Audit of the applied agricultural research and outreach project in Zaire : project no. 660-0091

Audit covers the period 1983-11/87 and was based on document review, site visits, and interviews with Mission and project officials. The project has made progress in establishing a sound research organization, a cadre of Zairian scientists is being developed, and hundreds of experiments are being conducted at field stations. At least four new cassava varieties have been released, reportedly raising yields by 35%, while maize research is expected to produce seeds resistant to leaf streak virus. In response to a 9/86 evaluation, USAID/Z redesigned the project early in 1987, improving its management and budget control, operational efficiency, and prospects for sustainability. However, the Mission failed, as part of this redesign effort, to adequately assess the project"s need for additional equipment. Specifically, in 6/87, USAID/Z authorized the purchase of 42 vehicles (costing about $2 million) without having adequately analyzed the project"s needs. (1) The Mission planned to spend about $1 million on 24 passenger vehicles when, for example, the cassava program (one of the planned recipients), already had ten such vehicles in good condition and an earlier report had concluded that this was sufficient. Nevertheless, two of the ten passenger vehicles ordered in August 1987 were for cassava research. (2) A planned expenditure of about $400,000 to buy 6 trucks is questionable. The 1983 project paper planned none, 1987 plans were for six 12-ton trucks, the TA team leader felt that five 5- to 7-ton trucks were sufficient, and project researchers said that they needed 14. (3) Questions were also raised about spending $675,000 to buy 12 tractors. When a planned donation of nine tractors by the Government of Zaire did not materialize, the Mission authorized the purchase of 12 without specific explanation of the greater number. The single recommendation is that the Mission clearly justify these vehicle purchases based on an analysis of project needs. The size, diversity, and locations of the three separate research programs in this project made such detailed analysis essential. The Mission has agreed with the recommendation, and put all purchases on hold except for the ten passenger vehicles already ordered. Based on the draft audit report, the Mission performed a preliminary assessment which concluded that the purchase of: (a) 11 passenger vehoicles costing about $450,000 could be postponed; (b) one fewer truck was needed, saving about $60,000; and, (c) two fewer tractors were needed, saving about $110,000. A final assessment is planned to be finished 3/15/88, and with its receipt RIG/A/Dakar will close the recommendation.