USAID OIG Afghanistan and Pakistan Oversight Report, April-June ...

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Flood plain cultivation is shown with the Pamir Mountains as a backdrop in Wakhan, Afghanistan. (Photo byJohn Winnie Jr., Wildlife Conservation Society-Afghanistan, 2011)Afghanistan Oversight Program and ActivitiesUSAID OIG provides oversight of USAID activities in Afghanistan through an intensive program ofaudits, investigations, and outreach and coordination activities.To execute this program as effectively as possible, OIG has expanded its presence in Afghanistan inrecent years. In the past, OIG provided oversight remotely using personnel based in Washington,D.C., and our regional office in the Philippines. In 2009, we established a permanent, on-thegroundpresence in Kabul. As of June 30, 2012, our Country Office in Afghanistan had13 personnel.OIG spent approximately $18.5 million to provide oversight for Afghanistan from FY 2003 throughthe third quarter of FY 2012. USAID OIG oversight activities there during the same periodproduced $230.7 million in returns for the U.S. Government.The U.S. Government reopened the USAID mission in Kabul in 2002. Since FY 2002, USAID hasprovided approximately $14.0 billion to increase Afghan stability, provide humanitarianassistance, and address needs in education, health, economic growth, and governance.USAID OIG Afghanistan and Pakistan Oversight Report 7
In recent years, OIG has covered a wide array ofUSAID programs in Afghanistan, including thosefor relief and stabilization, reconstruction,economic growth, education, and health care.Since the start of FY 2003, USAID OIG has issued100 financial audits, performance audits, andreviews of Afghanistan-related assistance efforts.These reports made 355 recommendations forimprovements to USAID programs and activities.Performance Audits and ReviewsUSAID OIG has issued 52 performance audits andreviews relating to USAID programs and activitiesin Afghanistan since FY 2003. Performance auditsand reviews conducted in recent years have notedthe need for improvements in a range ofmanagement and performance areas.Six in ten reports have identified contract or projectmanagement deficiencies and noncompliance with relevant procedures or regulations. Four in tenhave found internal control weaknesses, and more than a third have noted risks to projectsustainability and that security problems hampered project implementation or monitoring.OIG completed two performance audits in Afghanistan during the quarter:Map of Afghanistan. (Central Intelligence AgencyWorld Factbook, 2011)Audit of USAID/Afghanistan’s Incentives Driving Economic Alternatives for the North, East,and West Program (Report No. F-306-12-004-P, June 29, 2012). USAID/Afghanistan’sIncentives Driving Economic Alternatives for the North, East, and West is a $150 million, 5-yearprogram that began in March 2009 and is implemented through a consortium led byDevelopment Alternatives Inc. (DAI), with Mercy Corps and ACDI/VOCA as subimplementers.The program, which was designed to dissuade Afghans from growing poppy plants byincreasing access to legal, commercially viable, alternative sources of income, was achievingonly mixed results. For example, in 2010 and 2011, the program reported repairing orconstructing only 80 of the 161 miles of transportation infrastructure targeted.Changes in program focus and staff turnover slowed progress. Beginning in 2009, the focus ofthe program shifted away from communities where poppies were cultivated. Continual changein staff at the mission, its Office of Agriculture, and among implementing partners was anotherhindrance. Since the inception of the program, DAI has had five project directors, while themission has had six directors and three agreement officer’s technical representatives (nowcalled agreement officer’s representatives). Incoming personnel came with different visions ofthe program, had varying priorities and operating styles, and in many cases did not documentchanges to the program.8 USAID OIG Afghanistan and Pakistan Oversight Report
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Page 7 and 8: Audit ProgramOIG auditors, certifie
Page 9 and 10: Most OIG investigations are conduct
Page 11: site visits. In the past, building
Page 15 and 16: applications. In fact, the former s
Page 17 and 18: Financial Audit of Costs Incurred b
Page 19 and 20: investigation. While the employee h
Page 21 and 22: This field was cultivated under USA
Page 23 and 24: eceived payments. OIG’s review of
Page 25 and 26: program is improving the capacity o
Page 27 and 28: Under Cooperative Agreement No. 391
Page 29 and 30: Financial Audit of USAID Funds Mana
Page 31 and 32: OIG Investigation Results in Employ
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Page 35 and 36: Other ExclusionsWalker, Scott Antho
Page 37 and 38: ReportDateReport Title*Recommendati
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Page 41 and 42: Date Report Recommendation TargetAc
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Page 45 and 46: DateReport Title and NumberAmountAu
Page 61 and 62: 10/10/11 F-306-12-002-N Financial A
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02/25/10 5-306-10-002-NFinancial Au
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08/10/06 5-306-06-004-D Financial A
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03/26/04 5-306-04-003-N Financial A
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06/23/11 G-391-11-003-Q Quality Con
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04/30/09 5-391-09-008-R Financial A
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09/26/06 5-391-06-003-Q Quality Con
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The project had many successes, inc
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complicated process, and OIG could
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The objective of the audit was to d
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According to information provided b
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OIG’s audit found that the univer
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Audit of USAID/Afghanistan's Altern
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and DOD PSCs in Afghanistan because
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Afghanistan has one of the highest
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contractor estimated that cost over
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Audit of USAID/Pakistan’s Energy
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Audit of USAID/Pakistan’s Road Re
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establishing a distribution policy,
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planned results was hindered by a s
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Although USAID carried out numerous
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AbbreviationsAACCAEDATVIAUAfCERPDAB
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USAID Office of Inspector General13
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