September 18, 2001
As of September 30, 1999, the Albuquerque Operations Office (Albuquerque) administered
grants with a total value of $509 million. These grants funded numerous activities such as
research and development, education, and state and local projects. Albuquerque personnel were
responsible for (1) ensuring that the activities were in accordance with the grant terms, and (2)
verifying the proper expenditure of funds. To a large extent, these administrative responsibilities
are accomplished through a review and analysis of various technical and financial reports
provided by the grant recipients. A Federal Assistance Reporting Checklist is included as part of
each grant. This checklist identifies the reporting requirements and frequency of required
reports for each project. For example, "Topical" reports present the technical results of work
performed on a specific phase of a project and "Final Technical" reports present a technical
accounting on the total work performed on a project. There are also several financial reports on
budgets, expense rates, and planned milestones, including a spending plan. The review by the
Department of these reports, referred to as "deliverables," is an important and necessary part of
the grant administration process.
The objective of the audit was to determine whether Albuquerque was receiving the deliverables
required in its grant instruments. Problems in obtaining deliverables relating to grants and
cooperative agreements have been highlighted in prior Office of Inspector General reports.
Currently, we are conducting a series of audits dealing with this subject.5Bu
Office of Inspector General
