The results of our audit disclosed deficiencies in internal control and/or instances of noncompliance or other matters that are considered reportable under Government Auditing Standards. These items included: (1) The North Carolina Board of Funeral Service (Board) did not comply with its policies regarding inspections for funeral home establishments and crematories. (2)The Board did not properly segregate duties in the accounting and reporting of collections and license records. Details about each item are provided in the Audit Findings and Responses section of the report.