Recommendations

Audit of Department of State Grants and Cooperative Agreements Awarded to Kennesaw State University

AUD-SI-17-43 May 2017

Recommendation Number

1

Closed Implemented $794,451

OIG recommends that the Bureau of South and Central Asian Affairs (a) determine whether the $229,405 in unallowable costs and $565,046 in unsupported costs related to awards SAF20013CA024, SPK33013CA051, and SIN65014GR053 (see tables B.1, B.5 and B.6 in Appendix B) are allowable and supported, and (b) recover any costs determined to be unallowable or unsupported.
Recommendation Number

2

Closed Implemented $838,732

OIG recommends that the Bureau of Administration, Office of Logistics Management, Office of Acquisitions Management, in coordination with the Bureau of Democracy, Human Rights, and Labor, (a) determine whether the $838,732 in unallowable costs related to awards SLMAQM08GR0598 and SLMAQM09GR0542 (see tables B.3 and B.4 in Appendix B) are allowable, and (b) recover any costs determined to be unallowable.
Recommendation Number

3

Closed Implemented $2,579

OIG recommends that the Bureau of Education and Cultural Affairs (a) determine whether the $1,431 in unallowable cost share amounts and $1,148 in unsupported cost share amounts reported for award SECAGD15CA1074 (see table B.2 in Appendix B) are allowable and supported, and (b) recover any costs determined to be unallowable or unsupported.
Recommendation Number

4

Closed Implemented

OIG recommends that the Bureau of Education and Cultural Affairs deem Kennesaw State University as high risk, and develop and execute a corrective action plan to ensure that the University has the skills and abilities it needs to submit accurate financial reports and complete program goals within agreed-upon deadlines.

Inspection of Emergency Preparedness at Consulate General Hamilton, Bermuda

ISP-I-17-26 May 2017

Recommendation Number

1

Closed Implemented

The U.S. Mission to the United Nations should require Consulate General Hamilton to conduct and document all required emergency drills.
Recommendation Number

2

Closed Implemented

Consulate General Hamilton should test its high-frequency radio network in accordance with Department standards.
Recommendation Number

3

Closed Implemented

Consulate General Hamilton, in coordination with the Regional Information Management Center in Ft. Lauderdale, should repair or replace the high-frequency radio at its alternate command center.

Management Assistance Report: Challenges Remain in Monitoring and Overseeing Antiterrorism Assistance Program Activities in Pakistan

AUD-MERO-17-37 May 2017

Recommendation Number

1

Closed Implemented Significant

OIG recommends that the Bureau of Counterterrorism, in coordination with the Bureau of Diplomatic Security, implement a monitoring and evaluation system to include measuring performance in accordance with the requirements outlined in the Department’s Performance Management Guidebook and the Memorandum of Agreement executed between the Bureaus of Counterterrorism and Diplomatic Security’s Office of Antiterrorism Assistance.
Recommendation Number

2

Closed Implemented Significant

OIG recommends that the Bureau of Diplomatic Security develop and implement procedures to verify compliance with contract reporting requirements in the Global Antiterrorism Training Assistance contract and reporting requirements in the Memorandum of Agreement executed between the Bureaus of Counterterrorism and Diplomatic Security’s Office of Antiterrorism Assistance.
Recommendation Number

3

Closed Implemented Significant

OIG recommends that the Bureau of Diplomatic Security develop and implement procedures to verify that the contracting officer’s representative has appropriate documentation to support the receipt and payment of goods or services prior to approving invoices for payment in accordance with the Foreign Affairs Handbook.
Recommendation Number

4

Closed Implemented Significant

OIG recommends that the Bureau of Administration, Office of Logistics Management, Office of Acquisitions Management, in coordination with the Bureau of Diplomatic Security develop and implement procedures to verify that the Antiterrorism Assistance program contracting officer is preparing and issuing written contract modifications when necessary to alter the terms of a contract in accordance with the Foreign Affairs Handbook.
Recommendation Number

5

Closed Implemented $4,200,000 Significant

OIG recommends that the Bureau of Diplomatic Security complete a review of the $4.2 million in weapons and equipment currently being stored for the Pakistan ATA program within 90 days and determine if the weapons and equipment can be used in other ATA programs.

Inspection of Embassy Monrovia, Liberia

ISP-I-17-12 May 2017

Recommendation Number

1

Closed Implemented

Embassy Monrovia should implement formal standard operating procedures for conducting merit reviews and risk assessments of all grants proposals in accordance with Department guidance.
Recommendation Number

2

Closed Acceptable Alternative

The Bureau of International Narcotics and Law Enforcement Affairs, in coordination with Embassy Monrovia, should conduct end-of-contract and end-of-phase impact evaluations immediately.
Recommendation Number

3

Closed Implemented

Embassy Monrovia should comply with Department standards for consular crisis preparedness.
Recommendation Number

4

Closed Implemented

Embassy Monrovia, in coordination with the Bureaus of Overseas Buildings Operations and Diplomatic Security, should provide accommodations to visa applicants in accordance with Department standards.
Recommendation Number

5

Closed Implemented

The Bureau of Overseas Buildings Operations, in coordination with Embassy Monrovia, should take prompt corrective action to treat sewage and waste water in accordance with Department guidelines.
Recommendation Number

6

Closed Implemented

Embassy Monrovia should conduct a safety, health, environmental management inspection in accordance with Department guidelines and correct any deficiencies identified.
Recommendation Number

7

Closed Implemented $54,403

Embassy Monrovia should clear outstanding travel advances of $54,403 in accordance with Department guidelines.
Recommendation Number

8

Closed Implemented

Embassy Monrovia should establish a schedule that allows alternate cashiers to work as the principal cashier in accordance with Department guidelines.
Recommendation Number

9

Closed Implemented

Embassy Monrovia should implement standard operating procedures to require all subcashier supervisors to conduct regular unannounced cash verifications and monitor compliance.
Recommendation Number

10

Closed Implemented

The Bureau of Comptroller and Global Financial Services should conduct an audit to determine how much Embassy Monrovia overpaid for airline tickets and, as appropriate, collect the overpayments from the employees who benefitted.
Recommendation Number

11

Closed Implemented

Embassy Monrovia should nominate, appoint, and train contracting officer's representatives in accordance with Department guidelines.
Recommendation Number

12

Closed Implemented

Embassy Monrovia should conduct bulk fuel operations in accordance with Department guidelines.
Recommendation Number

13

Closed Implemented

Embassy Monrovia should sell or dispose of excess inventory in accordance with Department guidelines.
Recommendation Number

14

Closed Implemented

Embassy Monrovia should conduct an annual property utilization survey in accordance with Department standards.
Recommendation Number

15

Closed Implemented

Embassy Monrovia should terminate the practice of allowing locally employed staff mechanics to perform auto repairs on personally owned vehicles on U .S. Government property or with U.S. Government equipment.
Recommendation Number

16

Closed Implemented

Embassy Monrovia, in coordination with the Bureau of Human Resources, should update its local employee staff human resources handbook and local compensation plan to reflect the Government of Liberia's labor law.
Recommendation Number

17

Closed Implemented

Embassy Monrovia should request a comprehensive legal review and opinion from the Office of the Legal Adviser about whether a building on the embassy compound can be used to operate a medical clinic for locally employed staff
Recommendation Number

18

Closed Implemented

Embassy Monrovia should submit a retail price survey to the Bureau of Administration.
Recommendation Number

19

Closed Implemented

Embassy Monrovia should perform and document reviews of randomly selected user accounts in accordance with Department standards.
Recommendation Number

20

Closed Implemented

Embassy Monrovia should encrypt all laptops in accordance with Department guidance.
Recommendation Number

21

Closed Implemented

Embassy Monrovia should establish and register a Local IT Configuration Control Board in compliance with Department guidance.
Recommendation Number

22

Closed Implemented

Embassy Monrovia should remove unauthorized software from unclassified computer systems.
Recommendation Number

23

Closed Implemented

Embassy Monrovia should register all dedicated internet networks in accordance with Department standards.
Recommendation Number

24

Closed Implemented

Embassy Monrovia, in coordination with the Bureau of Diplomatic Security, should train Information Management staff in accordance with Department guidance.
Recommendation Number

25

Closed Implemented

Embassy Monrovia should review, update, and test the IT Contingency Plan in accordance with Department standards.
Recommendation Number

26

Closed Implemented

Embassy Monrovia, in coordination with the Bureau of African Affairs, should establish a Records Management Program which includes requiring all employees to complete appropriate Foreign Service Institute distance learning training courses.

Management Assistance Report: Non-Performance of Information Systems Security Officer Duties by Overseas Personnel

ISP-17-24 May 2017

Recommendation Number

1

Closed Implemented

The Bureau of Information Resource Management, in coordination with the regional bureaus, should implement a plan to enforce the performance of information systems security officer duties by overseas information management personnel in accordance with Department standards.

Inspection of the Bureau of Near Eastern Affairs

ISP-I-17-22 May 2017

Recommendation Number

1

Closed Implemented

The Bureau of Near Eastern Affairs should implement a formal plan to mitigate the effects of excessive workload and promote work-life balance.
Recommendation Number

2

Closed Implemented

The Bureau of Near Eastern Affairs should institute formal processes to measure performance against strategic goals in accordance with Department standards.
Recommendation Number

3

Closed Implemented

The Bureau of Near Eastern Affairs should prepare a written standard operating procedure for its Annual Management Control Statement of Assurance process that defines internal controls review processes for contracts and grants.
Recommendation Number

4

Closed Implemented

The Bureau of Near Eastern Affairs should implement a plan to systematize and increase the flow of information to improve feedback on written products, enhance bureau knowledge management systems, and improve access to classified information.
Recommendation Number

5

Closed Implemented

The Bureau of Near Eastern Affairs, in coordination with the Bureau of Conflict and Stabilization Operations, should integrate the Bureau of Conflict and Stabilization Operations into stabilization planning for Syria and Iraq.
Recommendation Number

6

Closed Implemented

The Bureau of Near Eastern Affairs, in coordination with the U.S. Office of Foreign Assistance Resources, should prepare an operational plan for Syria-related foreign assistance.
Recommendation Number

7

Closed Implemented

The Bureau of Near Eastern Affairs should establish and disseminate guidance to all missions in the region to address potential weaknesses in Leahy vetting processes related to certification of security units that receive U.S. security assistance.
Recommendation Number

8

Closed Implemented

The Bureau of Near Eastern Affairs should require justification for documentation of public diplomacy grant awards made noncompetitively.
Recommendation Number

9

Closed Implemented

The Bureau of Near Eastern Affairs should require monitoring and evaluation plans for public diplomacy grants.
Recommendation Number

10

Closed Implemented

The Bureau of Near Eastern Affairs should systematically assess and adjust existing personnel levels consistent with strategic priorities and workload.
Recommendation Number

11

Closed Implemented

The Bureau of Near Eastern Affairs should complete all remaining 2015 performance appraisals for its Civil Service employees.
Recommendation Number

12

Closed Implemented

The Bureau of Near Eastern Affairs, in coordination with the Bureau of Human Resources, should take steps to hold delinquent raters accountable.
Recommendation Number

13

Closed Implemented

The Bureau of Near Eastern Affairs should establish written procedures that define processes for conducting monthly reviews of unliquidated obligation balances.
Recommendation Number

14

Closed Implemented $385,300,000

The Bureau of Near Eastern Affairs should review $385.3 million in unliquidated obligations and deobligate or reprogram those funds that are no longer required.
Recommendation Number

15

Closed Implemented

The Bureau of Near Eastern Affairs should implement a systems development life cycle process for its applications and systems development that includes mechanisms for management approval and enforcement.
Recommendation Number

16

Closed Implemented

The Bureau of Near Eastern Affairs should require information technology staff to regularly perform their information systems security officer responsibilities and document their analysis for management review.
Recommendation Number

17

Closed Implemented

The Bureau of Near Eastern Affairs should establish a bureau-wide records management program, to include dedicated staff and internal guidance for maintaining files and records.

Audit of the Department of State’s Contract To Monitor Foreign Assistance Programs in Iraq

AUD-MERO-17-41 May 2017

Recommendation Number

1

Closed Implemented $3,053,893 Significant

OIG recommends that the Bureau of Administration, Office of Logistics Management, Office of Acquisitions Management determine whether the $3,053,893 OIG questioned in unsupported costs (as identified in Table 2) under the indefinite-delivery, indefinite-quantity contract SAQMMA11D0119 are adequately supported and recover, as appropriate, all costs determined to be unsupported and unallowable.
Recommendation Number

2

Closed Implemented Significant

OIG recommends that the Bureau of Administration, Office of Logistics Management, Office of Acquisitions Management review the remaining invoiced costs associated with all task orders awarded under the indefinite delivery, indefinite quantity contract SAQMMA11D0119 that were not included in OIG's sample to determine whether all costs were supported and allowable and recover, as appropriate, all costs determined to be unsupported and unallowable.
Recommendation Number

3

Closed Implemented

OIG recommends that the Bureau of Administration, Office of Logistics Management, Office of Acquisition Management, in conjunction with the regional or functional bureaus funding contract SAQMMA11D0119, establish controls to ensure that objective and measurable criteria are included in all future contracts for monitoring support in Iraq and other contingency environments.

Inspection of Radio Free Europe/Radio Liberty

ISP-IB-17-21 May 2017

Recommendation Number

1

Closed Implemented

The Broadcasting Board of Governors should direct Radio Free Europe/Radio Liberty to document contract approvals in accordance with the grant agreement.
Recommendation Number

2

Closed Implemented

The Broadcasting Board of Governors should finalize its draft grantee handbook and implement the grant close-out provisions contained therein for RFE/RL.
Recommendation Number

3

Closed Implemented

The Broadcasting Board of Governors should direct Radio Free Europe/ Radio Liberty to comply with conflict of interest disclosure for all employees in accordance with its code of ethics.
Recommendation Number

4

Closed Implemented

The Broadcasting Board of Governors should revise its grant agreement with Radio Free Europe/Radio Liberty to require formal policies with standards to govern information technology operations.
Recommendation Number

5

Closed Implemented

The Broadcasting Board of Governors should include internal controls standards for its information security program in the grant agreement with Radio Free Europe/Radio Liberty.
Recommendation Number

6

Closed Implemented

The Broadcasting Board of Governors should revise its grant agreement with Radio Free Europe/Radio Liberty to include specific requirements for security policies.
Recommendation Number

7

Closed Implemented

The International Broadcasting Bureau, in coordination with Radio Free Europe/Radio Liberty, should establish a written protocol on background investigations to comply with the grant agreement.

Audit of Department of State FY 2016 Compliance With Improper Payments Requirements

AUD-FM-17-42 May 2017

Recommendation Number

1

Closed Implemented

OIG recommends that the Bureau of the Comptroller and Global Financial Services develop and implement additional quality control procedures requiring that a supervisor review determinations regarding the improper payments impact of audit findings and recommendations for the applicable fiscal year during the risk assessment process.
Recommendation Number

2

Closed Implemented

OIG recommends that the Bureau of the Comptroller and Global Financial Services develop and implement a method to obtain information regarding the collection status of improper payments identified in OIG reports for the applicable fiscal year.
Recommendation Number

3

Closed Implemented

OIG recommends that the Bureau of the Comptroller and Global Financial Services develop and implement a method to obtain information regarding the collection status of improper payments identified in Defense Contract Audit Agency reports for the applicable fiscal year.
Recommendation Number

4

Closed Implemented

OIG recommends that the Bureau of the Comptroller and Global Financial Services develop and implement a method to obtain information on improper payments identified and recovered by other Department of State bureaus and offices through contract and grant oversight activities, such as contract and grant closeout procedures, during the applicable fiscal year.
Recommendation Number

5

Closed Implemented

OIG recommends that the Bureau of the Comptroller and Global Financial Services develop and implement a process to report all improper payments identified by sources outside payment recapture audits for the applicable period in the annual Agency Financial Report. The process should require the Bureau of the Comptroller and Global Financial Services to present this information even if corresponding collection information is not readily available, unless written instructions advising otherwise is obtained from the Office of Management and Budget.

Audit of the Bureau of Consular Affairs, Office of Consular Systems and Technology, Administration of Selected Information Technology Contracts

AUD-CGI-17-38 May 2017

Recommendation Number

1

Closed Implemented

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, develop and implement internal policies and procedures governing contract administration. At a minimum, the policies and procedures should include guidance detailing the required use of SharePoint for Contracting Officer's Representative files, such as the type and extent of documentation to maintain, expected timelines for adding documents, and standardized methods for organizing and naming documents. The policy should also include guidance on (1) transferring data to new Contracting Officer's Representatives or Government Task Monitors, (2) validating key personnel identified in contracts and taking action when a contractor does not comply with key personnel requirements, and (3) reviewing and approving invoices. These policies and procedures should be implemented by the end of FY 2018.
Recommendation Number

2

Closed Implemented

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, develop and implement training for Contracting Officer's Representatives and Government Technical Monitors that identifies the requirements for reviewing various types of invoices, including a requirement to confirm that contractors meet the labor category requirements specified in the contracts.
Recommendation Number

3

Closed Implemented

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, develop and implement a formal process to monitor Contracting Officer’s Representatives and Government Task Monitors who are administering contracts. At a minimum, this process should include steps to assess files in SharePoint to ensure that required documents are included and to ensure that all Contracting Officer's Representatives and Government Task Monitors are formally designated by the Contracting Officer.
Recommendation Number

4

Closed Implemented

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, develop and implement a process to communicate information on roles and responsibilities to new Contracting Officer's Representatives and Government Task Monitors.
Recommendation Number

5

Closed Implemented $16,227,210 Significant

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, (a) determine whether the $16,227,210 in questioned costs (consisting of $222,621 in unallowable costs and $16,004,589 in unsupported costs as listed in Table B.1 of Appendix B) identified during the review of invoices for the Data Engineering Data Management contract (SAQMMA14F1031) are allowable and supported, and (b) recover any costs determined to be unallowable or unsupported.
Recommendation Number

6

Closed Implemented $8,860,952 Significant

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, (a) determine whether the $8,860,952 in questioned costs (all of which was considered unsupported as listed in Table B.2 of Appendix B) identified during the review of invoices for the American Citizen Services Support contract (SAQMMA14L0531) are supported, and (b) recover any costs determined to be unsupported.
Recommendation Number

7

Closed Implemented $1,129,393 Significant

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, (a) determine whether the $1,129,393 in questioned costs (consisting of $699,340 in unallowable costs and $430,053 in unsupported costs as listed in Table B.3 of Appendix B) identified during the review of invoices for the Consular Lookout and Support System contract (SAQMMA12C0212) are allowable and supported, and (b) recover any costs determined to be unallowable or unsupported.
Recommendation Number

8

Closed Implemented $2,135,713 Significant

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, (a) determine whether the $2,135,713 in questioned costs (all of which was considered unallowable as listed in Table B.4 of Appendix B) identified during the review of invoices for the Passport Support Services contract (SAQMMA13L0327) are allowable, and (b) recover any costs determined to be unallowable.
Recommendation Number

9

Closed Implemented

OIG recommends that the Bureau of Consular Affairs, Office of Consular Systems and Technology, (a) conduct a review to determine whether contractor personnel under the firm fixed price component of the Passport Support Services contract (SAQMMA13L0327) meet the education and certification requirements of the contract, (b) perform an analysis to determine the dollar-value of any payments made to the contractor for work performed by personnel deemed unqualified according to the contract requirements, and (c) recover any costs determined to be unallowable.

452

$15,045,004

137

$0

423

$190,873,822

0

$0

36

$0

0

$0