Over the past decade, we have made 2,700 recommendations in 365 audit reports aimed at strengthening USAID’s award management to better ensure they achieve intended outcomes. Addressing these recommendations has been a major challenge for USAID—one that we have included in our Top Management Challenges reports for the past 3 fiscal years.
This audit assessed USAID’s implementation and management of awards, including identifying any impediments USAID faces in managing awards for optimal performance and determining how USAID could improve its award management. We found that almost half of awards did not achieve expected results, but implementers were generally paid full award amounts. We also found that execution of USAID’s award management process lacks the rigor needed to ensure that results are achieved.
USAID programs and projects are at risk of not achieving intended results until the Agency establishes monitoring plans and appropriate performance measures for awards, implements controls to ensure its employees and implementers adhere to the award management process and related requirements, addresses challenges with roles and responsibilities for award making and oversight, and significantly improves its recordkeeping practices.