ADS 595 Audit Management Program

Nishor - M/Cfo/Apc , Oig/A/Hlc

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17 pages

English

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A propos
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Extrait

Description

Sujets

management

Informations

Publié par	Nishor
Nombre de lectures	17
Langue	English

Extrait

01/22/2004 Revision
Editorial: YES
Substantive: YES
Functional Series 500 – Management Services
ADS 595 – Audit Management Program

Table of Contents

595.1 OVERVIEW ...........................................................................................2

*595.2 PRIMARY RESPONSIBILITIES ............................................................2

595.3 POLICY DIRECTIVES AND REQUIRED PROCEDURES ....................5

595.3.1 The Audit Recommendation Follow-Up Process ..............................5
595.3.1.1 Management Decision.........................................................................6
595.3.1.2 Decisions by Recommendation Type..........................7
595.3.1.3 Recording Receivables .......................................................................7
595.3.1.4 Revised Management Decision ..........................................................8
595.3.1.5 Recommendation Elevation................................................................8
*595.3.1.6 Final Action ..........................................................................................9

595.3.2 Records and Documentation ............................................................11

*595.3.3 Reporting Requirements...................................................................11
595.3.3.1 The Inspector General's Semiannual Report to Congress.............11
595.3.3.2 USAID's Audit Follow-Up Report......................................................13

595.3.4 Audit Management in Closeout Countries.......................................14

595.3.5 Evaluation of Staff Performance in Conducting Audit
Follow-up Responsibilities ...............................................................14

595.4 MANDATORY REFERENCES ............................................................15

*595.4.1 External Mandatory References .......................................................15

*595.4.2 Internals ........................................................15

*595.5 ADDITIONAL HELP ............................................................................15

595.6 DEFINITIONS ......................................................................................15

*An asterisk indicates that the adjacent material is new or substantively revised. 1 01/22/2004 Revision
ADS 595 – Audit Management Program

595.1 OVERVIEW
Effective Date: 11/07/2001

The purpose of this chapter is to provide the policy directives and required procedures
for managing audit report recommendations issued by the Office of Inspector General
(OIG).

595.2 PRIMARY RESPONSIBILITIES
Effective Date: 01/01/2004

a. The Administrator is responsible for

• Designating a senior management official to oversee the USAID audit follow-up
program; and

• Ensuring that management officials throughout USAID understand the value of
the audit process and are responsive to audit recommendations.

b. The Deputy Administrator is responsible for

• Making the final management decision on appropriate corrective actions to be
taken in response to performance audit report recommendations when a
management decision cannot be made at a lower level.

c. The Procurement/Assistance Executive is responsible for

• Serving as the Agency’s final level of appeal for protests related to assistance
and procurement instruments, including audit questioned costs; and

• Making the final management decision on all recommendations from financial
audits of contractors/grantees, when a decision has not been made by the
cognizant Contract/Grant Officer.

d. The Assistant Administrator for Management (AA/M) is responsible for

• Serving as USAID’s Audit Follow-Up Official in accordance with OMB Circular A-
50. (See mandatory reference, OMB Circular A-50)

e. The Bureau for Management, Office of Management Planning and Innovation
(M/MPI) is responsible for

• Implementing USAID’s audit management program;

*An asterisk indicates that the adjacent material is new or substantively revised. 2 01/22/2004 Revision
• Determining when audit recommendation final action has been taken and
ensuring that those actions are reflected in USAID’s Consolidated Audit Tracking
System (CATS);

• Co-developing and maintaining USAID’s audit management policies and
procedures; and

• Participating in the management and maintenance of CATS.

f. The Assistant Administrators, Independent Office Directors, and Mission
Directors are responsible for

• Ensuring proper follow-up of audit recommendations in their areas of
responsibility; and

• Designating an appropriate official to act as the Audit Management Officer in
their Bureau, Office, or Mission.

g. The Audit Management Officer (AMO) is responsible for

• Establishing an audit recommendation follow-up system for the Bureau,
Independent Office, or Mission;

• Serving as liaison with USAID’s Audit Follow-Up Official and with M/MPI;

• Advising and reporting to Mission, Bureau, or Independent Office management
on the status of the audit recommendation follow-up system; and

• Ensuring that audit recommendations receive management decisions and final
action in a timely manner.

The Mission Controller normally functions as the Mission AMO.

h. The Chief, Bureau for Management, Office of Financial Management, Accounting
Division (M/FM/A) and Mission Controllers are responsible for

• *Ensuring that the policies and procedures in ADS 625, Administrative Accounts
Receivable, are followed for amounts determined to be due to USAID as a result
of audit recommendations.

i. The Audit Action Officer (AAO) is responsible for

• Developing responses to draft and final audit reports related to his or her area of
responsibility;

*An asterisk indicates that the adjacent material is new or substantively revised. 3 01/22/2004 Revision
• Ensuring that corrective action is completed for all deficiencies identified in audit
reports; and

• Requesting management decision and final action on audit recommendations.

AAOs are appointed based on technical knowledge or responsibility for the function
being audited.

j. The Contract or Grant Officer is responsible for (see also k and l below)

• Functioning as the AAO for financial audits of non-U.S.-based organizations;

• Making determinations on questioned cost and procedural findings from financial
audits within his or her scope of authority;

• *Determining the amount of debt to be recovered under an acquisition or
assistance instrument. Such a debt determination may be in the form of a
negotiated settlement or a unilateral debt determination (see ADS 625.2d); and

• *Immediately forwarding a copy of the confirmation of the negotiated settlement
or the final settlement letter, and accompanying demand letter, to the appropriate
USAID billing office for numbering and recording the debt as a receivable. (See
ADS 625.2d)

k. The Bureau for Management, Office of Procurement, Procurement Support
Division, Contract Audit Management Branch (M/OP/PS/CAM) is responsible for

• Making management decisions and requesting final action for recommendations
from financial audits of U.S.-based organizations assigned to M/OP
Contract/Grant Officers in Washington.

l. The Bureau for Management, Office of Procurement, Procurement Support
Division, Overhead, Special Cost and Contract Close Out Branch
(M/OP/PS/OCC) is responsible for

• Making management decisions and requesting final action for recommendations
from financial audits of U.S.-based organizations involving questioned indirect
costs.

m. The Strategic Objective (SO) Teams are responsible for

• Advising management regarding audit status and issues within their area of
responsibility; and

• Functioning as the AAO for audits related to their SO.

*An asterisk indicates that the adjacent material is new or substantively revised. 4 01/22/2004 Revision
n. The Management Control Review Committee (MCRC) is responsible for

• Providing oversight for the audit recommendation follow-up process; and

• Serving as a policy and decision-making body in situations involving audit issues.

o. The Office of General Counsel (GC) or Regional Legal Advisor (RLA) is
responsible for

• Making determinations regarding a legal basis for nonrecovery of disallowed
costs; and

• Providing assistance when a legal opinion is required to determine appropriate
action in response to audit recommendations.

p. The Office of Inspector General (OIG) is responsible for

• Formally indicating agreement or disagreement with all management decisions
for performance and financial audits of USAID’s programs, activities, systems,
functions