AUDIT OF SOUTHERN UNIVERSITY

THE FINAL PROJECT EVALUATION AND INTERIM GRANT EVALUATION COVERED THE PERIODS 2/75-6/76 AND 2/75-3/78, RESPECTIVELY, AND CONSISTED OF AN AUDIT OF RELEVANT RECORDS AT SU AND AID/W/ THE AUDITORS ACCEPTED 97% OF THE COSTS INCURRED UNDER THE CONTRACT AND QUESTIONED THE BALANCE, WITH THE RESULT THAT AID PAYMENTS EXCEEDED ACCEPTED COSTS BY $4,878. THE AUDIT ALSO DETERMINED THAT $8,917 WORTH OF NON-EXPENDABLE OFFICE FURNITURE, EQUIPMENT, AND OTHER MATERIALS ACQUIRED UNDER THE CONTRACT AND THEREFORE BELONGING TO THE GOC ARE BEING RETAINED BY SU. BASED ON THESE FINDINGS, IT WAS RECOMMENDED THAT THE OFFICE OF CONTRACT MANAGEMENT REVIEW THE QUESTIONED COSTS, ARRANGE FINAL COST SETTLEMENT WITH THE CONTRACTOR, AND ARRANGE FINAL DISPOSITION OF THE NON-EXPENDABLE PROPERTY. REGARDING THE 211 (D) GRANT, WHICH WAS EXTENDED BY SUBSEQUENT UNFUNDED AMENDMENTS UNTIL 3/18/78, AND THEN ONCE MORE TO 9/18/79 WITH $167,000 IN ADDITIONAL FUNDING, THE AUDIT DETERMINED THAT $2,404 OF COSTS CLAIMED AND REIMBURSED TO SU TO DATE WERE INELIGIBLE TRAVEL ADVANCES. IT IS THEREFORE RECOMMENDED THAT THE OFFICE OF CONTRACT MANAGEMENT REVIEW THIS QUESTIONED COST AND TAKE ACTION WITH SU TO CLEAR THE OUTSTANDING TRAVEL ADVANCES AND SETTLE ANY DIFFERENCES THAT MAY BE DUE AID.