce the Footprint policy. A ppendices The appendices include data that supports the main sections of the AFR. This includes a glossary of abbreviations and acronyms used in the report and a map of the Department of State’s locations across the globe. Secretary Pompeo poses for a photo with former Secretary Kissinger and Senior Staff at the 230th Anniversary Celebration in Washington, D.C., July 29, 2019. Department of State 2019 A gency F inancial R eport U nited S tates D epartment of S tate | 3 HOW THIS REPORT IS ORGANIZED | INTRODUCTION