PRIVATE VOLUNTARY ORGANIZATIONS (PROJECT NO. 498-0251)

EVALUATION COVERS THE PERIOD 10/1/75-6/30/79 AND IS BASED ON AN AUDIT OF NINE OF 18 PARTICIPATING PVO"S. AS OVERALL COMPLIANCE IN HALF OF THESE SEEMED SATISFACTORY, THE PROBLEMS OF THE REMAINING FOUR ARE DESCRIBED. PVO RECORDS FAILED TO DOCUMENT NON-AID IN-KIND CONTRIBUTIONS; HENCE THE AUDITORS WERE UNABLE TO DETERMINE THAT 25% OF NON-AID SOURCES-SHARING RATIO IS BEING MET. REASONS FOR THIS OVERSIGHT ARE THAT GRANT AGREEMENTS DID NOT CONTAIN THE AID HANDBOOK 13 REQUIREMENT PERTAINING TO SOURCE-SHARING RATIOS, AND USAID DID NOT ASCERTAIN THE EXISTENCE OF RECORDS ACCOUNTING FOR IN-KIND OR CASH CONTRIBUTIONS. TO REMEDY THIS SITUATION, THE OFFICE OF PVO"S SHOULD IMPLEMENT PROCEDURES TO ENSURE THAT OPERATIONAL PROGRAM GRANT (OPG) AGREEMENTS CONTAIN REQUIREMENTS TO DOCUMENT NON-AID CONTRIBUTIONS PROPERLY, AND USAID SHOULD ENFORCE THIS REQUIREMENT. IN WRITING SUBGRANTS, THE YMCA AND ASIA FOUNDATION DID NOT INCLUDE THE STANDARD PROVISION AUDIT RIGHTS (SPAR) CLAUSE, AS REQUIRED. THIS RESULTED IN DIFFICULTY WITH ACCESSING SUBGRANTEE RECORDS. USAID SHOULD ENSURE THAT THE SPAR CLAUSE CONTAINED IN OPG"S IS ALSO INCLUDED IN EACH SUBGRANT AGREEMENT. AFTER TWO OF THREE YEARS OF A PROJECT UNDERTAKEN BY THE BOY SCOUTS OF THAILAND (BST) TO INCREASE FISH PRODUCTION, LESS THAN 27% OF PROJECT FUNDS HAVE BEEN SPENT AND PROJECT SUCCESS IS SERIOUSLY THREATENED. AN EVALUATION TEAM CONCLUDED THAT THIS PROJECT SHOULD BE TERMINATED IF BST FAILS TO IMPLEMENT A REVISED PROGRAM. USAID SHOULD MONITOR BST EFFORTS TO DETERMINE THE FUTURE OF THE PROJECT AND DISPOSE OF REMAINING GRANT FUNDS IN NECESSARY. A PROJECT CONDUCTED BY THE THAI HOME ECONOMIC ASSOCIATION (THEA) WAS TERMINATED PREMATURELY. AN EVALUATION SHOULD BE CONDUCTED TO EXAMINE BENEFITS AND LESSONS LEARNED. CATHOLIC RELIEF SERVICES (CRS) BILLED USAID FOR $43,515 IN "ADMINISTRATIVE COSTS" WHOSE COMPONENTS WERE NOT DEFINED. CRS AND USAID MUST IDENTIFY THOSE COSTS ELIGIBLE FOR REIMBURSEMENT; AUDITORS RECOMMENDED THAT USAID CONSULT WITH CRS/NY ON THE MATTER.