Audit of the construction and supervision of the Upala to San Jose (Pizote) road project with the National Emergency Commission in Costa Rica : Public Law 480, Title I funds

480 Title I funds. Audit, conducted by Price Waterhouse of Costa Rica, covers the period 4/85-9/85 and is based on the review and reconciliation of financial records. Except in one minor area, NEC"s management of Title I funds has met A.I.D."s requirements. First, NEC"s statement of income and expenditures for the subject period presents fairly the project"s position. Second, the NEC complied with the terms of applicable agreements for all items tested by this audit. Third, NEC"s internal controls were adequate, with one exception: the Internal Audit Department (IAD) does not document periodic reviews of the project and lacks periodic reports on the financial position and management of P.L. 480 Title I funds. These deficiencies, while important, do not constitute a major risk that substantial errors or irregularities would occur or not be detected within a timely period. It is recommended that: (1) IAD develop a program to evaluate the administration and management of P.L. 480 Title I funds and report the results to the Board of Directors; and (2) the NEC prepare and submit to A.I.D. and the Ministry for National Planning and Economic Policy (MIDEPLAN), the agency charged with overseeing project operations, reports on the financial position and management of P.L. 480 Title I funds.