KPMG, under contract with DHS OIG, audited Customs and Border Protection’s (CBP) fiscal year (FY) 2016 consolidated financial statements.  The resulting management letter discusses 12 observations related to internal control for management’s consideration.  The auditors identified internal control deficiencies in a number of processes, including deobligation of undelivered orders, review of Federal Employee Compensation Act claims, and the seized and forfeited property inventory.  These deficiencies are not considered significant and were not required to be reported in our Independent Auditors' Report on U.S. Customs and Border Protection’s FY 2016 Consolidated Financial Statements, dated January 18, 2017, included in CBP’s FY 2016 Performance and Accountability Report.