REVIEW OF THE ENTENTE FUND"S FOOD PRODUCTION PROJECT

THE EVALUATION COVERS THE PERIOD FROM 1/1/76 TO 2/29/80 AND IS BASED ON A STANDARD AUDIT OF RECORDS OF REDSO/WA AND THE ENTENTE FUND, WHICH IS ADMINISTERING THE PROJECT; DISCUSSIONS WITH RESPONSIBLE FUND, HOST COUNTRY, AND AID OFFICIALS; AND VISITS TO SELECTED SUB-PROJECT SITES. THE AUDITORS FOUND A NUMBER OF SERIOUS PROBLEMS BOTH IN OVERALL AND SUB-PROJECT PLANNING AND MANAGEMENT, WHICH ARE SUMMARIZED AS FOLLOWS. THE POTENTIAL BENEFICIAL IMPACT RESULTING FROM THIS PROJECT WILL BE OBSCURED BECAUSE OF LACK OF BASELINE DATA NEEDED TO MEASURE RESULTS QUANTITATIVELY. THE SUB-PROJECTS HAVE BEEN SERIOUSLY DELAYED BECAUSE AID-FINANCED TECHNICAL ASSISTANCE WAS NOT PROVIDED ON A TIMELY BASIS AND BECAUSE OF HOST GOVERNMENT LACK OF CAPITAL FUNDS OR SOUND FINANCIAL MANAGEMENT PROCEDURES. FINALLY, REDSO/WA MONITORING OF THE PROJECT HAS BEEN CHARACTERIZED BY DELAYS IN REVIEWING AND APPROVING PROJECT DOCUMENTATION AND INFREQUENT VISITS TO SUB-PROJECT SITES. THE DRAFT AUDIT REPORT CONTAINED 20 RECOMMENDATIONS ADDRESSING VARIOUS MANAGEMENT PROBLEMS AND SUB-PROJECT DEFICIENCIES. REDSO/WA OFFICIALS HAVE TAKEN A NUMBER OF POSITIVE ACTIONS IN RESPONSE TO THE DRAFT REPORT WHICH SHOULD IMPROVE OVERALL PROJECT MANAGEMENT. EIGHT RECOMMENDATIONS REMAIN UNADDRESSED, HOWEVER, AND THESE SUGGESTED IMPROVEMENTS INCLUDE: HAVING SUB-PROJECT MANAGERS SUBMIT QUARTERLY EXPENDITURE PROJECTIONS TO SUPPORT ENTENTE FUND REQUESTS FOR FUTURE CASH NEEDS; ENSURING THAT THE FUND DEVELOP A PROCUREMENT PLAN; IMPROVING SUB-PROJECT ACCOUNTING, INSURANCE PROGRAM, AND ANIMAL PURCHASING CONTROLS; AND INCREASING THE NUMBER OF REDSO/WA AND ENTENTE FUND VISITS TO THE SUB-PROJECT SITES TO MONITOR PROJECT IMPLEMENTATION ADEQUATELY.