Audit of disaster assistance to the Philippines

About $2.3 million was for emergency disaster relief (14 grants) and short-term rehabilitation assistance (10 grants), and $1.8 million was in P.L. 40, Title II food assistance. For the items tested in this audit of the disaster assistance program, USAID/P generally followed A.I.D. policies and procedures, but OFDA approved funding for items not normally provided with disaster assistance funds. Emergency relief and short-term rehabilitation assistance was used to restore disaster victims to self-sufficiency. Such assistance included seeds, agricultural and construction hand tools, housing materials, and food assistance. However, some assistance went beyond restoration of self-sufficiency and actually improved the stricken community from its pre-disaster state. Normally, such assistance is considered long-term rehabilitation and should be provided from bilateral funding sources. However, OFDA approved the funds for health and safety reasons, indicating that all items were legitimate rehabilitation expenses necessary to restore disaster victims to self-sufficiency. Of the $491,461 in short-term rehabilitation assistance tested during the audit, about $170,000 appeared to be long-term rehabilitation assistance which was used to train participants, purchase equipment, and construct buildings, pathways, and flood canals. For example, the following short-term disaster relief activities were completed by USAID/Philippines and seem to parallel assistance normally provided under long-term development projects. (1) Five evacuation centers were constructed at a cost of $58,000. The centers were built in an area that previously contained residential homes. They are permanent multi-purpose structures and are being used by residents for meetings and other activities. (2) A total of 4.3 km of interconnecting pathways were completed at a cost of $69,000. The pathways are elevated and made of concrete. Previously, there were only dirt footpaths. (3) A total of 670 meters of concrete canals were constructed at a cost of $28,000. The canals were constructed to prevent the accumulation of flood water within the community. Previously, water drainage was achieved through natural runoff. (4) Carpentry, marketing, and sewing training were provided for 71 participants at a cost of about $9,500. None of the recipients had previous training in these skill areas. (5) About $9,000 in office equipment was purchased. Items purchased include manual typewriters, calculators, electric fans, wall clocks, and sewing machines. Previously, none of these items were available to beneficiaries. (Author abstract, modified)