Audit of USAID Resources Managed by African Development Solutions in Kenya Under Multiple Agreements, January 1 to December 31, 2014

NFA Transmittal
Report Number
4-000-17-132-R

Recommendations

Recommendation
1

M/OAA/CAS/CAM determine the allowability of the $3,054,996 in questioned costs ($2,856,719 ineligible and $198,277 unsupported) identified on pages I-21 and II-1 of Gelman, Rosenburg & Freedman's audit report and the difference between the indirect cost rate charges and the approved rate of 14.41 percent for agreements AID-OFDA-G-13-00165, AID-OFDA-G-13-00145, and AID-623-A-12-00026 on pages I-6 to I-7 and recover from the African Development Solutions the amounts determined to be unallowable.

Questioned Cost
3054996
Funds for Better Use
0
Recommendation
2

DCHA/FFP determine the allowability of the $101,902 in unsupported questioned costs identified on page I-21 of Gelman, Rosenburg & Freedman's audit report and the difference between the indirect cost rate charges and the approved rate of 14.41 percent for agreement AID-FFP-G-14-00001 on pages I-6 to I-7 and recover from the African Development Solutions the amounts determined to be unallowable.

Questioned Cost
101902
Funds for Better Use
0
Recommendation
3

M/OAA/CAS/CAM verify that African Development Solutions corrects the three material weaknesses and five significant deficiencies in internal control detailed on pages IV-1 to IV-10 of Gelman, Rosenburg & Freedman's audit report.

Questioned Cost
0
Close Date
Recommendation
4

M/OAA/CAS/CAM verify that African Development Solutions corrects the five instances of material noncompliance detailed on pages IV-1 to IV-3 and IV-5 to IV-7 of Gelman, Rosenburg & Freedman's audit report.

Questioned Cost
0
Close Date
Recommendation
5

DCHA/FFP determine whether outstanding advances to African Development Solutions for agreement AID-FFP-G-14-00001 are excessive, and if so, request a refund for funds in excess of immediate disbursing needs in accordance with ADS 636.3.3.2.

Questioned Cost
0
Funds for Better Use
0
Recommendation
6

M/OAA/CAS/CAM follow up on unexpended funds that African Development Solutions owed to USAID from agreements that ended before December 31, 2013, as shown on pages I-13 to I-18 of Gelman, Rosenburg & Freedman's audit report and determine any actions necessary in accordance with the standard provisions for non-U.S., nongovernmental organizations, paragraph RAA1.h.

Questioned Cost
0
Funds for Better Use
0
Close Date
Recommendation
7

DCHA/FFP follow up on unexpended funds African Development Solutions owed to USAID from agreement AID-FFP-G-11-00068 that ended before December 31, 2013, as shown on page I-12 of Gelman, Rosenburg & Freedman's audit report and determine any actions necessary in accordance with the standard provisions for non-U.S., nongovernmental organizations, paragraph RAA1.h.

Questioned Cost
0
Funds for Better Use
0