Audit report on PL-480 Title II program in Indonesia

480 Title II assistance to Indonesia through Church World Service (CWS) and Catholic Relief Services (CRS). Audit report covers the period 10/77-2/83 and is based on document review, site visits, and interviews with USAID/I, CRS, and CWS officials. Despite problems, most objectives are being achieved. Since the start of FY 80, both CRS and CWS have expanded their Food for Work programs to support the Government of Indonesia"s (GOI) transmigration program. In FY 82, some 12,840 MT of commodities were distributed to 99,800 recipients in programs resulting in almost 1,000 km of road, 80 km of dikes, and 300 km of canals being built or rehabilitated. However, a CRS counterpart in Cilacap reported some 250 program recipients for a rehabilitation project (vs 133 actual recipients). In disaster relief, almost 2l,000 MT of commodities were distributed to some 332,000 persons in drought-prone areas. However, in Nusa Tenggara Timur Province 3,000 MT of commodities were seized by the Governor and distributed without CRS or A.I.D. control and without the submission of commodity or recipient status reports until almost 2 years later. Progress in the Maternal Child Health (MCH) program could not be measured due to the failure of CRS and CWS to adequately maintain weight and growth measurements. Targeting of MCH recipients also needs to be improved; the present system - CWS targets malnourished children, but CRS targets all children under age 5 and all pregnant and lactating mothers - has resulted in open-ended feeding programs without quantifiable goals. In 1982, up to 60% of the children fed by CRS were adequately nourished. Nor are phase-out dates for MCH centers targeted. Over 70% of MCH centers have been in operation 3 years or more, one as long as 10 years. In addition, CRS and CWS have been operating their programs without adequately executed agreements with responsible GOI agencies. Distribution and storage problems have also occurred. Some warehouses failed to keep adequate stock balances, while some delivery orders were not returned to the warehouses, and many were altered. Finally, USAID/I has left inland loss claims totaling $22,000 unsettled. Recommendations to redress project difficulties are set forth.